US-China trade deal: a victory for diplomacy, but key questions remain
The official delegations of the United States and China announced that they had reached an agreement - a trade truce, which, according to the parties, will pave the way for a summit of leaders Donald Trump and Xi Jinping.
However, as analysts note, Key conflict issues have not been resolved - Among them: control over technological exports, the status of rare earth metals and a deep tariff imbalance.
The look of a truce
Diplomatic circles say that the agreement gives quick diplomatic victoriesreducing tensions, stabilising markets.
But these «victories» are tactical rather than strategic. Bloomberg notes that: “Such easy wins please investors but leave deeper, underlying conflicts unresolved.”
Key unresolved issues
Rare earth metals and military technologies. China maintains control over the export of such materials, while the US continues to impose sanctions on advanced chips.
Tariff imbalance and industrial competition. Chinese export flows remain dominant, while the US is under pressure, although tariffs have been slightly reduced.
Lack of a long-term agreement. The truce is temporary and does not contain clear commitments on strategic issues.
Trust and verification. Both sides note that the implementation of the agreements will depend on political will.
What it means for business and the global economy
Markets are responding positively to the easing of trade tensions between the world's two largest economies.
However, the likely short-term relaxation conceals uncertainty about structural changes.
Businesses and supply chains may get a break, but the strategic situation remains unchanged.
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