Washington DC - Trade Curbs on Chinese Exports Possible, Worth Up to $800 Million

Strategic Insights -

The US may impose trade curbs on up to $800 million worth of Chinese exports, including toys, textiles, shoes, and electrical goods, if China fails to meet US demands to end copyright piracy. The move follows a breakdown in talks to get a Chinese agreement to end intellectual property rights violations. China has warned that US sanctions could trigger a trade war.

Key Takeaways:

  • The US may impose trade curbs on up to $800 million worth of Chinese exports, including toys, textiles, shoes, and electrical goods.
  • The move is in response to China's failure to meet US demands to end copyright piracy.
  • US companies have put their losses resulting from Chinese piracy at $800 million.
  • Chinese shipments to the US are increasing rapidly, with the US trade deficit with China second only to its deficit with Japan.
  • The US has targeted imports to redress the loss, following the breakdown of talks to get a Chinese agreement to end intellectual property rights violations.
  • China has warned that US sanctions could trigger a trade war.
  • A U.S. official stated that China had made no serious offers toward ending piracy.
  • The last set of talks broke down on December 14, with no new talks set.
  • The US has given China a deadline of December 30 to reach an agreement or face trade curbs.

Statistics:

  • $800 million worth of Chinese exports may be subject to trade curbs.
  • $800 million is the estimated loss to US companies resulting from Chinese piracy.
  • Chinese shipments to the US are increasing rapidly.
  • The US trade deficit with China is second only to its deficit with Japan.
  • 14 is the day in December when the last set of talks broke down.
  • 30 is the day in December when the US has given China as a deadline to reach an agreement or face trade curbs.

Sources:

  • Reuters News Agency
  • The People's Daily, the newspaper of the ruling Communist Party.