The nations of the Asia-Pacific region are looking forward to the trade tensions between the US and China and its possible repercussions, although most of them regard Donald Trump’s measures against the Asian giant with some pleasure.
The US president announced tariffs of 25% on Chinese steel and in Australia the alarms went off since they send to China 30% of their exports in this sector.
Already in January tensions between Washington and China were felt when Trump said he would impose tariffs of up to 30% on solar panels, a proposal clearly aimed at the Asian giant’s manufacturers, whose panels have gained ground in the global market. Singapore’s Foreign Ministry, Vivian Balakrishnan, is very concerned about the movement due to the effects on its country’s factory, REC Solar Holdings AS, which controls one of the largest solar cells outside of China and sends a large part of its plates To USA.
On the positive side of the balance, tensions have raised the value of the Japanese yen, an active refuge in times of turmoil and turmoil. The rise, however, harms the exporters of components and parts of electronic devices.
In Vietnam it is studied what effects these tensions could have on the contractors of Apple in China, manufacturers of the iPhone. The magnitude is still unknown, but they could bring benefits to Samsung Electronics, which has its production plants in the country.
Another positive effect for the region could be the increase in Chinese imports as a result of reprisals against the US. This possible move has salivating palm oil derivatives manufacturers in Malaysia and Indonesia, as these products are used as substitutes for the soy that China buys from Americans.
At the same time, the increase in tariffs on Chinese cars could trigger the increase in exports of Japanese and German cars.