Why China Shouldn't Wait Out Trade Feud With U.S.
Offering concessions now could give the Asian giant more time to reduce its dependency.
One Belt, One Road.
Photographer: Asim Hafeez/Bloomberg
A common refrain from some long-term China observers is that the government in Beijing can just wait out a significantly more confrontational U.S. trade policy now that the initial shock is past. After all, the uncontested Asian powerhouse is on track to be the largest economy in the world. It also has a long tradition of government that shrewdly takes a long-term perspective to continuously deliver growth, opportunities and prosperity to its citizens. But there’s an important nuance this time. Unless China's traditional long-term strategic stance is combined with a seemingly contradictory short-term tactical approach, the country could risk major damage to its development and prospects for prosperity.
China is one of the few countries to have a relatively long succession of leaders able and willing to repeatedly combine three policy methods that are central to development sustainability: