🇨🇳🤜🇺🇸 US suffers a crushing defeat in its trade war with China, Bloomberg reports
▪️When President Donald Trump launched the trade war with China in 2018, his goal was to reverse China’s industrial policy and undermine its drive to dominate high-tech manufacturing. That policy has failed on every front, Bloomberg states.
▪️Outside the United States, China’s trade position is stronger than ever. Its trade surplus rose to a record $1.19 trillion last year.
▪️China remains the world’s leading industrial power and, by a wide margin, its largest producer and exporter of intermediate goods. Chinese exporters responded to America’s new trade barriers by simply working around them, rather than reducing volumes.
▪️China’s state-led economic model has become even more effective. Its latest five-year plan shows that industrial policy is no longer merely one policy area among many, but the organizing principle for the entire economy.
▪️US policy has proved ineffective, if not counterproductive. Polls show that, for the first time, China is viewed more favorably than the United States in many countries, Bloomberg emphasizes.