Wednesday, 15 January 2020

My take on the US-China trade deal


The trade deal the US and China signed today is above all a pause in their trade dispute. That’s what makes it relevant. At a time when the trend has been to aggravate the commercial competition and the political rivalry between both giants, a lull is important. It is also an opportunity for both sides to implement some corrections and try a more constructive and balanced approach.

Therefore, I see the event with a positive eye. But I am also very much aware, like many observers, that there is deep antagonism and absolute mistrust on both sides of the deal. The Chinese do not think President Trump is constant in his political line. They are very much convinced that he can change his mind a thousand times. But for now, they bet on this deal. On the American side, they still believe the Chinese are very much determined to overtake the US economy and that they will do whatever it takes to achieve it. However, for the US leaders the deal comes at the right time. Actually, they have the advantage of controlling the agenda, a fact that is always good.

We have a little deal, that’s not bad, but we have not moved much when it comes to cooperation and trust building. In any case, a step forward is a step in the right direction. And that’s what matters.

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