From the perspective of economic globalization, the necessity of the Sino-US trade war: 1. We do not have the initiative whether to fight or not.
The United States proactively provokes disputes, presses forward step by step, exerts extreme pressure and blackmail, breaks its promises, is capricious, and is arrogant and unreasonable.
Whether or not to fight a trade war obviously does not depend on China’s will.
Faced with the impending sanctions, China has only two choices: either succumb to the bullying of the United States and endure the humiliation from now on; or it can resist, establish its proper image as a great power, and let the other side know that the Chinese are not easy to bully.
2. Due to the nature of the trade war, it cannot be ignored.
This trade war is different from the past. It is not limited to trade or even high-tech industries. It is a strategic game related to the destiny of the country.
Our country has always been uncompromising on issues of principle. It was uncompromising when it was poor and backward. Now that it has developed, there is no reason to compromise.
3. For a businessman like Trump, it is impossible not to fight.
In his autobiography, "The Art of Doing Business," Trump talked about the four stages of doing business: first, proposing an astonishing goal; second, hyping it up; third, repeatedly swinging in decision-making; and fourth, obtaining intuitive results.
He wrote: "A condition that is much higher than expected makes it impossible for the opponent to start - capricious changes put pressure on the opponent - giving sub-optimal conditions makes the opponent eager to accept - to achieve the originally desired result."
Trump obviously regards Sino-US economic and trade negotiations as a "big business."
4. The cultural character of the United States is to bully the weak and obey the strong.
The United States has always bullied the weak and feared the strong. It has always been the United States' practice to "pick weak people and pinch them."
Extended information: There are no winners in the trade war. "This move by the United States is not conducive to China's interests, the interests of the United States, and the interests of the world. It sets a very bad precedent." The United States ignores the fact that China has strengthened intellectual property protection, ignored WTO rules,
Ignoring the calls of the broad industry and insisting on going its own way is typical unilateralism and trade protectionism, and China is firmly opposed to it.
Trade protectionism is one of the main risks of shifting gears. The unilateral actions of the United States may hinder the acceleration of global recovery and even face the danger of being unable to be completed.
Many people in the American business community have spoken out, calling on the Trump administration to act with caution.
If the U.S. government ignores WTO rules and takes unilateral actions to resolve disputes with its trading partners, it will not only be ineffective in solving the problem, but may also harm the interests of its own consumers and import and export companies.
A research report recently released by the American Information Technology Innovation Foundation shows that if the Trump administration imposes a 25% tariff on information and communication technology products imported from China, it will cause the US economy to lose approximately US$332 billion in the next 10 years.
The burden of high tariffs will eventually be passed on to American businesses and consumers.
Taking the taxation of the steel industry as an example, not only upstream manufacturers but also the downstream labor market will be affected.
Li Yong said that the U.S. government imposed taxes on imported steel in 2002, which caused more unemployment in the downstream industry than the total employment in the steel industry.
Imposing high tariffs on some Chinese products is expected to become the main content of the restrictive measures, which is also considered to be one of the means by which the United States hopes to reduce the trade deficit.
In fact, the reasons for China's trade surplus in goods with the United States are multifaceted. Ultimately, they are determined by the economic structures, industrial competitiveness and international division of labor of the two countries. They are also affected by factors such as the current trade statistics system and the United States' high-tech export controls to China.
Under the same exchange rate level, China has a surplus in labor-intensive products, but a deficit in capital and technology-intensive products, agricultural products, and service trade.
This fully shows that industries with strong competitiveness will have larger surpluses.
Between China and the United States, whether exports or imports, "the market has the final say" and is the result of independent choices by enterprises and consumers in both countries.
Experts said that the reasons for the Sino-US trade deficit are complex and related to the economic development levels and industrial structures of the two countries.
The trade deficit was not formed in a day, and it cannot be solved all at once through coercive measures.