China-US Trade War: Chinese scholars: Beijing can keep up with its development pace
Turning to the China-US trade war. America's latest threat of another 10 percent tariff increase on Chinese goods has triggered a quick response from China. Leading Chinese scholars gathered in Beijing on Friday to come up with possible strategies to combat Washington's move. CGTN reporter Wang Mengzhen has details.
More uncertainty surrounds the ongoing China-US trade war. Earlier this month, US President Donald Trump threatened to impose 10 percent tariffs on the remaining 300 billion dollars worth of Chinese goods next month. But this Tuesday, the US Trade Representative Office said new tariffs on certain consumer items would be delayed until mid-December. In a panel discussion, some Chinese experts argued the US may not be the beneficiary of its own tariff hikes as it claims.
RUAN ZONGZE EXECUTIVE VICE PRESIDENT, CHINA INSTITUTE OF INTERNATIONAL STUDIES "Trump thinks the US will enjoy a winning streak and make a lot of money from these tariffs. But he lied. These tariffs will ultimately trickle down to American consumers. One study indicates that the average American family of four will spend about 800 dollars more a year. If the new 10 percent tariff were implemented, the cost could go up to 1,000 dollars."
On Thursday, China says it will take necessary countermeasures if the US side insists on the 10 percent increase. But analysts are still pinning some hope on the 13th round of trade talks previously scheduled in the US next month. While some are attributing the uncertainties to US politics as the presidential election is approaching, others are saying Washington's fresh economic data in the second quarter weighs more on Trump's decision-making.
PROFESSOR ZHOU SHIJIAN SENIOR FELLOW, INSTITUTE OF INT'L RELATIONS TSINGHUA UNIVERSITY "Trump is anxious now, trying to push China to the negotiation table with his sticks, so as to reach a deal that benefits him for the upcoming election campaign. But China is rather calm, and its investors have more confidence. This could be seen in the comparison of stock market reactions in the two countries. Even if the 10 percent tariff were launched, this won't affect Chinese export enterprises so much as China has carried out supportive measures including large tax cuts for them to lower their cost."
PROFESSOR HE WEIWEN SENIOR FELLOW, CHONGYANG INSTITUTE RENMIN UNIVERSITY "We see that the US's net export has been performing badly,
and also the investment was bad, the only growth point is consumption. But the
300 billion goods from China are mostly consumer goods."
WANG MENGZHEN BEIJING "Despite their differing opinions on China's future ties with the US, experts agree that the trade tension is a learning curve for Beijing. They say the key is to be patient and for China to keep up with its own development pace. WMZ, CGTN, BEIJING."