The US recently slapped tarriffs on glossy paper imported from China. Around US$220 million of these were sold to the US in 2006 and the Americans are simply not happy about it. The trade gap between the two is huge in favour of China.
The Chinese are obviously not very happy about this development and may plot a counter-move that clearly forebodes a looming trade war with the US. China after all, has the largest reserves in the world, at US$1 trillion, and a significant chunk is invested in US treasuries. They can easily decide to take it out and engage the US in a trade war.
Everybody's monitoring China's next move. It's like watching a chess game.
The Chinese are obviously not very happy about this development and may plot a counter-move that clearly forebodes a looming trade war with the US. China after all, has the largest reserves in the world, at US$1 trillion, and a significant chunk is invested in US treasuries. They can easily decide to take it out and engage the US in a trade war.
Everybody's monitoring China's next move. It's like watching a chess game.
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