There is a possibility that China is not as powerful as we had imagined, recent sources say. China still might be struggling to find a way to deal with the possibility of an upcoming trade war. On the other hand, the U.S. economy is experiencing a boom and China’s weakness might work to the advantage of the U.S.
Curtis Chin, a member of the think tank at the Milken Institute said that Trump’s policies might actually be working in his favor and not backfiring. President Donald Trump is seeking to focus on gaining maximum employment for people in the U.S. and this might be a positive step in the economy.
The world awaits China’s game plan in the forthcoming trade war because it will have an effect on more parts of the world than just the U.S. The growing tension in China’s economy and in the world economy, China might take a huge step of doing away with products which can’t be sold in the U.S. and this might have a great impact on all Asian countries. This is a clear message that China is having problems in dealing with its domestic economy that is in uncertainty.
Chin, looked at the news reports in the state of China and said that Trump did not face as much hostility as was expected in Beijing during his recent visit. This is also an indication that China does not want to show its aggression towards the U.S. just yet. That China is still considering its choices and options in the trade war, is quite clear. With this scenario in two of the largest economies in the world, the global trade might have to witness a reversal of situations in the days to come.