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List of countries that have benefited from the Sino-US trade war

2020-1-22

 

Many countries in the world hope to end the Sino-US trade war at an early date. For example, many European and Asian countries such as the European Union and Japan, because these countries' economies are closely connected with China and the United States, the Sino-US trade war will damage the economies of third countries.



In October 2019, according to estimates by Japanese think tanks, China and the United States each imposed additional tariffs. The direct negative impact of Japanese companies was reduced to about 42.8 billion yen, a small number, but the Japanese industry is more worried about global trade falling into unprecedented levels confusion.

 

 



But there are also some countries that can benefit from the Sino-US trade war.


First, Mexico


China has been the United States' largest trading partner for the past four years, followed by Canada, and Mexico ranked third. According to a report published on the Forbes News website on April 26, 2019, according to the latest data as of February this year, US-Mexico trade grew by 3.36%. At the same time, US trade with Canada fell by 4.12% and trade with China fell by 13.52%.


Second, Vietnam


Vietnam became one of Asia's most successful countries in attracting foreign direct investment in 2018. On January 10, 2019, Japan's Nikkei News reported that according to data released by the Vietnamese government, Vietnam's acceptance of foreign direct investment in 2018 increased by 9.1% year-on-year to reach 19.1 billion U.S. dollars. This is the sixth consecutive year that Vietnam's acceptance of foreign direct investment has increased, set a new record high.

 

Vietnam's economic growth rate reached 7.1% in 2018, which is among the highest growth rates in the world. The US-China trade dispute is the main reason why Vietnam has become one of the most successful countries in Asia to attract foreign direct investment. Affected by the US government's imposition of additional tariffs on goods from China, more and more manufacturers in the textile and apparel industry have relocated from China to Vietnam in order to avoid being imposed by the United States.

 

 


Third, Bangladesh


The Sino-US trade war is an opportunity for Bangladesh, especially as apparel manufacturers receive more orders from China and the United States. In the first nine months of 2019, Bangladesh ’s share of the US apparel market increased by 6.46%. In addition, as China ’s cessation of cotton imports from the United States caused cotton prices to fall, Bangladesh as the largest cotton importer benefited. As the United States imposes high tariffs on Chinese products, which leads to rising production costs, some sunset industries in China are being transferred to other countries. Bangladesh will also attract more Chinese investment, but it is necessary to strengthen infrastructure construction and skills development, increase industry capacity, and promote trade Reform and trade liberalization

 


According to statistics of NBN Inspection, the total number of inspections and audits in China in 2019 as an Asian manufacturing center increased by 5.5% over the previous year, while the total number of inspections and audits in Bangladesh increased by 12% over the previous year.

 

 

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