The U.S.–China Trade Deficit

2014 ◽  
Vol 28 (1) ◽  
pp. 65-83 ◽  
Author(s):  
Myeong Hwan Kim
Keyword(s):  
Trade Deficit ◽  
China Trade ◽  
The U.S

Did the U.S. Bilateral Goods Deficit With China Increase or Decrease During the US-China Trade Conflict?

FEDS Notes ◽  
2021 ◽  
Vol 2021 (2945) ◽  
Author(s):  
Hunter L. Clark ◽  
◽  
Anna Wong ◽  
Keyword(s):  
United States ◽  
Trade Deficit ◽  
The United States ◽  
Trade Data ◽  
China Trade ◽  
The Us ◽  
The U.S

The United States' bilateral goods trade deficit with China appeared to have narrowed substantially since the escalation of the U.S.-China trade conflict in 2018, or so U.S. trade data suggest. By contrast, the Chinese data tell a much different story: the deficit, as implied by China's bilateral surplus, nearly reached historical highs by the end of 2020.

scholarly journals A Legal and Economic Critique of President Trump's China Trade Policies

2018 ◽  
Vol 79 (2) ◽  
Author(s):  
Daniel C.K. Chow ◽  
William McGuire ◽  
Ian Sheldon
Keyword(s):  
Global Economy ◽  
Trade Deficit ◽  
Legal Analysis ◽  
Legal Regime ◽  
Currency Devaluation ◽  
China Trade ◽  
Legal Perspective ◽  
Trade Sanctions ◽  
The U.S

The administration of President Donald J. Trump has warned that it supports an aggressive across the board tariff of 45% on all imports from China to neutralize the effects of China’s currency manipulation. However, such a tariff cannot withstand an economic and legal analysis. Fundamental economic principles indicate that China’s alleged currency devaluation cannot create a real long-term trade advantage and that the effects of currency devaluation have no real effect on the U.S.-China trade balance. Not only is currency manipulation not a cause of the U.S. trade deficit with China but the proposed remedy of a draconian 45% tariff will only create a grievous self-inflicted wound on the U.S. and global economy. From a legal perspective, a 45% tariff cannot be justified under the legal regime of the World Trade Organization as such a tariff runs afoul of the tightly regulated regime of authorized trade sanctions. As the proposed tariff cannot be justified from a legal or economic perspective it is not an advisable or appropriate response to China’s trade practices.

How Much Does China's Exchange Rate Affect the U.S. Trade Deficit?

2013 ◽  
Vol 46 (6) ◽  
pp. 80-93 ◽  
Author(s):  
Kan Yue ◽  
Kevin Honglin Zhang
Keyword(s):  
Exchange Rate ◽  
Trade Deficit ◽  
The U.S

The Thucydides Trap as an Alternative Explanation for the US–China Trade War

2020 ◽  
Vol 12 (1) ◽  
pp. 42-55 ◽  
Author(s):  
Imad A. Moosa
Keyword(s):  
Alternative Explanation ◽  
Bilateral Trade ◽  
National Income ◽  
Trade Deficit ◽  
Basic Principles ◽  
China Trade ◽  
The Us ◽  
The Usa ◽  
Thucydides Trap ◽  
Trade War

The current trade war between the USA and China is perceived to be motivated by the US desire to curtail the bilateral trade deficit, on the assumption that reducing the deficit boosts economic growth. This flawed proposition indicates gross misunderstanding of the national income identity and the basic principles of macroeconomics. The imposition of tariffs will not reduce the trade deficit as the assumptions and conditions required for a smooth working of the process are unrealistic and counterfactual. The notion of an economic Thucydides trap is put forward to explain why the trade war is motivated by US apprehension about China’s rising economic power.

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