Politics All about US-China Trade War

Trump's attacks on Iran complicate trade war with China
Tensions between Washington and Tehran have little upside for Beijing

TAIPEI -- The Trump administration has abandoned Obama-era engagement of both China and Iran in favor of pressure and confrontation. This has pushed Beijing and Tehran closer together, making their relationship a trade war target for the White House.

The U.S. has tightened sanctions on Iran over the past year, and this is likely to continue if President Donald Trump shifts from military threats to full-on economic war. With China conducting significant business with Iran, the risk is more head-butting between the world's two largest economies and military powers.

Peng Nian, a fellow at the Institute for China-America Studies, said Beijing was upset with Washington's pullout from the Iran nuclear deal -- the Joint Comprehensive Plan of Action -- which it regards as the successful outcome of its mediation with Tehran. Future tensions between the U.S. and Iran have little upside for China, he said.

...

 
Trump's attacks on Iran complicate trade war with China
Tensions between Washington and Tehran have little upside for Beijing

TAIPEI -- The Trump administration has abandoned Obama-era engagement of both China and Iran in favor of pressure and confrontation. This has pushed Beijing and Tehran closer together, making their relationship a trade war target for the White House.

The U.S. has tightened sanctions on Iran over the past year, and this is likely to continue if President Donald Trump shifts from military threats to full-on economic war. With China conducting significant business with Iran, the risk is more head-butting between the world's two largest economies and military powers.

Peng Nian, a fellow at the Institute for China-America Studies, said Beijing was upset with Washington's pullout from the Iran nuclear deal -- the Joint Comprehensive Plan of Action -- which it regards as the successful outcome of its mediation with Tehran. Future tensions between the U.S. and Iran have little upside for China, he said.

...


US pressure on both China & Iran will certainly drive each of them closer together.

Especially since:

1) they are natural trade partners
2) combined they create network effect(Metcalfe’s Law) to counter and attrit US/coalition pre-eminence.
 
Hmmmm....
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Trump Has Already Won the ‘Trade War’

"Beijing has obviously lost pull in the U.S. business community. More important, American companies are now starting to understand that, deal or no deal, the friction between Washington and Beijing will continue and it’s time to lessen dependence on China.

This month, we learned Google is shifting production of Nest thermostats and servers from China to Taiwan and Malaysia. The move comes after the company transferred production of motherboards from China to Taiwan. Nintendo is planning to move production of its Switch console from China to Southeast Asia, also to avoid U.S. tariffs.

Manufacturers of low-margin goods have been leaving China for more than a decade for cost and other reasons, but the worsening trade friction has accelerated the process. RH, formerly known as Restoration Hardware, announced in an earnings call last week it was moving product development and production out of China, part of its plan to cope with Trump’s new tariffs."

 
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Worth a watch . Podcast by the Duran on China / US relations ..........
 
With Chinese censorship who would want it.
 
Asian stocks drop as US-China trade war escalates
Asian stock markets tumbled on Monday after a sharp escalation in the US-China trade war rattled investors.
On Friday, US President Donald Trump announced tariff hikes on effectively all Chinese imports to the US.
It came after Beijing said it would impose fresh duties and raise tariffs on US imports into China.
In China, Hong Kong's Hang Seng index slid 3.2% while the Shanghai Composite gave up 1.3%.
Japan's benchmark Nikkei 225 index dropped 2.3%. The Chinese yuan weakened to a fresh 11-year low against the US dollar. The onshore yuan was around 7.15 per dollar in morning Asian trade.
Sharp falls in the yuan earlier this month prompted the US to officially name China a "currency manipulator", adding to tensions between the two countries.

 
Dynamics of the number of countries in whose trade the share of China exceeds the share of the United States, in 2000 and 2020.
world trade.jpg
 
China needs to endure an all out trade ban nothing in nothing out


China sole priority is making money they are serious gamblers and like to win .. time they were made to lose
 
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Here are a bit more nuanced charts:

By "HowMuch.net, a financial literacy Website"

chinas-exports-imports-trade-balance-bal-b52b.jpg


chinas-exports-imports-trade-balance-ex-fb08.jpg

chinas-exports-imports-trade-balance-im-d13b.jpg

China's Trading Partners - Top 5 Countries Where China Has a Positive Trade Balance​


1. United States: $324 billion
2. Hong Kong: $295 billion
3. The Netherlands: $61 billion
4. India: $58 billion
5. The United Kingdom: $33 billion


China's Trading Partners - Top 5 Countries Where China Has a Negative Trade Balance​


1. Taiwan: -$128 billion
2. South Korea: -$93 billion
3. Australia: -$57 Billion
4. Brazil: -$43 billion
5. Switzerland: -$35 billion


Its worth noting that Chinas biggest adversaries are also its largest customers. ?
 
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For China even this is a "Victory". f***ing over foreign investors, their own businessmen and their own population. Yeah Victory Strong1111 ?

I think they already fell victim to their hybris and grandeur. Coupled with supervised thinking and much Paranoia and opression this is not a great way to do business or rule the world.

They are so full of themselves that they even do not recognise failures anymore. If you object you get punished.

Bit like "The death of Stalin"....

But eventually an authocratic Regime manoeuvres in that direction inevitably. I mentioned it a few months ago in an other thread.

Time will tell which is the better system. Not the self bravado and artificially created market distortion of the CCPs economic course.
 

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