ipl-logo

China Vs Us Trade Patterns Essay

1068 Words5 Pages

1. Introduction
The following paper coherently illustrates the trade patterns of USA and China and describes the various trade policies developed over the past years that have impacted the respective economies of both countries alongside the effect of the same on the bilateral trade relations between the two. Based upon the previous statistics, US-China trade is considerably one of the largest trading partners in today’s economies. Both countries’ trade relations entail exchange of investment, services as well as goods varying from agricultural products to non-agricultural products. Currently, China is the second-largest trading partner, third-largest export market and the biggest source of imports for the United States. The U.S. government’s …show more content…

According to U.S., China’s unfinished ‘transition to a free market economy’ is the root cause for many trade tensions. While China has liberalized its trade governance over the last thirty years, it continues to maintain a couple of state-supervised policies that apparently distort investment flows (Morrison, 2015). The primary purpose of this paper is to reflect the trade patterns of the two countries- USA and China and illustrate various trade policies practiced by them. It also shows evidence that supports the argument that trade policies play a significant role in determining a country’s trade performances and balance of payments. It is important to study the impact of policies so that the main areas of issues in the economy can be understood and the imbalances in trade can be thoroughly checked by the government by following protectionist …show more content…

An unfalteringly rising bilateral trade deficit resulting from the quintupled value of U.S. exports to China that is stunted by the surge of imports from China into the U.S. The major source of the expanded deficit – increasing imports of computers and electronic commodities from China and U.S. exports of China shifted from electronic products to fully manufactured products. While the relative share of U.S. machinery exports to China dropped slightly from 2000 to 2011, machinery exports jumped from around $6.5 billion in 2009 to $10.7 billion in 2011 (Casey, 2012).

2. The levels of non-manufactured goods, particularly agricultural products exported by U.S. producers to China, rose dramatically to an extent that it led to a U.S. trade surplus with China. The largest increases were in agricultural products, motor vehicles and semiconductor manufacturing equipment. Exports from the U.S. to China of oil, gas and minerals were reported to be around $105 million (USD) in 2000 and $2.1 billion USD in 2010 (Casey,

Show More
Related
312 Words | 2 Pages

With the newly established foreign trade, tea and silk were in great demand with exports increasing over 500%. Farmers saw how much the tea and silk industry was flourishing and switched from agriculture, leading to the appreciation of the price of food. In contrast, China’s import of western machine-made fabrics rose from 730 thousand pounds before the Opium Wars, to an incredible 2.3 million pounds by 1864, putting the traditional and pricier hand-made textile industry out of business. Many workers from other industries such as boatmen had also lost their jobs. With the widespread of poverty from the soaring food prices and falling employment, the Chinese economy took a great hit from foreign

Read More
841 Words | 4 Pages

Benjamin Franklin said, “No nation was ever ruined by trade.” During the early modern era, technological advancements in shipbuilding and increased knowledge on wind and current patterns made global trading possible. The increased flow of trade in the 1300s through 1800s created important social relations and economic opportunities due to the increased integration of foreign people and desire to be wealthiest and most powerful, while improving government, culture, and ideas in the modern world. Global trading increased the spread of people, which also increased the spread of religion and culture.

Read More
989 Words | 4 Pages

The strength of the international system, nonetheless, shouldn’t discourage the US from solving the problem of trade deficits. I argue that although the Trump administration is right in recognizing an issue with our trade deficits, blatant antagonism, as Krugman notes, is not the way to go about solving it. In the international arena, every action warrants a response and Trump’s rhetoric has encouraged China and the European Union to plan for a world without the

Read More
163 Words | 1 Pages

Chinese Government Report What is a government? According to dictionary.com a government is the form or system of rule by which a state or community, is governed, or a branch or service of the supreme authority of a state or nation,taken as representing the whole. There are different types of government including in the United States and China. The National Government works for each country, and there are different aspects of that.

