US-China trade relation is crucial for the global economy. But it depends on a stable US-China relation, as of now obviously the US-China Relation is very challenging to say the least.
The following statement is from the US-State Department: Strategic competition is the frame through which the United States views its relationship with the People’s Republic of China (PRC). The United States will address its relationship with the PRC from a position of strength in which we work closely with our allies and partners to defend our interests and values.
On the other hand, Ambassador Qin Gang stated during an interview on December 20, 2021, in DC stated that: We believe that China and US are interdependent, there are so many interests intertwined. And we both, as big countries, shoulder the common responsibility for world peace, security and prosperity. The two Presidents both agreed in their virtual meeting that there should be no Cold War. President Biden said that the US does not seek a Cold War. But as you mentioned, all these actions from the US give us the impression that the Cold War mentality is seen here. This is the undercurrent of most of the things the US is doing to China as you mentioned.
It is clear US and China are competing for global influence in the future. Competition can be healthy, productive if both nations are fully focused on peace and reason. Any war or military confrontation is a disaster and should be avoided. Further, nations in the world need to encourage mutual understanding, enhance mutual trust and respect. US and China, as the two largest economies in the world, should assume the leadership.
Ambassador Qin also stated that: For a long time, we call business cooperation the anchor and propeller of China-US relations. This shows its important role in our relations. Our views on the importance of trade and business and our welcoming attitudes towards US businesses never change… The market is big and huge, but the competition is getting fierce. We gave foreign companies national treatment to provide a level playing field for foreign companies. But now the result is foreign companies are feeling that they couldn’t get preferential or favorable policies and the treatment they got 20 years go. And they are facing competitions from Chinese companies. This is a natural course of China’s economic growth. And I do suggest to American companies, do not only look at the pressure, but look at the future. China pursues all-round, high-level opening up. This will not change. Chinese market is getting bigger and bigger. The best way to get profits or to get your share bigger is to make the whole cake bigger. Everybody, not only American or Chinese companies, can have a share. Who is now a major powerhouse for world economy? China! China has eliminated absolute poverty, and there will be great potential brought by China’s efforts to achieve common prosperity. If 800 million people get better off, they have more money to buy. It will unleash endless purchasing power.
As a matter of fact, the US-China Business Council stated that: Today, the US-China trade relationship actually supports roughly 2.6 million jobs in the United States across a range of industries, including jobs that Chinese companies have created in America. And as the Chinese middle class continues its rapid expansion over the next decade (the number of Chinese middle-class consumers will exceed the entire population of the United States by 2026), US companies face significant opportunities to tap into a new and lucrative customer base that can further boost employment and economic growth. Economic data show that nations trading closely with China outperform nations with less integrated trade ties, and we expect this trend to continue.
The US-China Energy Industry Forum will focus on enhancing US-China Trade on energy related products, services, collaboration on R&D for new environmentally friendly technology and marketing.