Wainwright Marks Management - US and China Close to Reaching Trade Deal
March 06, 2019 Business News(PRLEAP.COM) As trade negotiations between the US and China continue to gather momentum, analysts at Wainwright Marks Management say the world's two largest economies may be close to reaching a compromise.
The United States and especially President Donald Trump, has long criticized China for a trading relationship that is deemed unfair. While previous US administrations have tried to coax China into making changes that would address the massive imbalance, last year Trump resorted to bullying China into submission by slapping punitive tariffs on China to gain concessions.
While the tariffs and their toll on China's economy seem to have placed the US in the driving seat and provided them with considerable leverage in their trade negotiations with China, many US businesses and farmers have paid a high price in the process.
Over the past year US businesses have suffered from the elevated costs and limited access to China's markets while the US agricultural sector has reported the loss of many big contracts with China.
If negotiations with China continue to go well and the US manages to gain the concessions it wants from the world's second largest economy, Trump has stated that he will reverse the punitive tariffs but analysts at Wainwright Marks have questioned whether the cost to US businesses and farmers has been worth it.
Details of the US China trade deal remain hazy and Wainwright Marks Management say China has been known to make promises about changing its economic policies without effecting any significant or meaningful changes.