Sino-US trade war "off the war" plastic market wait and see
On December 1, 2018, two paragraphs in the Xinhua News Agency's draft: The two sides decided to stop the trade restrictions such as upgrading tariffs, including no longer raising the existing tariff rate against each other, and not introducing new tariffs on other commodities. Measures.
The two heads of state instructed the economic and trade teams of the two sides to intensify consultations and reach an agreement to cancel the tariffs imposed this year and push bilateral economic and trade relations back to normal track as soon as possible to achieve a win-win situation.
At the same time, the statement issued by the US also clearly stated:
1. The Sino-US trade war will no longer be upgraded and the two sides will no longer impose new tariffs.
2. After January 1, the initial US tariff on China’s $200 billion in goods was kept at 10%, instead of the 25% previously announced.
3. The two sides will strengthen consultations. Once the negotiations are reached, all tariffs imposed this year will be cancelled.
Undoubtedly, this is a very positive and significant progress, although there are still no new twists and turns. Looking at the economic war broke out for half a year, it was really a climax and a thrilling.
China’s determination and position to defend its core interests are consistent and rock solid. Counting this unprecedented trade game, from spring to winter, it has been half a year since. Since March 23, 2018, the Sino-US trade war has been endless.
Among the list of Sino-US tariffs, the plastic products involved are PA (polyamide), PC (polycarbonate), PVC (polyvinyl chloride), ABS (acrylonitrile-butadiene-styrene plastic), PE. Chemical products such as (polyethylene), PP (polypropylene), acrylonitrile, and propylene.
The two sides of this trade war can be described as both losses, once affecting the price trend of domestic plastic products. Now that the Sino-US trade war has been suspended for eight months, the two heads of state have reached a consensus: stop adding new tariffs and promote bilateral economic and trade relations as soon as possible. On the normal track, the Organization of Petroleum Exporting Countries (OPEC) will reduce production, which will have a certain boost.
In this struggle, a prominent position is: China’s determination and position to firmly defend its core interests are consistent and rock-solid. Even if it is facing the United States, as long as the bottom line is violated, we must counterattack and be a strong counterattack.
In the past, they are all prologues.
2018 is coming to an end, and we look back a few years later. This is indeed a very crucial year for China.
At the APEC Business Leaders Summit held not long ago, the words of the top Chinese leader won the applause of the world. He said this:
History tells us that if we embark on the road of confrontation, whether it is the Cold War, the hot war or the trade war, there will be no real winner. As long as countries and countries treat each other as equals, mutual understanding and mutual accommodation, there will be no problems that cannot be resolved through consultation.
An era has an issue of the times. The problem itself is not terrible. The key is to take the right approach to solve the problem. This undoubtedly tests the wisdom, strategy and courage of both China and the United States. Of course, there is integrity!