While the UK and US, each embroiled in democracy’s perverse consequences, struggle to thwart Putin’s mad ambitions in Ukraine, their respective China strategies face forceful challenge from Beijing. Xi Jinping is pushing brinkmanship to the edge in the Taiwan Straits and doubling down, as in Honduras, on its global efforts to isolate Taiwan.

Meanwhile, leading Western technology companies, alarmed by geopolitical uncertainty and facing hostile data “legislation,” are marching out of China in droves. Microsoft has already taken LinkedIn out and is moving an expert AI team to Canada to avoid local pressure on them.

Sub-par performance by the best-known Chinese stocks are compelling some seasoned Western asset managers to cut their exposure. Where is this debacle leading, and where might it end?

Risk has been defined as exposure to hostile intentions and capabilities. This dictum omits one vital issue: whether the party at risk is aware of what is going on. Arguably much of the “free” world is either ignorant, or in denial, about Xi Jinping’s policy drivers, intentions and capabilities.

This in itself is acutely risky. A tipping […]