Sino-US Economic Relations in a Lasting Game—Where Is the Time and Trend?

Rui Li

Abstract


The economic relationship between China and the United States is very important. The United States has become the largest market for Chinese exports, and it is also China's largest source of trade surplus except Hong Kong. In recent years, the United States has surpassed Japan as the largest direct investment country in China, except Hong Kong. The domestic market capacity of the United States is very large, and the total annual import and export volume far exceeds China's annual gross domestic product. Although the United States will complain about the deficit in bilateral trade, due to the large domestic market and a long tradition of free trade, the general public is very tolerant. So the US market has huge potential to absorb Chinese products. In addition to the highly complementary trade structures between China and the United States, the two big countries also offer each other very attractive investment prospects. The United States has a wide range of talents from all walks of life. The infrastructure is highly developed and highly regulated and open. These certainly provide very attractive prospects for Chinese investment. For the United States, China needs to transform into a modern country, from rural to urban, from transportation, energy to industry, science and technology, from culture, education to health, and sanitation. The investment required is at least trillions of dollars. The abundant capital, advanced technology, superb management, and thoughtful service of the United States have great appeal to China.

Keywords


Sino-US, Economic Relations, Friction game, Prospect


DOI
10.12783/dtssehs/ssme2019/34831

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