Xi May Outwait Trump Until 2021, After the US Elections
The US-China trade war could last until 2021 if President Xi decides to try and wait until President Trump may not be president, according to Business Insider.
The trade war has been going off and on for the last year and has seriously hurt both countries’ economies. The trade war has also scared investors all across the world. Global markets have felt the impact of the trade wars as well.
Many believe that President Xi of China may try to wait until the presidential elections in November of 2020 in order to strike a deal with Trump’s successor if he fails to win again.
The truce that has lasted the last few months has ended and both the US and China have returned to instituting tariffs and other economic measures against the other country. Many of these actions won’t go into effect until the beginning of September, but trade negotiations haven’t progressed very much.
Ian Shepherdson, chief economist at Pantheon Macroeconomics, said in a note, “We're increasingly coming around to the view that President Xi's best bet might simply be to wait until after the 2020 election, in the expectation that a new administration would be more consistent in its negotiating stance."