According to Bloomberg, during the presidential elections in the United States, regardless of their outcome, the Chinese economy will be the main loser in the struggle of American leaders, analysts believe. Regardless of who wins the presidential elections in the United States – Joe Biden or Donald Trump – the Chinese economy will suffer the most. As a result, Beijing finds itself between a rock and a hard place. Experts are confident that either scenario spells trouble for China. For example, suppose Donald Trump, upon assuming the presidency, imposes a 60% tariff on all Chinese imports. In that case, the massive trade turnover of $575 billion will halt, and American companies will suffer significant damage. However, the current US president is also not favorable to China. Joe Biden's current rhetoric may shift towards a tougher stance against the PRC. In the past, such a hardening of positions played into the hands of the White House. Such measures include a possible ban on access to data sets and restrictions on producing and selling electric vehicles. Analysts estimate that such measures will significantly worsen the prospects of the Chinese economy. At the moment, the Chinese government is still determining which of the two candidates poses the greater threat to the country's economy. Trump's decisions are radical, but the billionaire is willing to negotiate mutually beneficial deals. Joe Biden is more cautious, but he can also make harmful decisions. According to Sang Baichuan, an advisor to the Chinese Ministry of Commerce and a professor at the University of International Business and Economics in Beijing, the Chinese economy will be under pressure regardless of the outcome of the US presidential election. On the one hand, Trump's assumption of presidential powers will intensify this pressure. On the other hand, Trump’s America First approach could create conditions to "break through the anti-China economic circle", Sang summarizes. According to analysts, the Chinese economy faced several problems last year. Against this backdrop, many experts have revised their outlook for the Chinese economy towards deterioration. Specialists doubt that China will surpass the United States in terms of GDP. In addition, at the end of 2023, investors fled into US securities. Currently, market participants continue to withdraw funds from Chinese assets and transfer them to American ones.
