Page 33 - THE SOUTH CHINA BUSINESS JOURNAL
P. 33
May 2017
American manufacturers compete in a global economy. In addi- This is the 29th year that the U.S. Chamber has formally hon-
tion, votes in support of building the U.S. water infrastructure ored the accomplishments of this select group of members of
system, protecting intellectual property, and updating energy Congress.
policy also factored into scoring.
Trump and Xi Need to Create a Stronger
Framework for US-China Relations
Leaders of the world’s two most powerful economies sat The Trump administration must realize how our trade relation-
down together for the first time in April. The list of topics to ship with China benefits the US economy, even as it presents chal-
cover were long. But this meeting was more about the relationship lenges. Trump must find a way to address the most pressing issues,
that will be established between President Donald J. Trump and such as market access and a level playing field, without blowing
his Chinese counterpart, Xi Jinping. up the relationship through unilateral actions that may feel good
initially but will quickly damage the US economy and kill jobs
The US-China Business Council’s board of directors released last rather than create them. Viewing our trade relationship as zero
month a list of priorities that outline how both governments can sum harms American interests.
strengthen our bilateral commercial relationship. A top recom-
mendation is to establish an annual presidential summit as the Xi, on the other hand, must realize that though the China mar-
anchor of results-oriented engagement throughout the year. This ket is important to the United States and American companies,
first, early meeting may have been more about tone than sub- China should not over play this card. China’s economic reforms
stance, but Trump and Xi must find enough common ground to are entering their fourth year, but the slow pace and mixed signals
want to put the relationship on a better path. of reforms so far are leaving the American business community
uncertain about policy direction and undermining confidence.
Both presidents went into the Mar-a-Lago meeting wary of the
other. The US presidential campaign featured harsh rhetoric on China is fond of saying that the commercial relationship is the bal-
trade and China. North Korea’s nuclear program is bringing secu- last of the overall relationship. If so, this would be a good time to
rity concerns to the fore. On the trade front, we hear more about firm up support by taking actions to address longstanding issues
retaliatory actions than finding a better way to get the results com- of concern -- creating the kind of results American companies are
panies need. looking for, not just rhetoric.
The stakes are too high to play into protectionist fears. China is at It would be easy for the two presidents to dig in their heels, point
least a $400 billion market for the American economy, the second the finger at the other, and let the relationship be defined by puni-
largest overseas market after Canada. Oxford Economics estimates tive actions. A better approach would be to identify positive steps
that trade with China supports 2.6 million American jobs. China to address the issues and create a stronger framework for an en-
contributes one-third of global growth every year now - more than during relationship.
the United States - so market access is a vital American economic
interest. This meeting established the tone, but setting in motion the steps
to achieve that longer term objective would be a welcome outcome.
31
American manufacturers compete in a global economy. In addi- This is the 29th year that the U.S. Chamber has formally hon-
tion, votes in support of building the U.S. water infrastructure ored the accomplishments of this select group of members of
system, protecting intellectual property, and updating energy Congress.
policy also factored into scoring.
Trump and Xi Need to Create a Stronger
Framework for US-China Relations
Leaders of the world’s two most powerful economies sat The Trump administration must realize how our trade relation-
down together for the first time in April. The list of topics to ship with China benefits the US economy, even as it presents chal-
cover were long. But this meeting was more about the relationship lenges. Trump must find a way to address the most pressing issues,
that will be established between President Donald J. Trump and such as market access and a level playing field, without blowing
his Chinese counterpart, Xi Jinping. up the relationship through unilateral actions that may feel good
initially but will quickly damage the US economy and kill jobs
The US-China Business Council’s board of directors released last rather than create them. Viewing our trade relationship as zero
month a list of priorities that outline how both governments can sum harms American interests.
strengthen our bilateral commercial relationship. A top recom-
mendation is to establish an annual presidential summit as the Xi, on the other hand, must realize that though the China mar-
anchor of results-oriented engagement throughout the year. This ket is important to the United States and American companies,
first, early meeting may have been more about tone than sub- China should not over play this card. China’s economic reforms
stance, but Trump and Xi must find enough common ground to are entering their fourth year, but the slow pace and mixed signals
want to put the relationship on a better path. of reforms so far are leaving the American business community
uncertain about policy direction and undermining confidence.
Both presidents went into the Mar-a-Lago meeting wary of the
other. The US presidential campaign featured harsh rhetoric on China is fond of saying that the commercial relationship is the bal-
trade and China. North Korea’s nuclear program is bringing secu- last of the overall relationship. If so, this would be a good time to
rity concerns to the fore. On the trade front, we hear more about firm up support by taking actions to address longstanding issues
retaliatory actions than finding a better way to get the results com- of concern -- creating the kind of results American companies are
panies need. looking for, not just rhetoric.
The stakes are too high to play into protectionist fears. China is at It would be easy for the two presidents to dig in their heels, point
least a $400 billion market for the American economy, the second the finger at the other, and let the relationship be defined by puni-
largest overseas market after Canada. Oxford Economics estimates tive actions. A better approach would be to identify positive steps
that trade with China supports 2.6 million American jobs. China to address the issues and create a stronger framework for an en-
contributes one-third of global growth every year now - more than during relationship.
the United States - so market access is a vital American economic
interest. This meeting established the tone, but setting in motion the steps
to achieve that longer term objective would be a welcome outcome.
31
