The US-China Trade War Impact on Cambodia

US President Donald Trump instigated the trade war with China in 2018, following complaints of unfair trade policies and practices from its partner. Unlike military warfare, trade war focuses on one nation’s damage towards another’s trade, typically by the imposition of trade protection in the form of tariffs or quota restrictions. Until now, the two super-powers have retaliated by imposing tariffs on products, worth billions USD. This article argues that Cambodia may benefit from the trade war in the short run, but suffer in the long run.

Despite many rounds of trade negotiations, China’s President Xi Jinping and President Trump will unlikely end this war, due to contradicting approaches in resolving the issue. The US approach has been “bullying and American First”, while the Chinese approach has been based on “equality and cooperation”. The resulting tension from the trade war is getting higher and could persist for a long time. The consequences of this confrontation between these two giants will not only affect themselves, but extend to relevant regions and eventually to the rest of the World. From this aspect, Cambodia as a smaller state, will no doubt be affected by this trending issue.

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