False illusion of Trump limiting the effect and naive response towards world trade.
My personal area of expertise is family financial planning not legal trade law. I rely on my colleagues to help me understand the current situation.
Donald Trump, the Champion of fair trade?
"The multilateral rules- based trade system that evolved after the (second) world war is in danger of being torn apart. " -Maury Obstfeld, Chief Economist of International Monetary fund-.
The implication of this trade war is so centered in their local perspective,setting aside in regards to the effect on global trade.
On the contrary...
It will take a longer time perio to see trade flows move especially in China. According to Jonathan Slone, CEO of Brokerage and investment group CLSA.
Some analyst pointed in regards to Japan as a perfect example of trade tendecy . During their time, everyone thought they are going to lose their industrial base when the YEN went to USDJPY 110, unfortunately it did not happened.
The evolution of china
They are not making garments in many cases anymore. Those are moving out already, and they want that to happen.." -Jonathan Slone-
We see china is evolving towards high tech industries making a 2025 target plan. China main strategy is to move from frabicating and exporting basic goods to high tech electronics.
Currently, as the world see the bigger picture of the US-China trade war, Slone said on an interview that the investors are beginning to understand. In this regard, we will see the complexity of the issue rather than the noise.
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