Within ten years, the US economy could lose more than a trillion dollars, experts say.
The US trade wars with China could cost the US economy more than a trillion dollars in a decade. This is stated in the report of the Chamber of Commerce, writes CNBC.
Experts estimate that a 25% increase in tariffs on Chinese goods could cost the United States $190 billion a year. And the reduction of indirect investment in China will cost $500 billion in US GDP losses. American investors will receive less than $25 billion annually.
It is noted that the withdrawal of American enterprises from the Chinese market will have more serious consequences for the global leadership of the United States in the long term.
American businesses may lose their global competitiveness, according to the Chamber of Commerce.
Recall that the trade war between the United States and China began at the end of 2017. In early 2020, the parties signed an agreement on theвЂќ first phase вЂњ of the truce, but then negotiations stopped due to the pandemic.
In the fall of 2020, the World Trade Organization recognized that the increase in tariffs on Chinese imports to the United States in 2018 and 2019 is contrary to the rules.