U.S.-China Economic Relations in the Wake of the U.S. Election
The U.S. public wants Washington to ratchet up economic pressure on Beijing, but history suggests that there are geo-political constraints to doing so. It is reasonable to assume that Obama will continue to press China on economic and trade issues, especially when buttressed by the support of the U.S. public. The likely pillars of the Obama administration’s economic policy toward China in its second term will be more complaints about Chinese subsidies and trade practices filed with the WTO and the pursuit of trade agreements that notably do not include China. The unknowable factor in future U.S.-China economic relations is the political impact of what is expected to be growing Chinese foreign direct investment in the United States.