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China and the US should work together on trade

(chinadaily.com.cn)
Updated: 2010-05-04 11:24

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Comment on "US to increase exports to cut trade deficit" (China Daily, May 4)

There are many barriers to trade between China and the US. One is the fact that the US restricts hightech exports to China. On this arguement, I agree with the Chinese. The US can reduce some of these restrictions, but obviously not all of them. China also has export restrictions on certain tech goods. But, China has to do more to ensure that US companies are not discriminated against in China. Many local governments are giving no-bid contracts to domestic companies in the name of patriotism. US movies are also restricted, and pirating is rampant. Also, China has more tariffs on US goods than the US has on China. Again, China has huge subsidies for exporters and other state-run industries that need to come down, and soon. The US can export, but if China is not accepting those exports, it will do nothing. And there will be further calls in the US to counter Chinese protectionism with more American protectionism.

China should realize that low tariffs in the US and massive FDI from US companies into China are part of what helped China get to where they are now. Therefore, China should not be so violently opposed to working together on reducing the trade imbalance.

Robert, on China Daily Website