International Trade Between U.S and China Research Assignment

International Trade Between U.S and China
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Abstract
The paper seeks to address the relationship between China and U.S. it explains the significant progress that has been made by the two countries. The paper also tries to give an insight of how China took good use of the U.S trade law s to supply their commodities to U.S. it also explains the decisions that the government considered to solve the issues. It describes the trade between China and U.S and the world trade organization status of U.S and China. It puts much emphasis on the bilateral agreements that were put in place to boost trade.it also offers an insight into the emergence of misunderstanding of the two countries.
Introduction
China and U.S play critical roles in international trade. International trade refers to the exchange of goods and services between nations. Trade improves the gross domestic product (GDP) of countries involved. For the last 15-20 years, China economy has grown tremendously. When it got entry into the world trade organization in 2001, the rate of export of its commodities rose. Rapid growth has resulted in adverse effects such as wage losses to the manufacturing industries in U.S. Despite creating such fracas; the beneficiary has been neighboring countries who depend on cheap imported commodities.[The China's WTO accession documents are The Protocol of China's accession to the WTO (WT/L/432), the Working Party Report (WT/ACC/CHN/49) and the Annexes containing market access commitments (WT/ACC/CHN/49/Add.2). Concerning the Working Party Report, the commitments listed in paragraph 34]
The entry of China into the world trade organization gave room in trade policy-making and lobbying. There were judicial adjudication and reinforcement in world trade organization disputes that led to product-specific mobilization. This resulted in an understanding that made the two countries to create a standard policy that would allow room for expansive growth. The common goal for the growth of trade in China was to lower the tariff on the locally produced commodities.
Discussion
The financial crisis began in 2008 when policy and economic analysts realized there was a high risk in trade activities between China and U.S that could spur trade war. Different researchers cite that trade wars may have been from issues of protectionism. On a report by the WTO (2014) on G-20 measures, different measures have been used from 2008-2012. U.S protectionists have put little effort to address the problem of trade between China, and U.S. Policymakers realized that the bilateral talks and policy prevention mechanism between China and U.S had dampened.[Palgrave Macmi Busch, M. L., & Levy, P. I. (2010). The case against a China currency case. The American, 7. Allan US.] [Cheung, Yin-Wong, Menzie D. Chinn and Eiji Fujii, 2010a, “China’s Current Account and Exchange Rate,” Chapter 9, pp. 231-271, China's Growing Role in World Tradition]
Despite the policy makers initiating cohesion, they predicted that jurisprudence and security are among the critical elements of the WTO agreement. WTO commitments aimed at cornering the problems between the two countries. This is by dealing with the tariff barr...