A, intensifying tension in the trade war between the two largest economies in the world.
According to the Senior Analyst of Internacional da CNN Chinese retaliation was strategic and demonstrates the ability of the Asian country dand face American protectionist measures.
According to Américo, China, as the second largest economy, is able to retaliate the United States and could even get advantages in a possible trade war.
“China could present itself as a more prone commercial partner to follow the right trade rules, replacing American products,” explained the analyst.
Smart and symbolic measures
Among the actions announced by China are the increase in rates on high-displacement American luxury cars and rare minerals, essential for the technology industry.
These measures were considered “intelligent” by Américo, as they reach strategic sectors and symbolize the different directions that the two countries are taking in terms of technological development e energetic.
“China continues to invest a lot in electric cars and therefore will overlax American cylinder cars moved to oil, while the United States want to promote more oil and tax chinese electric cars,” the analyst noted.
Distinct reactions from other countries
Américo also commented on the different postures adopted by Mexico and Canada in the face of Trump’s threats.
While Mexico was able to avoid imposing fares by committing to reinforcement of border security, Canada eventually retreated and accepting more reinforcements to its United States border.
The analyst concluded that these various reactions demonstrate how each country is dealing with Trump’s aggressive trade policy, some with more “weapons” and strategic areas to negotiate, others having to give in to US pressures.
The situation indicates that the international scenario remains tense and unpredictable, with the trade war between China and the United States at the center of attention.
