The Study On The Sino-U.S. Economic And Trade Frictions During The Financial Crisis

The financial crisis takes place in such a special point of time that the trade tensions between China and USA during this period becomes very sensitive. With the attack of the crisis, the world economies have undergone a hard blow. The United States economy was in a recession, with its gross domestic production decreased for four consecutive quarters. On the one hand, there has been a number of bankruptcies of its financial institutions, a significant turbulence in its financial market and a huge drawback in its substantive economy. In another words, it was witnessed a recorded unemployment rate in its history and a fairly decrease in its domestic consumption as well as the international trade. To cop with the crisis, the U.S. government began to take measures of trade protectionism which led to the frequent occurrence of trade frictions with China. With the expansion and severity of the frictions, the spillover effect of them has turned a trade issue into a political issue which affects the normal ties between the two countries seriously. This article first deals with some theoretical aspects of the trade friction, and then discusses the highlights, causes and effects of the Sino-U.S. trade frictions, in the end the article examines the countermeasures to the Sino-U.S. trade frictions during the crisis.