Beyond Tariffs: Unpacking China’s Economic Resilience
The U.S.-China trade relationship is not a zero-sum game but a complex web of interdependence.
The U.S.-China trade relationship is not a zero-sum game but a complex web of interdependence.
In an era of great economic upheavals, we need a framework that promotes dialogue instead of confrontation, and talks instead of tariffs.
Despite the optimism surrounding the Geneva agreement, deep-rooted structural tensions between China and the U.S. remain unresolved.
In the long run, there is no possibility of significant RMB appreciation. The Chinese economy will not fluctuate greatly, China’s foreign trade is not uncontrollably affected by U.S. ‘reciprocal tariffs.’
China’s current economic conditions suggest that while the ‘reciprocal tariffs’ imposed by the U.S. may cause a decline or stagnation in the country’s exports to the U.S., their overall impact on the Chinese economy and foreign trade is likely to remain manageable.
With their deeply integrated supply chains and highly complementary economies, China and the U.S. stand to lose from any forced decoupling—an approach that is neither practical nor beneficial to either side.
Fentanyl abuse and the thousands upon thousands of deaths resulting from it are an American problem created by American doctors, the American public, American pharmaceutical companies and unscrupulous individuals.
What is happening in the world today serves as a stark reminder of the potential damage that can occur from the unchecked trade powers of the U.S. president.
The ‘America first’ approach of the U.S. president risks giving rise to a ‘global first’ trend under which countries will look for alternative markets.
The USTR’s proposed actions alone faces the serious risk of isolating U.S. businesses while failing to resurrect supply chains that have been eroding over decades.
Trump’s team of advisers may be able to estimate the economic toll of tariffs on China, but they cannot fathom the lengths to which the Chinese people are prepared to go to weather the storm.
Amid external uncertainties, the Chinese authorities should put greater emphasis on expanding domestic markets, widening marketing channels and addressing financing risks facing foreign trade companies.