Chinese investors are increasingly anxious about the potential re-election of former U.S. President Donald Trump, amidst a struggling economy and plummeting stocks, reports Goldman Sachs.
What Happened: Goldman Sachs identified Trump’s potential re-election as a significant concern among their clients in Beijing and Shanghai, reported Bloomberg on Sunday.
The apprehension stems from Trump’s possible plans to levy significant tariffs on Chinese imports if he secures a second term. The former president has previously expressed support for revoking China’s “most favored nation” status for U.S. trade, potentially resulting in U.S. tariffs on Chinese goods exceeding 40%. Additionally, Trump indicated a possible flat 60% tariff on all Chinese imports in a Feb. 4 Fox News interview.
However, David Firestein, CEO of the George H. W. Bush Foundation for U.S.-China Relations, opines that the election results might not significantly alter U.S.-China relations. “Whoever wins the 2024 presidential election, whether that’s Biden or Trump, I don’t think there’ll be a difference in the way the U.S. approaches China – whether it’s U.S. investment, technology transfer or trade,” the …
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