What is the main cause of the US vs China Trade War?

In January 2018, U.S. President Donald Trump began setting tariffs and other trade barriers on China with the goal of forcing it to make changes to what the U.S. says are “unfair trade practices” and intellectual property theft.

What is the relationship between China and the USA?

Currently, the United States and China have mutual political, economic, and security interests, such as the non-proliferation of nuclear weapons, but there are unresolved concerns relating to the role of democracy in government in China and human rights in China.

When did the United States began trading with China?

The U.S. trade with China is part of a complex economic relationship. In 1979 the U.S. and China reestablished diplomatic relations and signed a bilateral trade agreement. This gave a start to a rapid growth of trade between the two nations: from $4 billion (exports and imports) that year to over $600 billion in 2017.

Who started the trade war between US and China?

The US-China trade war began in July 2018 under the administration of then-US president Donald Trump, eventually leading to tariffs on some US$550 billion of Chinese goods and US$185 billion of US goods.

What are the three main causes of US China trade war?

The authors identify four main reasons that led to the greatest trade conflict between the two economies in history associated with intentions of the US: a) to reduce the deficit of bilateral trade and increase the number of jobs; b) to limit access of Chinese companies to American technologies and prevent digital …

Why does the US do business with China?

It helps US companies compete globally. Companies can then reinvest in R&D and develop cutting edge technologies, which contributes to the United States’ position as a leader in innovation. Investment in China is increasingly important for US companies to access the growing Chinese market.

What is the relationship between China and the United States like?

China’s breathtaking economic growth and massive imbalances with the United States have given rise to some myths about the nature of the two powers’ relationship that can impede sound policymaking, writes CFR’s Steven Dunaway. CFR scholars provide expert analysis and commentary on international issues.

How did China react to US overtures to change its currency?

Chinese officials in the 19 th and 20 th centuries at times resisted these American overtures and at times sought to draw the United States into supporting China’s currency and, in turn, its government.

Should the United States push China to rebalance its economy?

Taken together, these four myths could lead to the conclusion that China should not be pushed hard by the United States (or other major countries) to more quickly change its policies, especially its exchange rate policy, to facilitate the rebalancing of its economy.

Why has the US-China relationship become more competitive than cooperative?

Second, the relationship has become more competitive than cooperative due to structural conflicts as both sides are struggling to adjust to changes in the international system. The American discourse about China has become highly hostile.