Trump: escalate trade war to cover all Chinese imports

[Adam WANG SHANGHAI MEGA]

3) Huawei's first 5G chip in the world must have been stolen from aliens.

Stay on topic.

1)Check this guy,speechless! This guy said China copy this and copy that? And i ask him where does China stole the world's first quantum communication satellite，China's ultra-high voltage transmission technology,EHV (+800KV or plus)?

He ask me to stay on topic！！
2)This guy said China has carried out economic aggression by copying other countries' technology. I took out the Dutch history of invasion. He ask me to stay on topic！！

 

[Place Of Space]

A decade ago Chinese economy was quite relying on export. After 2010, Chinese economic structure has made great adjustment because foreign purchasing power decrease year by year, especially the ones from America and Europe.

Every Chinese company emphasize Chinese market the most. The reason is very simple. They would lose some money if they lose foreign market, but they would be destroyed if they lose Chinese market.

 

[jhungary]

correct. now they have to convince themselves to forego the money.

You are looking at this too simply.....

A trade war between China and US affect much more than China and US alone, you basically drag the world on the same trade war due to globalism.

Let's say I am a US Watch maker, I export Watches to China. And now China charge me 20% more tariff than before.

My watch, however, is not totally made out of US component, the IC is from Japan, The quartz is from Switzerland, the glass surface is from Germany and the rubber on the wristband is from Thailand.

How if China decided to put 20% more on my watch, I have two choice,

1.) Sell less watch or stop selling to China altogether.
2.) Sell the same amount of watches but with a higher RRP.

If it was 1. Then basically it will drawn down all the parts imported from above, which mean these country will lose out my business.

If it was 2.) Then I have the market to sustain the business, and Chinese customer pay more.

So basically, if I really depending on Chinese market to survive, I would have to source cheaper parts to make my watch to lower the operating cost, so maybe instead of Japanese IC, I use Taiwanese IC or Instead of Germany Glass surface, I use Moroccan Glass. Or if my product still have high demand after tariff, the only one that pay more is Chinese customer. (If I can achieve a brand name such as Coca-Cola)