No one wins: on the US-China trade war

 

No one wins: on the US-China trade war

The U.S.-China trade war is on; unless saner counsel prevails, it will affect others too

The trade wars have finally begun(शुरू हो गया।). After exchanging(आदान प्रदान) several(कई/विभिन्न) threats(खतरे/आशंका) over the last few months, both the United States and China implemented(कार्यान्वित) a tariff of 25% on imports worth $34 billion last Friday. This marks the official beginning of what China dubs as “the biggest trade war(व्यापार युद्ध) in economic history”. While this trade war is far(दूर) from the biggest the world has seen, it has the potential(क्षमता/संभावित) to cause(वजह/कारण) some significant(महत्वपूर्ण ) damage(नुकसान) to the world economy. U.S. President Donald Trump, who began the year by imposing(प्रभावशाली/शानदार) tariffs on imported solar panels and washing machines, has vowed to possibly tax all Chinese imports into the U.S., which last year added up to a little over $500 billion. Mr. Trump’s tariffs against China will likely resonate(गूंज जाएगा) with voters who believe in his “America First” campaign(अभियान) and perceive(समझना/महसूस करना) the trade deficit(कमी) with China as a loss to the U.S. economy. China, not surprisingly(हैरानी की बात है,) , has responded by targeting American exports like soybean and automobiles, a move that could cause(कारण/वजह) job losses in American states that accommodate(समायोजित/स्थान देना) Mr. Trump’s voter base(आधार). Other major U.S. trading partners such as the European Union, Mexico, and Canada have also slapped(तमाचा मारना/फेंकना) retaliatory(मुंहतोड़/प्रतिशोध का) tariffs on various U.S. goods.

In a globalised world, no country can hope to impose(प्रभाव डालना/लागू देना) tariffs without affecting(प्रभावित करना/व्यवहार करना) its own economic interests. Apart from disadvantaging(नुक़सान पहुंचाना) its consumers, who will have to pay higher prices for certain(कुछ ) goods(सामग्री), tariffs will also disrupt(बाधित/भंग करना) the supply chain of producers who rely on foreign imports(आयात). So both the U.S. and China, which have blamed(निंदा करना/दोष लगाना) each other for the ongoing trade war, are doing no good to their own economic fortunes by engaging(मनोहर) in this tit-for-tat(जैसे को तैसा) tariff battle(लड़ाई/युद्ध) . The minutes of the U.S. Federal Reserve June policy meeting show that economic uncertainty(अनिश्चितता/संदेह) due to the trade war is already affecting private investment in the U.S., with many investors deciding(निर्णायक) to scale back(दुबारा मापना) or delay their investment plans. China, which is fighting an economic slowdown, will be equally affected. The ongoing trade war also threatens the rules-based global trade order which has managed to amicably(मित्रभाव से/सौहार्दपूर्ण) handle trade disputes(विवादों/विचार) between countries for decades. It could also isolate(अलग) the U.S., which has refused to settle differences through serious negotiations, as other global economies strike trade deals on their own. In March, for instance(उदाहरण के लिए,) , 11 Asia-Pacific countries went ahead to sign a trans-Pacific trade deal while leaving out the U.S., which had pulled out of the Trans-Pacific Partnership in early 2017. If global trade tensions continue to simmer(उभरना ) , however, it may not be too long before countries resort to other destructive(हानिकारक/विनाशकारी) measures(उपायों) such as devaluing(अवमूल्यन) their currencies to support domestic exporters. The world economy, which is on a slow path to recovery, can do without such unnecessary shocks(सदमा).

