Investing.com – Donald Trump’s presidential victory has encouraged fears that they are now on an inevitable path to another trade war with China, but the president has refrained from appearing against China, Inga says hope that the path could exist, though narrow would avoid trade war.
“The markets have avoided what would be the worst scenario for the risky property on Donald Trump’s inauguration. The President really refrained from bringing an extraordinary situation in the national economy and customs throughout the country for China and the rest of the world,” Ing said in a recent report.
Trump’s restraint in the first days of his presidential term opened up space for negotiations and avoided the immediate escalation of the coating with China, added Ing.
The bank has highlighted several areas where cooperation between the US and China could be possible, including solving a crisis with fentanil and solving problems with Tictok. As for Fentanil, ING said this is “an area where there should be room for cooperation”, noting that the export of chemicals in Mexico and Canada was only $ 2.8 billion in 2024, or less than 0.1% total exports of China.
The TICTOK SAGA, which is underway, could determine the tone of connections between the US and China, with a 75-day moratorium on a ban on Tiktoca that sets the beginning of April as “a potentially important time frame for observation if negotiations are not smooth progressed. “
Ing, however, warned that, although China seems to be ready to increase import and open access to the market, the path to avoid a more destructive trade war remains narrow.
“Although China is obviously preferred to avoid trade conflicts, especially given the recent economic sentiment, this reduced relying on the US market and US suppliers really opens the possibility for more aggressive retaliation (such as export control or aiming tariff for large US multinational companies) from China) from China) If he is cornered to the corner, “Ing.
