Trading With China Gone Amiss

The world is a big place that the majority of us should learn to get along well with others if we don’t want conflict or want things to go in our favor. It’s like a fact of life and something we all observe for the longest time. However, our modern world is full of complexities that have made communicating with one another a bit more difficult. It is a must since we trade with the world at large. However, humans are just as complex as the world we live in. Or rather, human relations. The US and China are undeniably the biggest and strongest economies in the world today yet the two haven’t always seen each other eye-to-eye. Their many disparities are the reason why the two are facing another major rift that will likely impact the world at large.

Under President Trump’s leadership, relations between the two countries did not improve but actually worsened over the past year. The world is not new to the US president’s unusual behavior and his way with words as we have witnessed how he led his personal life in the past and even his controversial withdrawal from the Paris Climate Agreement. And quite recently, he made another bold move by imposing higher tariffs on most Chinese goods that have even made the global market shaking from all the tension. The global market plunged and we can only expect worse things to come our way if the two can’t settle their dispute amicably and on good terms.

Global markets have dropped sharply after China retaliated against Donald Trump’s decision to impose tariffs on steel and aluminium, fuelling fears of an all-out trade war between the world’s two largest economies.

Hours after the US president announced moves to tackle what he believes are unfair trade practices, China signalled it would hit US goods such as pork, apples and steel pipe with higher duties.

China’s commerce ministry urged Washington to negotiate a settlement as soon as possible but set no deadline.

A ministry statement on Friday said the higher US tariffs “seriously undermine” the global trading system.


While the US may have imposed that higher tariff, China is retaliating by targeting China-made goods and perhaps the beginning of a rather messy trade war between the two countries that are not solely limited to them but more likely the rest of the world. Maybe the US has started it but it looks like China won’t just sit back and accept all the backlash when the US also has a lot to lose in this trading war.

China ‘only just beginning to look at means to retaliate’

China showed readiness to retaliate by declaring plans to levy additional duties on up to $4 billion of US imports, including fruit and wine, in response to US import tariffs on steel and aluminium that were due to take effect on Friday.

The state-run Global Times said China was only just beginning to look at means to retaliate, following the announcement of its initial response.

“We believe it is only part of China’s countermeasures, and soybeans and other US farm products will be targeted,” the widely-read tabloid said in a Saturday editorial.

“It does not look like just a trade war, but rather the US is trying to bully China and the rest of the world in order to make China concede economic resources and development opportunities to the US and make the US forever big and strong.”


This brewing tension has been around for a while since the US president has made several moves in the past indicating it won’t back down its position as a global and economic leader and have conveyed its message to another global powerhouse that is China and essentially to the rest of the world. So it seems this power struggle will go on for quite a while and the entire world will witness drastic fluctuations in the world market and most likely prices will go up, or maybe down, especially if the US keeps on provoking the Chinese government because the battle will be long and hard-fought and it has just started.

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