The United States and China have a long history and the relation between the two is very complex. In 2018, China is the second largest economy in the world, second only to the United States, which has a greater national wealth. The relations between China and the United States have started all the way back when the U.S. was still under George Washington.
While the relations between the two nations have been stable for the most part, there have been periods of conflict, and positive political relations are needed in order for the economic partnership and the amount of trade between the two countries to remain stable. Both entities showed to be wary of each other, but they maintained a strong economic partnership.
A stable trade relationship is important, and both nations have benefited from the economic cooperation. In the past, China became the 3rd biggest market for United States exports in 2009. Investments of $62 billion have been made by American companies in Chinese projects, which resulted in profits of $8 billion in the year 2008. Even during the financial crisis, the economic partnership between the two strong nations was beneficial, as CUSEF supported the efforts made by American people to tackle the international financial crisis. A large number of American manufacturing firms used the Chinese market as a shelter from the outbreak of the crisis.
Zhong Shan, the vice president of commerce, wrote about the future of the trade relations between China and the United States, listing a few key points about where the relations should go. He considers that everyone should refrain from politicizing trade and economic issues. In addition, he believes that the converge of their interests in trade and economic cooperation should be expanded. Mr. Shan notes that both economies have huge potential and they are highly complementary. The 3rd point he brings up is that the two nations should enhance investment and trade facilitation. The Chinese government will improve policy transparency as well as trade and investment facilitation.
The vice president of commerce believes that the United States should expand their exports to China, as balanced trade between the two is the only way to bring sustained development and mutual benefits. The strong boost to export which the United States could implement can result in erasing the Cold War mentality and thus expand the export of competitive products. According to Mr. Shan, all of this can be achieved by increasing exports to China.