{"id":118918,"date":"2018-03-05T19:17:46","date_gmt":"2018-03-05T17:17:46","guid":{"rendered":"http:\/\/www.arabtelegraph.com\/?p=118918"},"modified":"2018-03-05T19:17:46","modified_gmt":"2018-03-05T17:17:46","slug":"us-china-trade-standoff-journalist-predicts-beijings-tit-for-tat-retaliation","status":"publish","type":"post","link":"https:\/\/www.arabtelegraph.com\/?p=118918","title":{"rendered":"US-China Trade Standoff: Journalist Predicts Beijing\u2019s ‘Tit-for-Tat Retaliation’"},"content":{"rendered":"

China\u2019s Iron and Steel Association slammed US President Donald Trump\u2019s decision to impose a 25% tariff on imported steel and a 10% tariff on imported aluminium. Professor Keith Richburg, journalist and director of the Journalism and Media Studies Center, at the University of Hong Kong spoke to Sputnik about the impact of the tariffs on China.<\/strong><\/p>\n

Keith Richburg: In relation to the American or Trump administration tariffs or planned tariffs on steel and aluminium, which has sparked a bit of a world-wide controversy, the impact on China, at least on China’s steel and aluminium sector will actually be relatively minimal. The reason is that China does not send that much steel and aluminium to the United States, so the impact ironically be more on America’s more close trading partners like Canada and the European Union, and the overall impact on China’s economy will is likely to be negligible too.<\/p>\n

China is responsible for a bit of the glut of steel ion the international market and that’s really depressing steel prices around the globe, but the fact is that China doesn’t actually send that much steel to the United States so the impact is largely going to be marginal unless there’s a bigger trade war which can could obviously affect the economy not only of China but the entire Asian region.<\/p>\n

I really don’t think a trade war is going to be likely, there could be some tit-for-tat retaliation, well number one, we actually have to wait and see whether these tariffs announced by President Trump in that meeting with the steel executives, will actually take place. President Trumps has a habit of announcing some things and never really following through, where or the follow through is less than planned, and that was a very unplanned announcement, if you notice. It came after a meeting, even some of his close advisors didn’t know about it. He did double down, he did make some comments about it saying that a trade war way not be a bad thin, but we really have to wait for the details, see which countries are exempted from it, but at the moment I don’t see a huge Chinese retaliation.<\/p>\n

In fact, some of the messages so far coming from the Chinese have been relatively mute, relatively restrained and I think the Chinese side realizes that in some ways they actually have the high ground on this.<\/p>\n

\n

The Chinese have been actually taking the tact of saying look things have to go through the World Trade Organization, there should not be a trade war, China i’s open to the fair rules of trading and globalization, so China is actually trying to take a counter tact from the Trump administration, which is coming across in the world now as the protectionist country under the ‘America First’ banner. So I think China now sees itself as having the moral high ground on the trade issues, they don’t want to ruin that by tit-for-tat retaliation, if fact the irony might be that if you end up with China going to the World Trade Organization, accusing the United States of taking protectionist measurers, that would be incredibly ironic, since it’s always been the United States taking China to the WTO and accusing China of adopting nationalistic of protectionist barriers.<\/strong><\/p>\n

This move is going against really the spirit, if not the letter of the WTO. When the WTO was put into effect the idea was that this would be the place where these kind of trade disputes were resolved and it’s always been the United States taking China there, so it does seem to fault the spirit if not the exact rules of the World Trade Organization. President Trump is relying on old rules that seem to say that if national security is hurt he’s allowed to put these tariffs in, he’s saying basically that the this dumping of steel, as he would say it, globally is hurting the American military, it’s a bit of a spurious claim but we’ll have to see if it does go to the WTO. Again we keep piling up irony upon irony, but it maybe China and the European partners of America and Canada all joining together taking the United States to court, to the WTO for a ruling on that.<\/p>\n

Overall we’ll have to\u00a0see whether these kind of\u00a0tariffs announced will hurt the overall relationship between\u00a0the United States and China. There has been a lot of\u00a0friction in\u00a0that relationship, but\u00a0also President Trump and Xi Jinping, the President of\u00a0China, seem to\u00a0have established the a kind of\u00a0a personal chemistry.<\/p>\n

