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The following article was published in our article directory on November 4, 2010.
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China-US Trade Complex in Moving Forward

Article Category: Business

Author Name: xia zihui

U.S. mid-term elections on November 2 as scheduled. As expected the outside world, the United States President Barack Obama being the Democratic Party belongs to fall, but still barely retained its majority in the Senate, Republicans regain control of the House of Representatives. At least the next two years, the U.S. administration and Congress will form a political game of the new pattern.

U.S. domestic political climate from the point of view, the focus of this election is "Whither the United States should in the end." In the international financial crisis, American voters face both the reality of high long-term unemployment problem facing the world economy under the Structural Changes of the United States in the end how to deal with this strategic issue, and China on these two issues play an important role in both . Thus, in the U.S. mid-term election results came out, China must as soon as possible from a strategic perspective in the United States thought China China policy changes and adjustments.

While traditionally, the Republican Party more representative of the interests of big business groups, tend to support free trade and expand economic and trade relations with China, but now, this simple understanding is obviously out of date. Mid-term elections, the U.S. strategy toward China and the complexity of the thought to be far more than the traditional thinking.

First of all, can be seen from the U.S. mid-term elections, the American people, though still inclined to support the positive development of China, the strategic cooperation relationship, but "China's development" and "American decline" is deepening concern that this trend will be connected Sino-US relations within two years down the interaction of a large background. Among the mid-term elections, some candidates have hit the main contents of China's political campaign ads, including the very famous "Chinese professors" advertising, reflecting their economic competitiveness, the U.S. decline and China's rising influence of deep concern. In addition, the U.S. mid-term elections, the RMB exchange rate at the House of Representatives overwhelmingly passed the motion, also shows that members of Congress and representatives of the electorate there is a deep exchange rate policy in China "misunderstanding."

Such concerns arise in the United States, and is different from a Cold War mentality of the "China threat" theory, but in today's world economic situation, a natural response to American society. For this trend, the Chinese may not be able to simply "debate style" language to be refuted, but needs to make more positive and effective response, especially considering how to more action and more effective way for American society continue to identify with China's peaceful development in the national interest of this basic concept.

Second, the U.S. multinational enterprises have long benefited from China's development, the overall Sino-US economic and trade relations to support stable, healthy development, but over the past year, the U.S. multinational enterprises in China to increase investment in environmental concerns, especially for the Chinese New of labor and environmental regulations to implement, and promote independent innovation strategy, there is doubt, fear of "discrimination." This also requires China to explain and communicate a great deal of work.

After China's development to a certain stage, the inevitable happened in the utilization of foreign capital must change, hope with Chinese domestic economic restructuring, the policy objective of achieving sustainable development together, which is completely understandable. In addition, the Chinese created their own brands to promote, encourage innovation, but also by the economic powers made China's economic power, the inevitable choice. Although these policies in China to the United States will undoubtedly have a multinational enterprise a certain impact, but the two sides in areas such as nuclear energy, aerospace and other high-tech fields as well as energy saving opportunities for cooperation in the field also expanded significantly. China's reform and opening up 30 years later into a higher stage of development, but China's vast market and ample labor resources, the U.S. multinational corporations will continue to bring great opportunities for development.

Third, the U.S. mid-term elections, the Sino-US trade frictions may not be reduced, or even increase. This is mainly because the slower pace of economic recovery in the United States, against the backdrop of high unemployment, the trade imbalance will remain in the United States, a topic of political struggle. Occur if the United States, "the rise of China, the U.S. decline" trend to combine there may even be a new "beat the Chinese" move.

But we must see that China-US relations today, the two countries and the world have a significant impact, both sides have maintained sound development of Sino-US bilateral relations, a powerful driving force. Thus, despite the possibility of trade friction has increased, but as long as the two sides not to politicize it, you can still control the trade friction on the overall situation of Sino-US relations.

It should be noted that, in the U.S. mid-term elections, the Sino-US strategic common interests inherent not decreased, which is the foundation for safeguarding the overall situation of Sino-US relations. China and the U.S. In addition to geopolitical, terrorism and global issues such as climate change, there are enormous opportunities for cooperation on the outside, in solving the world economic imbalances and promote sustainable economic recovery in the world and oppose trade protectionism, etc., also have an important and common responsibility .

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