In 2024, the United States ran a US$295.5 billion goods trade deficit with China, a function of China’s dominance in manufacturing and its role as the world’s low-cost supplier of electronics, machinery and intermediate goods. Roughly 30% of US imports originated in China, embedding a structural dependency that tariffs alone could not unravel without provoking inflation and supply chain chaos at home.
torsdag 14. august 2025
Why Trump bows to Xi but batters and mauls Modi
US President Donald Trump’s 90-day extension of a tariff truce with China while tightening the screws on India is rooted in the cold arithmetic of open macroeconomics – where the balance of real economic power, supply chain leverage and strategic resources determines who can endure a trade war and who must yield.
In 2024, the United States ran a US$295.5 billion goods trade deficit with China, a function of China’s dominance in manufacturing and its role as the world’s low-cost supplier of electronics, machinery and intermediate goods. Roughly 30% of US imports originated in China, embedding a structural dependency that tariffs alone could not unravel without provoking inflation and supply chain chaos at home.
In 2024, the United States ran a US$295.5 billion goods trade deficit with China, a function of China’s dominance in manufacturing and its role as the world’s low-cost supplier of electronics, machinery and intermediate goods. Roughly 30% of US imports originated in China, embedding a structural dependency that tariffs alone could not unravel without provoking inflation and supply chain chaos at home.