When president Trump came through\u00a0China last November on\u00a0his first trip to\u00a0the region as\u00a0a President, he made a point of\u00a0not criticizing China publicly while on\u00a0Chinese soil. He made a point of\u00a0saying that while he did believe that there were some unfair trade practices, in\u00a0fact, Trump said then, he blamed America’s leaders for\u00a0being stupid and China was merely taking advantage of\u00a0American leaders. It was kind of\u00a0an odd moment to\u00a0see an American President in\u00a0China criticizing his American presidential predecessors and letting China off\u00a0the hook.<\/p>\n

It gets a bit complicated as\u00a0all these things do because the United States at\u00a0the same time is seeking China’s help with\u00a0imposing stricter sanctions on\u00a0North Korea. They’re really looking for\u00a0China’s help, for\u00a0example, if he really wants to\u00a0roll back the nuclear agreement with\u00a0Iran, don’t forget that China is a member of\u00a0the UN Security Council. It’s really complicated because the US needs China on\u00a0some of\u00a0these global issues, but\u00a0President Trump has now tried to\u00a0single out\u00a0China as\u00a0responsible for\u00a0part of\u00a0the steel glut on\u00a0the global market.<\/p>\n

Chinese tires that were undercutting the American tire industry, and in\u00a0that case that was when Obama was President, the Chinese government responded by\u00a0cutting the import of\u00a0American chicken feet. This was kind of\u00a0interesting, they accused America of\u00a0dumping chicken feet on\u00a0the Chinese market. This time in\u00a0retaliation to\u00a0the earlier Trump actions on\u00a0washing machines and solar panels the Chinese decided to\u00a0launch an investigation into\u00a0American soybeans and sorghum. This is interesting because America is always more vulnerable to\u00a0Chinese counter sanctions in\u00a0the agricultural area, or to\u00a0put it in\u00a0another way, China always decides to\u00a0go after\u00a0the American agriculture if it chooses to\u00a0retaliate and there’s a reason for\u00a0that.<\/p>\n

Agriculture is one of\u00a0the few areas, probably I think the only area where America actually enjoys a trade surplus with\u00a0China, that’s number one, and secondly, the places where these agricultural products are grown, soybeans and sorghum, are in\u00a0places like\u00a0Oklahoma and Nebraska, these are all places that voted for\u00a0President Trump, so China is almost strategically targeting areas going into\u00a0the Trump voter base going in\u00a0its retaliation. It remains to\u00a0be seen whether they will continue to\u00a0do this or will whether they will sort of\u00a0ramp it up\u00a0in retaliation for\u00a0these supposed or incoming sanctions on\u00a0steel and aluminum.<\/p>\n

My bet is, and I hate to\u00a0predict, my bet at\u00a0the moment is that there might be a lot of\u00a0rhetorical retaliation coming out\u00a0of Beijing, but\u00a0they might prefer to\u00a0take this case to\u00a0the WTO, and as\u00a0I said earlier this will come up\u00a0with this odd situation where you have the Chinese, the Canadians and the Europeans on\u00a0one side and the United States and President Trump on\u00a0the other.<\/p>\n","protected":false},"excerpt":{"rendered":"

China\u2019s Iron and Steel Association slammed US President Donald Trump\u2019s decision to impose a 25% tariff on imported steel and a 10% tariff on imported aluminium. Professor Keith Richburg, journalist and director of the Journalism and Media Studies Center, at the University of Hong Kong spoke to Sputnik about the impact of the tariffs on …<\/p>\n","protected":false},"author":3,"featured_media":118924,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[36],"tags":[],"class_list":["post-118918","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-te-public"],"yoast_head":"\nUS-China Trade Standoff: Journalist Predicts Beijing\u2019s 'Tit-for-Tat Retaliation' - Arab Telegraph<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.arabtelegraph.com\/?p=118918\" \/>\n<meta property=\"og:locale\" content=\"ar_AR\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"US-China Trade Standoff: Journalist Predicts Beijing\u2019s 'Tit-for-Tat Retaliation' - Arab Telegraph\" \/>\n<meta property=\"og:description\" content=\"China\u2019s Iron and Steel Association slammed US President Donald Trump\u2019s decision to impose a 25% tariff on imported steel and a 10% tariff on imported aluminium. 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