United States trade conflict with China Term Paper

United States trade conflict with China - Term Paper Example The U.S. Chinese trade is in great favor of China. The continued trade war between the countries is unhealthy not only for the two nations, but also to the world economy. China cannot be ignored as an economic powerhouse.The international relation between the People’s Republic of China and the United States of America is often referred to as Sino-American relations. Since the beginning of the cold war to date, the relation between the two countries has been pretty cyclical. In fact, many analysts find the relationship not only complex, but also multi-faceted. The two countries cannot be considered enemies by any standards, but yoking them as allies could also be questioned. For a long time, the two countries have had a stable relationship. However, this relationship is threatened by competition and trade policies that have continued to stir controversy. The United States and China have the largest economies in the world. Therefore, any tension between them spills over to other countries and regions consequently affecting the entire world. China has the world’s largest population, while the United States has the world’s largest economy. This makes the two countries to be the largest trading partners in the world. Moreover, the bilateral relationship qualifies to be the most essential one in the 21st century. The two countries are the world’s economic giants and their united efforts towards attaining world peace and economic stability can yield unimaginable results. Amidst the trade tensions, the United States and China have a common stand in many fronts... For instance, while other economists think the United States benefit more from its trade with China and imposing taxes on Chinese products is unjustified, others think the trade has destroyed the United States and its high time the United States took a bold step towards saving its local businesses and citizens from Chinese firms. According to Feigenbaum, the Sino-American trade wars will not end soon. However, the wars will be broadly manageable (Feigenbaum). Schuman, The Time business reporter, takes a rather interesting approach to the issue. He holds that resolving the war between the United States’ government and China will not be an easy one (Schuman). He cites the reluctance of both governments to drop their demands as the major hindrance to striking a consensus. Both governments, for instance, insist on fulfilling public demands, which have been a hindrance to a smooth trade. While the United States insist on preserving local jobs, the Chinese government is interested i n finding market for locally produced products and an avenue for investment. A research by the Queensland University Staff on the probable effects of the United States’ regulation of Chinese imports favored the introduction of strict measures to control Chinese imports (126). The research concluded that setting such measures was inevitable and would be to the advantage of the United States government (126). It further stated that the United States â€Å"pressure should continue† (Queensland University Staff, 126). A sour trade relation between the United States and China is evidently destructive. All the countries stand to lose. The world’s economy is already threatened by this unhealthy competition and rivalry, and it could even get worse. If not resolved, the rivalry will result in