Donald Trump “ ordered” American companies by tweet to stop doing business with China. Even with the US president’s shifting whims, what if his wish were to come true?
In an extreme scenario, if US-China trade and US manufacturing in China were to grind to a halt – when US companies no longer had any business with or in China – what would be the implication for American consumers, its companies, workers and innovation?
"Without the Chinese supply chain and the vast China market, many US companies would be displaced by non-US rivals. In decoupling, the US would not be isolating China, but itself, from the global production
network". In an extreme scenario, if US-China trade and US manufacturing in China were to grind to a halt – when US companies no longer had any business with or in China – what would be the implication for American consumers, its companies, workers and innovation?
US consumers would suffer considerably, with a narrower selection of shoddier goods costing more, driving up inflation.
Had Trump not delayed tariffs for the not-yet-targeted Chinese goods until mid-December, US consumers would have had a foretaste of US-China decoupling this Christmas.
"Without the Chinese supply chain and the vast China market, many US companies would be displaced by non-US rivals. In decoupling, the US would not be isolating China, but itself, from the global production
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