The geopolitical situation between China-USA is getting at a new level, and with every day, China’s economy is getting hurt very badly. A few months ago, Trump started an official trade war with Asia’s largest nation, and so far, this trade war has not brought anything good for China. Now recent reports are coming from China, which shows that manufacturing sector in it is performing very severely because of extra tariffs levied by Trump. Majority of the factories in China are not able to proceed required amount of goods because of a lower amount of demand in the USA.
In a recent manufacturing sector’s survey done in China, it’s been found that growth in this industry is slowing down. Many companies are not able to produce the goods and services because of an ongoing trade war with the USA. Trump administration a few months ago declared to levy more than 25% tariffs on Chinese goods. Now that trade war is affecting negatively on the Chinese manufacturing sector.
In the next G-20 summit both countries president are going to meet and talk about a possible trade deal. However, experts think China needs to reconsider this ongoing geopolitical situation. Export sector of China is already getting down also they are trying to find new ways of selling goods. Huawei is that etch company which has hugely affected because Trump decided to ban it. Even if the manufacturing sector is not performing well, the Chinese government is still trying to support small and medium enterprises with temporary loan waivers. Donald Trump and Xi Jinping are going to be in G-20 summit, and they are probably going to talk about ongoing situation. Experts think trade war might create a problem of recession also if not resolved correctly.
William has an experience of more than seven years writing for the web. In the recent couple of years, he’s been focusing on the business sector, watching market trends and the growth of economies. At News IMN, we use his services to keep our readers updated about the market that decides their lives.