Trump touted 60% tarrifs on Chinese companies and goods. It comes in the backdrop of the coming development of XI on his inaugural ceremony. Despite the harrowing trade war Trump invited him but XI remained distant and stalled from him. It was a gleam of hope in the midst of the augury of devastation. The goodwill step of Trump makes him present debonair presence in the world. Trump is known for his charismatic personality, unique talks and political savvy. He has phenomenal career in the politics. In few weeks he will going to become 41st president of America on this grand event he invited XI Jin Ping of China for the visit.
Many political analysts and experts are suggesting the invitation visit as distraction and intentional mockery because since Trump has come he vowed to launch adamant and strict tarrifs against Chinese companies including heavy manufacturing and service goods. The tone of Trump was hinting he will do something unusual which even Biden could not do in his tenure. Further stated, he is even interested to initiate new Semi-conductor war with Chinese companies in manufacturing industries.
Why does it matter for both countries?
A semi-conductor could be a major replacement for the fuel consumption. Many developed countries are embarking the path of carbon free mission in order to maintain conducive and friendly environment for the ecosystem. The problem is this kind of energy is costly and not abundant for population because of overall consumption with the respect to the population. However, many countries are embracing this form of energy as more suitable and affordable.
Does this trade war affects other countries?
In the race of giants poor countries have to pay the huge price because of the changing economic policies and growing tensions, they have to suffer and adjust in the races of giants. It will be extremely difficult for them to remain neutral because of external pressure. Hence, they have to decide to become part of the bloc which gives them leverage and boost in their interests. World is witnessing is new version of cold war which is far more deadly and catastrophic for countries.
