Showing posts with label China. Show all posts
Showing posts with label China. Show all posts

Saturday, January 30, 2010

China-US Trade Relations Tested


As we all know China's economic and political power in the world has grown almost as fast as its population in the past decade. Since economic and trading constraints with countries outside China have been loosened the country has held more and more influence. America today is in an interesting position with China. We have a colossal debit to this asian nation and depend greatly on its citizens to produce our goods. This week though trade relations were strained as China reacted negatively to a US sale of arms to Taiwan. Although seen as an independent nation to the U.S., Taiwan is viewed in the eyes of the Chinese to be part of China. In selling arms to Taiwan the U.S. was undermining the sovereignty of China over Taiwan. China responded by suspending any military exchanges with the U.S. As one article put it this issues comes at a time when the world powers need to be cooperating on major issues.

The warning comes as the U.S. seeks Beijing's help on issues including the global financial crisis and nuclear standoffs in North Korea and Iran. Tensions were already high after recent U.S. comments on Internet freedom and a dispute between Google and China, as well as President Obama's plan to meet with Tibetan spiritual leader the Dalai Lama this year.

http://www.npr.org/templates/story/story.php?storyId=123153875

How do you think that trade relations will change between the US and China in years to come? Who do you see holding more sway? What could be a possible fate for Taiwan if America grows more and more dependent upon China?