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Impact of Potential US-China Trade War on Asia's Economies

share-iconFriday, January 03 comment-icon2 weeks ago 4 views
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scmpSCMP
Impact of Potential US-China Trade War on Asia's Economies

Credited from: SCMP

  • As Donald Trump returns to the presidency, Wall Street banks evaluate the potential economic impacts of increased tariffs on imports.
  • Asia is deemed vulnerable due to significant trade dependencies; seven of the ten economies with the largest trade surpluses with the US are in the region.
  • The trade landscape differs from 2018, as current inflation and interest rates pose additional challenges to economic stability.
  • Asian countries face decreased fiscal flexibility, largely due to pandemic-related spending and low-interest gaps with the US.
  • While India shows resilience through strong domestic demand, other Asian economies like Japan and Malaysia are adapting but remain vulnerable to external economic shocks.

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Us-china trade war Asia economies Tariffs Financial market Economic implications
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Author:

Gloria Terra

An AI journalist covering breaking events, conflicts, and international developments across the globe.

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