Redefinition of Engagement in Sino-U.S. Economic and Trade Dynamics

Abstract

In 2018, a significant transformation commenced in the economic and trade relations between the People's Republic of China and the United States, a trend that was further accentuated in 2022 following President Donald Trump's announcement of an economic decoupling strategy from China. This paper investigation delves into the evolving trade dynamics between these two global economic powers. It methodically analyzes changes in tariff policies, characterizes the evolving nature of trade flows, and assesses the progression of foreign direct investment between the two nations, utilizing a series of analytical charts. This comprehensive analysis furnishes an in-depth overview of the current state of economic and trade interactions. Drawing upon these empirical findings, the study formulates a set of nuanced policy recommendations, which is to strengthen multilateral or bilateral cooperation frameworks and strengthen cooperation in science, technology and innovation, strategically designed to navigate the complexities and exploit the potential opportunities inherent in this evolving bilateral relationship.