09 February 2017

News Story: Australia could be caught in U.S. trade war with China - expert

SYDNEY, Feb. 8 (Xinhua) -- The looming prospect of a trade war between the United States and China, has a leading Australian expert concerned about the impact on Australia, especially as both nations are the country's most major trading partners.

James Laurenceson, deputy director of the Australia-China Relations Institute (ACRI), told Xinhua on Wednesday, Trump's behavior towards China is increasingly volatile and erratic, and could lead to a trade war between the two nations.

"The difference between Trump's pre-election rhetoric and the policy decisions since taking office have narrowed, not widened," Laurenceson said.

"Most notably, the people he has surrounded himself with are extreme China hawks, particularly on the trade side."

The primary concern with the Trump administration has always been whether his subordinates were acting on his behalf to further his real policy motives, or whether their actions are being guided as a means of negotiating a stronger position from which to negotiate with China on trade.

Laurenceson was adamant that Trump's comments about Taiwan and currency valuations, prove he is trying to use any means necessary to bargain, but there needs to be real concern that he may attempt to follow through with his controversial words.

Read the full story at Xinhua