US trade bullying puts global economy at risk
By
Zhong Sheng
Washington’s
recent decision to impose additional tariffs on Chinese goods further exposed
its essence of a trade bully. It triggered anxiety among the international
community that the global economy might be severely impacted by the tariffs.
According
to Morgan Stanley analysis, if the US imposes 25% tariffs on $300 billion worth
of imports from China, would likely be enough to sink global growth below 2.5
percent.
Bernard
Dewit, chairman of the Belgian-Chinese Chamber of Commerce, believes that
Washington’s strategy of using tariffs as a weapon will increase global trade
barriers and reduce trade volume. It will also set a negative example, lead to
vicious competition and eventually drag the global economy into a quagmire.
Certain
people in the US have undermined multilateral trade rules, threatened the
security of the global industrial chain and supply chain, triggered turbulence
in international financial market, and dragged down international trade and
world economic growth.
Their
arbitrary practices are against the trend of economic globalization, contrary
to the principle of market competition, and have significantly increased the
risk of global recession.
As
the world’s economic pattern is becoming increasingly intertwined, any attempt
to decouple economies and create confrontation through protectionist and
unilateral practices is impractical, and is doomed to fail.
A
tiny screw illustrates the abovementioned point very well. According to the New
York Times, Apple Inc. recently tried to manufacture a batch of top-of-the-line
computers in Texas, but ended up struggling to find enough screws.
More
and more insightful people are pointing out that the immoral, irresponsible and
irrational behaviors of some Americans have seriously damaged market confidence
and caused chaos in the international financial market.
The
World Bank, the International Monetary Fund, and the World Trade Organization
have repeatedly warned that if the trade war continues to develop, it will exert
greater impacts on the global economy.
At
the recent G7 summit, leaders of France, Germany, the UK and other countries
expressed deep concerns about the US provoking economic and trade frictions.
European Council President Donald Tusk said escalating trade tensions between
the US and other countries risk throwing the world into recession.
In
today's world, it is an irresistible historical trend that multilateralism and
win-win cooperation will replace unilateralism and zero-sum game.
Some
people in the US confronting this trend with outdated mentality not only harm
the interests of both China and the US, but also undermine the common interests
of all countries in the world and hurt the well-being of global people.
(Zhong
Sheng is a pen name often used by People’s Daily to express its views on
foreign policy.)
US trade bullying puts global economy at risk
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