09 Nov 2020
The U.S. and China have been in a trade dispute for over a year and a half, and with Biden as the 46th President of the world’s best economy, trade talks are expected to be calmer. However, the issues are not set to disappear.
Tensions between Washington and Beijing had escalated during former President Donald Trump’s term, which made him the first one-term president since the 1990s. The two are in a dispute about unfair business practices by China’s state-dominated system. Trump had introduced a number of levied tariffs on billions of dollars’ worth of Chinese goods, as well as causing damage to the Chinese tech giant Huawei.
Greg Gilligan, chairman of the Beijing-based American Chamber of Commerce in China, said, “The issues that remain between the U.S. and China commercial relationship don’t change with (the) change of administration.”
He continued, “There’s pressure on both sides to remain fairly hawkish simply because domestic politics don’t allow for yielding the hawkish ground to someone else.”
A phase two deal has not started to be negotiated yet, after a phase one agreement was made in January.
“There is a lengthy transition to go through and a pandemic to bring under control. Perhaps we’ll see a continuing ceasefire in the trade war, but it’s way too early to know if the tariffs will be removed or the actions against Huawei and others will be undone,” Scott Kennedy, senior advisor and Trustee Chair in Chinese Business and Economics at the Center for Strategic and International Studies.