What will a Trump Presidency mean for China?

What will a Trump Presidency mean for China?

SBS World News Radio: Reactions out of China are urging US President-elect Donald Trump against introducing tarrifs on foreign imports from the country.

America's economic stagnation and the loss of millions of jobs are the fault of China.

That's the accusation made in the film called "Death By China".

The film is the work of economist Peter Navarro who has just been appointed as Donald Trump's trade advisor.

"Every job that American corporations offshore to China or some other country becomes less of a reason to stand up here and fight for fair trade practices."

For the American people, it's a familiar message.

Mr Trump has levelled similar attacks at China during and after his presidential campaign.

The President-elect made these comments in Ohio last week.

"The nation of China's responsible for almost half of America's trade deficit. They haven't played by the rules, and they know that it's time that they're going to start. They're going to start."

Donald Trump has also labelled China a currency manipulator, and blamed the country for unemployment.

Up until recently China played down the comments as little more than political rhetoric.

Ha Chunying from China's Foreign Ministry has now made this statement.

"We hope the US side can work with China to maintain a healthy and stable development of China-US relations including trade relations, which serve the interests of both countries and are conducive to world development and prosperity."

Those doing business between the two countries have issued their own warning.

The Chairman of the American Chamber of commerce in Beijing, James Zimmerman, said in a statement that isolating or penalising China will not serve America's interests.

China-based economist Andrew Polk says the tension has already affected those doing deals across the Atlantic.

"The business community doesn't really know what to do. They know they're going to get sort of caught in the crosshairs. Frankly we can all expect a pretty tense next six months.

Former Chinese diplomat to the US, Yang Xiyu, says if Mr Trump does impose tariffs on Chinese goods, China will put its own measures in place, and refocus investment on Asia, rather than the US.

"If Trump is positive on developing trade and investment relations with China, we will be positive. If China is negative, that's ok. You know the globe is so big. So if that market is closed China's businessman and investors will go to other areas."

China and the US are the world's two largest economies.

Analysts say a trade war could risk destabilising the entire global economy.

But a potentially bigger concern is Donald Trump's commitment to the "One China" policy, which forces foreign nations that deal with China to cut diplomatic relations with Taiwan

After taking a call from the Taiwanese President, it's now being speculated Mr Trump will meet his Taiwanese counterpart when she visits the US this month.

Yang Xiyu says that could cause chaos.

"It's the most important, most sensitive, most explosive issue in China-US relations. If anyone dares to touch Taiwan issue, Beijing dares to do anything, Beijing can."

China has already strongly objected to president Tsai Ing wen's visit.

 

 

 

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