US-China Trade War Timeline: A New Hope?
Published On: 29 September 2020 | 5:00 PM
Lester Chua, Dealer
Lester Chua graduated from Singapore Institute of Management (University of London) with a Bachelor’s Degree in Accounting and Finance (FCH). He possesses over 5 years of trading and investing experience with in-depth knowledge in stocks and various investment products. In his free time, he researches on value investing, focusing on the fundamental analysis of companies.
This article is part of the US election series brought to you by POEMS. #USElection2020
What the report is about:
- Timeline of US-China trade developments from July 2019 to August 2020
- 2020 US-China outlook
- How to gain exposure to US and China markets
Phase 1 of the US-China trade deal was signed under the old normal, when additional tariffs could be absorbed by both sides. Since then, Covid-19 has turned the world topsy-turvy and overshadowed everything else. US-China relations have also deteriorated to below pre-trade-deal levels.
With US presidential elections round the corner, President Trump will likely ratchet up the heat on China to widen his appeal with his brand of populism. A Biden win, however, may well alter the course of relations. While the world watches in anticipation, check out our latest summary of trade developments from 2019 to 2020. Our article on trade developments from January 2018 to June 2019 can be found here.
2019 - silver lining at the end of the year
2020 - a new hope?
The coming elections could be a crux for trade relations. If President Trump serves a second term, China is likely to face additional pressure, especially in the tech space. If Biden takes over, he would face the challenge of having to differentiate his China policy from Trump’s. Possible moves include getting rid of Trump’s policies to show goodwill, since the Democrats have long stood for stronger US-China relations. With further progress on trade talks unlikely due to the Covid situation, we can only wait and see.
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