Whether Tariffs Are Phased Out Academics: The United States And China Insist On Each Other.

China's Ministry of Commerce has revealed that the United States will cancel tariffs in phases, but denied by US President trump. Scholars believe that China is willing to play a low profile and there is room for bargaining, but China will not give up the state subsidy policy.

Shen Zhonghua, a professor in the Department of Finance and economics, said that although the United States is a typical capitalist country, it is hoped that the government can not accept the government subsidies for fair competition. But China is a socialist country. It is not easy for China to give up this policy of strong socialist characteristics, because they think it is a way for the state to take care of the enterprises and take care of the people.

Shen Zhonghua pointed out that China is willing to open the market and negotiate with the United States on patent rights. It also orally promised that the US technology to set up factories in China does not need to be transferred. Therefore, even if China did not give up the state subsidy policy, the United States had gained the upper hand in the trade war and should be relaxed on the tariff issue.

Zhou Ji, an advisory member of the China Economic Research Institute, believes that for the United States, the US China trade war is only a skirmish. The next technology war is the main battlefield, and the extension is the strength of national defense.

Zhou Ji said that US President trump is a real estate tycoon. The ability to bid and shout can not be underestimated. When we shake hands with China, the agreement can be changed. When China is arguing fiercely, it may also turn a blind eye.

He bluntly said that although trump is an atypical American politician and different from the traditional leaders of Europe and the west, he is quite different from the previous US presidents. But he stressed that the priority of solving domestic problems seems to be in line with the political atmosphere within the Republican Party. For example, former US President Reagan also gave priority to domestic policies and contributed to the collapse of the Soviet Union.

Taking Japan as an example, Japan knows that its role will never compete with the United States, and so it can give up the leading power of many commodity specifications and affect the competitiveness of products. The Chinese government can not step into Japan's footsteps and will not be willing to live in the United States, so it will not give up the dominant power of the economy to the United States.

Observing the means of bilateral trade war between China and the United States, Shen Zhonghua analyzed that tariffs imposed by the United States were the most important means and the main axis of the US China consultation. Trump also temporarily staged China's repayment of the US's holding of the Qing government bond drama, but he found that the US court had ruled that it would not be repaid without repayment. Although China once sold and held us government bonds, the lower the value of bonds sold, the less they would sell.

He said that China may reduce the impact of the US tariff increase and let the RMB slightly depreciate the export, but it can not really deliberately let the renminbi depreciate. Otherwise, the purchasing power will be reduced, the capital will shift outside, and the gains will not be worth the loss.

On the part of the open market, he said that China's opening up of foreigners to China to set up a company would return to its home country after profits were taxed, but it would be eligible for foreign investors to invest in the stock market and avoid foreign exchange. Therefore, the system of foreign professional investment institutions must apply to the competent authorities for investment quota, so even if China moves towards the direction of financial liberalization, it can not be as open as Hongkong's financial market.

He believes that many countries around the world maintain some restrictions on the financial market, such as limiting the amount of funds discharged by natural persons and legal persons, and avoiding the massive remittance of short time funds, resulting in sharp fluctuations in the market. Therefore, China's opening up of the market will not be open to no limits.