Anyone who believes trade provides stability for bilateral ties between China and the US may ignore the decisive role of politics which is powerful enough to skew the path of globalization. From 2017 to 2022, the share of China-US trade in each other’s total foreign trade value declined, and the trend will likely continue. The Biden administration has not reduced the tariffs imposed on Chinese goods several years ago, and at the same time has adopted a slower, more targeted approach to reshape bilateral economic trade ties with China. Though it is different from the Trump administration’s rushed, harsh approach, the purpose is the same – reducing interdependence with China and excluding China from key sector supply chains, particularly chip-making. China should continue to deepen its reform and opening-up to build more intertwined economic interests with the US and Europe.
Old Version
