Research On The New Issues Of Sino-US Trade Friction

Sino-US trade friction is an important issue in Sino-US relations. In recent years, with the deepening of Sino-US trade, the trade friction shows a trend of increasing. After the financial crisis, especially, Sino-US trade situation got worse, and trade disputes occur frequently. Meanwhile, the Sino-US trade friction tends to be complicated, and many new problems are emerged. Sino-US trade friction got into a white heat, which has not only hindered the development of bilateral trade, but also slow down the economic recovery of the two countries even the whole world.For this reason, the research on Sino-US trade friction is particularly important. To be honest, there is a long history of Sino-US friction and there are lots of mature researches about it, but there are also numbers of new issues during this period. This study analyse the new issues of Sino-US friction, sums up the causes and affections of the friction, and finally, finds out the countermeasures.In the first part of this paper, I clarified the significance of choosing this topic and reviewed the previous researches. Focusing on the new issues of Sino-US trade friction based on the international background and the status of researches. On the one hand, Sino-US trade friction made a huge impact on China's trade and economic development, and China will lost the best chance of economic restructuring if we don't make up our shortcomings ;on the other hand, although the related studies on Sino-US trade friction are somewhat systematical, the study of the new issues based on a new international environment and background is still not perfect. For this reason, it is necessary to take a systematical study of Sino-US trade friction issues. In the literature review, I reviewed and summarized the points on the present situation, main reasons, bad effects and countermeasures related to the Sino-US trade friction, and compared the different views between Chinese and foreign scholars. Through the review of previous theory, I identified the priorities and method of my research, which are laying the basis for writing.In the second part of this paper, I analyzed the situation of Sino-US trade friction at present and then discussed the characteristics of its development and current focus. Generally speaking, there are not only numbers of old problems which are enhanced, but also some new problems, the development of Sino-US trade friction is characterized by showing a higher frequency, covering a wider area, affecting more forceful, and happening in more complicated forms. Specifically, the "Anti-dumping and Countervailing measure" ,which is of greater efforts and the "Special protection measure" which is specially against China's exports were used frequently, and gradually replaced the traditional ways of friction as new forms of Sino-US trade friction. "The issues of RMB exchange rate" was the most controversial problem in the year 2010," currency war" became an important form of Sino-US trade friction.The third part aims to find out reasons to explain the new features and new problems in Sino-US trade friction. There are two direct aspects cased the complication of Sino-US trade friction: first is the growing of Sino-US trade imbalance. The trade deficit data and the inference based on it show that the growth rate of Sino-US trade imbalance slowed down, however, the proportion grown up. The underlying reasons, is the imbalance of Sino-US economic and trade structure, on the one hand, manufacturing industry play an important role in China's economy, and processing trade take a large proportion. Conversely ,manufacturing industry hollowing in the United States is very serious;on the other hand, Chinese export market concentrated in the United States, while American export market is more fragmented. These elements have leaded to the occurrence of trade imbalance. Meanwhile, the export-oriented policy of China and the export control policy of the United States intensified this contradiction; Second is the reviving of trade protectionism. Trade protectionism was serious after the financial crisis, trade policy of the United States had a clear trend of trade protectionism, "New Deal of Obama" is a good example. In addition to economic factors, political factors also leaded to trade protectionism. At the same time, weak self-protection of China's enterprises and imperfect national laws resulted in serious losses of trade.The fourth part of the article describes the impacts of Sino-US trade friction, and predicts the future of Sino-US trade relationship. By comparing the relevant statistics we can find that Sino-US trade friction have caused adverse effects to both sides of the two countries. For China, trade friction greatly reduced the level of total exports, and weaken the ability to attract investments; for the United States, trade friction did not raise but reduced the levels of national welfare and employment. In addition, friction broke the international trade order and effected the recovery of global economy. From the above situations, only to strengthen cooperation can bring the win-win situation. So in a long time of future, Sino-US trade cooperation will be deepen in more fields.In the last part of the article, timely, reasonable suggestions on Sino-US trade friction are given. Frequent trade friction, undoubtedly, has had an adverse impact on Chinese economy and trade, China should respond to the trade friction actively, find out its own problems, and ultimately reduce the frequency and adverse effects of friction by the continuous improvement. First, China should optimize the domestic economic structure by upgrading the industrial structure, expanding domestic demand, and optimizing the export structure, which can basically curb the trade imbalance; Second, China should strengthen the ability to prevent and respond trade friction, establish an effective mechanism to reduce the losses in the friction; Third, stabilizing the expected appreciation and promoting cross-border settlement of RMB are ways to reduce the adverse effects of the exchange rate war and reduce the frequency of friction.