Trade With China: More Of A One Way Than Two Way StreetGene Koretz
It's hardly surprising that the Chinese are concerned about the possible use of trade sanctions by the incoming Clinton Administration to pressure them to move toward political democracy. China has now become the world's fastest-growing economy, with gdp expected to jump by nearly 12% this year. And demand from the U.S. is obviously playing a significant part in that growth.
During the first eight months of this year, Chinese exports to the U.S. soared by 41%, to $15.8 billion. Indeed, trade with China accounts for 44% of the $9.1 billion widening of America's overall trade deficit through August of this year. In that period, the U.S.-Chinese trade shortfall has jumped to $11.2 billion from $7.2 billion in the first eight months of 1991, making China the source of America's second-largest bilateral trade deficit, after Japan.