The Current State of U.S. – Sino Economic Relations

On June 25, 2019, the Meridian Corporate Council partnered with Merck to host an afternoon discussion on U.S.-China economic relations with Minister Zhu Hong, Minister of Economic and Commercial Affairs at the Embassy of the People’s Republic of China.

Minister Zhu made the case to U.S. companies that tariffs on China are damaging to both the U.S economy and their interests in China. Pointing to the negative effects that the tariffs have on American workers and families, Zhu stressed the importance of businesses staying involved in the policy process. He also shed light on the G20 Summit meeting between Presidents Trump and Xi which was set to take place later that week: a meeting that resulted in a ceasefire in the ongoing trade war and demonstrated intent on both sides to reach to an agreement.

The United States and China have cooperated for the past 40 years and should be able to continue to grow together since the two economies have different specializations. As each other’s largest trading partner, Minister Zhu expressed a desire to choose economic policies that promote cooperation and stability with the United States which will help the U.S. not view economic relations with China as a zero-sum game since they cannot be decoupled. Many in the United States, though, contend that economic interdependence alone will not keep China from engaging in predatory economic practices and seeking to fundamentally change the economic order.

U.S. businesses are keeping a close watch as the world’s two largest economies set their course for the future.

Photos by Jessica Latos.

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