Important Vocabulary

1.cause(वजह/कारण)
Synonyms: element, explanation, matter, motivation, motive
Antonyms: discouragement, effect, result, conclusion, finish

2.imposing(प्रभावशाली/शानदार)
Synonyms: commanding, grand, grandiose, imperial, magnificent
Antonyms: bad, common, ignoble, inferior, insignificant, little

3.resonate(गूंज जाएगा)
Synonyms: echo, reverberate, vibrate, oscillate, reproduce

4.perceive(समझना/महसूस करना)
Synonyms: discern, distinguish, feel, grasp, identify
Antonyms: disbelieve, disregard, ignore, miss, misunderstand

5.accommodate(समायोजित/स्थान देना)
Synonyms: contain, entertain, hold, rent, shelter
Antonyms: reject, turn away, bar, block, disarrange

6.retaliatory(मुंहतोड़/प्रतिशोध का)
Synonyms: disciplinary, penal, punishing, retaliatory, vindictive
Antonyms: beneficial, rewarding

7.blamed(निंदा करना/दोष लगाना)
Synonyms: accursed, blasted, blessed, bloody, confounded

8.engaging(मनोहर)
Synonyms: alluring, appealing, attractive, captivating,, fascinating
Antonyms: boring, disagreeable, hateful, mean, repulsive

9.amicably(मित्रभाव से/सौहार्दपूर्ण)
Synonyms: affably, affirmatively, amiably, amicably, appropriately, benevolently
Antonyms: dissenting, unpleasantly, unwillingly

10.destructive(हानिकारक/विनाशकारी)
Synonyms: calamitous, cataclysmic, catastrophic, damaging, deadly
Antonyms: advantageous, assisting, beneficial, blessed, favorable

11.devaluing(अवमूल्यन)
Synonyms: decrease, devaluate, lower, revalue, undervalue
Antonyms: increase, praise, raise, enhance, laud

12.shocks(सदमा)
Synonyms: awe, bump, collapse, confusion, consternation
Antonyms: calm, calmness, composure, help, order

 

Credit To The Hindu News Paper

 

The trade wars have finally begun. After exchanging several threats over the last few months, both the United States and China implemented a tariff of 25% on imports worth $34 billion last Friday. This marks the official beginning of what China dubs as “the biggest trade war in economic history”. While this trade war is far from the biggest the world has seen, it has the potential to cause some significant damage to the world economy. U.S. President Donald Trump, who began the year by imposing tariffs on imported solar panels and washing machines, has vowed to possibly tax all Chinese imports into the U.S., which last year added up to a little over $500 billion. Mr. Trump’s tariffs against China will likely resonate with voters who believe in his “America First” campaign and perceive the trade deficit with China as a loss to the U.S. economy. China, not surprisingly, has responded by targeting American exports like soybean and automobiles, a move that could cause job losses in American states that accommodate Mr. Trump’s voter base. Other major U.S. trading partners such as the European Union, Mexico, and Canada have also slapped retaliatory tariffs on various U.S. goods.

In a globalised world, no country can hope to impose tariffs without affecting its own economic interests. Apart from disadvantaging its consumers, who will have to pay higher prices for certain goods, tariffs will also disrupt the supply chain of producers who rely on foreign imports. So both the U.S. and China, which have blamed each other for the ongoing trade war, are doing no good to their own economic fortunes by engaging in this tit-for-tat tariff battle. The minutes of the U.S. Federal Reserve June policy meeting show that economic uncertainty due to the trade war is already affecting private investment in the U.S., with many investors deciding to scale back or delay their investment plans. China, which is fighting an economic slowdown, will be equally affected. The ongoing trade war also threatens the rules-based global trade order which has managed to amicably handle trade disputes between countries for decades. It could also isolate the U.S., which has refused to settle differences through serious negotiations, as other global economies strike trade deals on their own. In March, for instance, 11 Asia-Pacific countries went ahead to sign a trans-Pacific trade deal while leaving out the U.S., which had pulled out of the Trans-Pacific Partnership in early 2017. If global trade tensions continue to simmer, however, it may not be too long before countries resort to other destructive measures such as devaluing their currencies to support domestic exporters. The world economy, which is on a slow path to recovery, can do without such unnecessary shocks.

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