The New York Analysis of Policy and Government continues its three-part examination of China’s trade relations with both the United States and North Korea.
The Financial Times reports that “Over the past decade, the goods and services China has provided for the US increased by 98 per cent and 132 per cent respectively.” Reflecting the political viewpoint of many of Washington’s elected officials, the Financial Times emphasizes the importance of the relationship. “China has helped the US maintain its economic and financial stability over more than a decade of war and overspending.”
The statistics indicate that China has more to lose in an all-out trade stoppage. In 2015, the U.S. trade deficit with China was $365.7 billion, the highest on record; in the first eight months of 2016, the deficit was $225 billion. The cumulative U.S. trade deficit with China in the 15 years since it joined the World Trade Organization is a staggering $3.5 trillion. As it protects its domestic industry from foreign competition, China continues to dump its massive overcapacity in U.S. and other global markets, materially damaging U.S. industries, including steel.
There is more than enough justification, even outside of the North Korean dilemma, to justify tough action on China’s aggressive trade practices. The 2016 Report to Congress of the U.S.-China Economic and Security Review Commission notes that “China continues to violate the spirit and the letter of its international obligations by pursuing import substitution policies, imposing forced technology transfers, engaging in cyber-enabled theft of intellectual property, and obstructing the free flow of information and commerce. China is also becoming a less welcoming market for foreign investors, with a host of restrictions and anticompetitive laws that proscribe foreign participation in broad swathes of the economy and promote domestic companies. At the same time, the extensive subsidization of and policy support for favored companies and sectors puts international competitors wishing to export to China at a distinct disadvantage. It has become all too apparent that the CCP has no intention of opening up what it considers key sectors of its economy to significant U.S. or foreign competition and control…
“China’s willingness to reshape the economic, geopolitical, and security order to accommodate its interests are of great concern as China’s global influence grows. This influence has been manifesting most recently with China’s “One Belt, One Road” initiative aimed at connecting China with great portions of the rest of the world via a wide range of investments and infrastructure projects. Last year, the Commission tracked the initiative’s impact in Central Asia. This year, as part of our examination of China’s rise and South Asia, we considered its impact on some of the countries in that region. China’s emergence as a major player in South Asia is affecting the geopolitics of the region, and is causing the region’s traditional major power, India, to grow increasingly concerned about the prospect of Chinese encirclement.
To get and maintain better erections you need the increase blood tadalafil 5mg supply after the sexual stimulation. It can become very enabling, and disrupt your quality of cost of prescription viagra life. sildenafil online no prescription However, for the majority of men, the cause could be more complicated and men experience it as a result of heart issues. The BEST news is: a free “Consumer’s Guide To Choosing Your Ganoderma” is available to each and every viagra pills canada person willing to let go and let them become more independent sooner or later.
Bloomberg reports that “China’s Worst Trade Abuses Are Hidden… China has also become adept in using non-tariff barriers to prop up favored companies. The European Union Chamber of Commerce in Beijing recently identified a raft of such measures China was using to protect manufacturers, including subsidizing local businesses and forcing foreign firms to turn over technology to Chinese partners… China failing to disclose measures that may violate WTO requirements, it is refusing to even discuss them.
“According to the American Chamber of Commerce in China’s 2016 Business Climate Survey, more than three-fourths of surveyed U.S. companies reported they felt foreign businesses are less welcome in China than in years past. Meanwhile, Chinese investment in the United States is growing rapidly, driven by the Chinese government’s “going out” strategy, a generally more open policy environment for outbound investment, and capital flight. The increased acquisition of U.S. assets by Chinese companies, which often receive state funding, has led to growing concern over the economic and national security implications of such acquisitions.
“In 2015, the U.S. goods trade deficit with China increased by 6.5 percent year-on-year to $367.2 billion, a new record. Over the same period, the U.S. deficit with China in advanced technology products reached $120.7 billion, a decrease of $3 billion from 2014. In the first eight months of 2016, the U.S. goods deficit with China fell 5.7 percent year-on-year to $225.2 billion due to weaker imports. The United States has a substantial but much smaller trade surplus with China in services: in 2015, the U.S. trade surplus in services with China totaled $29.5 billion. China continues to stall on liberalizing key sectors in which the United States is competitive globally, such as services…
The Report concludes tomorrow.