Read More
1042 Words | 5 Pages

Donald Trump’s administration has attacked China for being a currency manipulator, allowing Chinese industries to have a comparative advantage over American businesses (2). The tension between the American and Chinese government has escalated, resulting in Donald Trump placing a 45% tariff on all Chinese goods imported into the country (3). The pressure could consequently result in the formation of a trade war which would be disastrous for Australia and their First People

Read More
544 Words | 3 Pages

China vs U.S. Essay The U.S. and China are two different countries and have a lot that are not in common. In this you will learn some reasons why U.S. companies have goods produced in China and reasons China chooses to produce goods for U.S. companies, how U.S. companies get goods produced in China, how offshoring impacts the domestic economy, what problems U.S. will encounter with goods produced in China, comparison of the U.S. and China workforces and how quality issues with goods produced in China could be addressed. First of all, why do U.S. companies have goods produced in China and why does China choose to produce for the U.S.? China buys stuff from the U.S. because we have lots of technology and equipment to produce the goods. China

Read More
854 Words | 4 Pages

Das further concluded that China’s economy is extremely prosperous because of free trade and that “China has progressively benefited from stylized free-market strategies” (pp. 57-58). Thus, as shown by China’s great turnaround, when free-market principles are implemented, the entire country greatly

Read More
1146 Words | 5 Pages

The United States’ trade relationship with China was initiated in 1784, a few years prior to the Early Republic era, when the first American ship, “Empress of China”, reached China and successfully completed trade that resulted in a 25% profit. As a direct result, America’s trade involvement with China grew over the next few decades—and so did its desire for further economic privileges. Upon defeating China in the First Opium War, the British navy secured special trading privileges, which the United States grew envious of. The result was the Treaty of Wangxia, which granted the United States the same privileges as Britain, along with some additions, most notably a most-favored-nation clause, meaning that the United States would receive any trading rights that the Chinese government would grant other nations. This exchange represents the first in a long history of the United States viewing the Chinese as simply a form of economic utility.

Read More
200 Words | 1 Pages

My analysis will go around the topic of Nietzsche’s Thus spoke Zarathustra most popular book that talks about the three metamorphoses of the spirit. First of all, I will separate each metamorphosis in a different paragraph. After, I will focus on the point of sum up the same way that Nietzsche describes his three metamorphoses of the spirit. Second, I will concentrate more on the explanation of the pacific signification of each metamorphosis that are camel, lion and child.

Read More
505 Words | 3 Pages

16.7 to 21.2 percent of products made in China are exported to the U.S. That is just China, there is still countries like Vietnam, Italy, Cambodia, etc. China shipped 35 billion USD worth of textiles and clothing to the US in 2007 increasing by about 16 percent from 2006. With us importing more goods than exporting this causes more jobs to be created

Read More
696 Words | 3 Pages

Many students in the United States would say that they excel in their academic life and view receiving a B or an A as those excelling standards. They are even students who believe that our country is superior in education and that most other countries receive our hand-me-down. But what if we took a student from the United States and send them to study in China? It is easy to just to send a smart average Joe over there. So let’s take it a step further and imagine if we took a group of students who make up the top 5% of our local Paramount High School.

Read More
475 Words | 2 Pages

China has become the leading exporter as

Read More
1042 Words | 5 Pages

Driven by the flow of globalization, the People’s Republic of China and the United States of America are just like the Yangtze River and the Columbia River that empty into the Pacific Ocean from different coasts and lastly intersect and compete against each other on the world’s stage. Because of this certain trend, the term “Chimerica” has been coined to describe “the integration process of the North American and Chinese economies” by Ferguson and Schularick (2007). Furthermore, in the article Chimerica: U.S.-China communication for the Twenty-first Centruy, utilizing Chimerica to promote international political relationships between China and America has been regarded as a method to cooperative development and global harmony (Jia et al, p.

Read More
1404 Words | 6 Pages

First and foremost, one must acknowledge the plainly visible fact that the Chinese economy has grown exponentially since the process of integration into the global economic system began. China 's comparative advantages, particularly in the labor sector, has transformed it into the second largest recipient of FDI in the world.1 Over the course of the last 20 years, exports have grown approximately 17.1 percent per year.2 This ultimate result of this investment and trade has been an overall growth rate 8 percent per annum,3 which would have been completely unattainable without the country 's engagement in globalization. Foreign investments have

Read More
2052 Words | 9 Pages

Nations engage in international trade because they benefit from doing so. The gains from trade arise because trade allows countries to specialise their production in a way that allocates all resources to their most productive use. Trade plays an important role in achieving this allocation because it frees each and every country’s residents from having to consume goods in the same time combination in which the domestic economy can produce them. During the past decade, China’s growing presence in Africa has increasingly become a topic for debate in the international system and among economists as well as policy analysts.

Read More

More about China Vs Us Trade Patterns Essay

Related Topics

Open Document