Trump’s Tuesday argument that it is he, rather than China, who is in control of the trade deal did not appear to convince the stock market, translating into a 280-point plummet in the Dow Jones Industrial Index.
President Trump: "I'm doing very well on a deal on China if I want to make it. If I want to make it. I don't think it's if they want to make it. It's if I want to make it…you're going to find out pretty soon. We'll surprise everybody." pic.twitter.com/6EGRhgPx0p— CSPAN (@cspan) December 3, 2019
The Wall Street Journal, citing analysis by UBS and Fomalhaut Techno Solutions, reported Sunday that Huawei - a longtime target of US sanctions and accusations of intellectual property theft - has recently begun shipping its latest Mate 30 smartphone, which contains absolutely no US hardware. The firm’s ability to purchase parts from US companies has been seriously hampered by its placement on a US Department of Commerce blacklist, requiring companies to obtain special licenses prior to the sale.
While Huawei and other China-based companies are finding alternatives in the face of the ongoing trade war with the US, some countries - even those allied with the US - may suffer as a consequence of Washington’s smear campaign.
Jude Woodward, author of “The US vs China: Asia's new Cold War?”, joined Radio Sputnik’s By Any Means Necessary on Tuesday to discuss Trump’s trade deal announcement and what may come about as a result of the delay.
Woodward told hosts Eugene Puryear and Sean Blackmon that “at least as far as the electorate is concerned,” Trump has found that “being tough on China plays well,” and he “genuinely believes that the trade war launched by the US can succeed in putting some substantial pressure on China.”
She went on to explain that because of Trump’s focus on the 2020 presidential election and the US’ longtime efforts curtail China’s economy and associated developments, Trump is unlikely to make more progress on finalizing a trade deal.
At the same time, Washington’s desire to maintain pressure on Beijing could negatively impact the US’ relations with other countries, as Chinese, multinational giants such as Huawei have business dealings in countries all over the world - including nations allied with the US.
“This trade war is not in the interest of the world economy or of business,” Woodward argued, highlighting that developing countries are oftentimes impacted on a larger scale by such disputes. “The attacks on Huawei go … way beyond attacks on a particular company - they hold back the development of 5G.”
“But I don’t think that in the final analysis Trump cares about that, because the decisive thing, really, is whether the major allies - the European allies - break with the US over this. But there’s no sign of them doing so in a substantive way,” Woodward said.
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