US President Donald Trump continues his attacks on China as trade tensions are escalating even more. The trade conflict between the world's two largest economies is affecting both countries financially. The US is more resilient to economic blows. Therefore, China needs to be more careful when it comes to retaliation.
China’s strategy seems very efficient since some sectors of the US economy are suffering losses due to the trade war. Many experts note that Trump's aggressive trade policies have a negative impact on American farmers. The US agricultural sector is well developed in the country. Local farmers export their products all over the world, and China is one of the largest buyers. Currently, producers of grain, corn, and soybeans are extending losses due to the fact that China has significantly reduced the supply of American agricultural products. Such a decision was a retaliatory measure in the trade war. Naturally, at the moment, farmers are facing difficulties but they are likely to find new markets quickly. In addition, the Chinese market plays an important but not a key role for the United States. Therefore, China is playing a dangerous game.
Time will show whether this measure is justified. Some experts say that Russia, which is the largest grain exporter in the world, may replace the US in China’s market.
