Although if it remains a Chinese only tariff's scenario, there seems to be an over-statement by the US of their importance to China.
As per the graphic below, China is trading with everyone, not just the US. From a X post, US's imports were $438.9b in 2024. China's GDP in 2024 was approx. $18,800b meaning that exports to US were ~2.3 percent of total Chinese economic activity. If China is growing at 5 percent per year and loses all trade with the US, that would knock 2 percent off its growth and take it down to 3 percent growth (weak by historical standards but stronger than many other countries). China doesn't need to fold quickly in this battle (although some parts of its economy would hurt with the loss of trade to the US). China can subsidise some of that with all the tariff revenue collected on US imports!!
The trade China supplies into the US will need to be met by someone and across 2025 its not going to be new factories commencing from scratch. It could end up being other countries take up the supply into the US and China sends product to those gaps created as others moved their supply into the US.
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Although if it remains a Chinese only tariff's scenario, there...
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32.0¢ |
Change
-0.010(3.03%) |
Mkt cap ! $145.3M |
Open | High | Low | Value | Volume |
33.0¢ | 33.0¢ | 30.5¢ | $37.62K | 116.4K |
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No. | Vol. | Price($) |
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1 | 8289 | 32.0¢ |
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Price($) | Vol. | No. |
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0.325 | 35120 | 2 |
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