Why the West Rejects a New Wave of Cheap Chinese Goods?

The U.S. has just slapped a 100% tariff on Chinese electric vehicles, igniting fears of a new trade war.

This follows the 2020 Trump China trade deal that ended a2 year period of escalating tariffs and restrictions.

China 's recent economic slowdown and how it responded by increasingly subsidizing its industries.

In 2002 China relied over 50% on exports to the US , Japan and EU , but now that percentage has dropped to around 35% .

China aimed to become less dependent on the West already before Trump was elected.

However, in spite of what Mr. Trump wanted, it actually seems like China decoupled more from the West than the other way around.

China decided to reduce its dependence on foreign imports by heavily subsidizing its own strategic sectors.

China 's policies of trying to return to a manufacturing LED economy has led to a flood of exports to the rest of the world.

Developing nations feel threatened by this because it blocks their development via the export LED growth model that China itself successfully used.

And advanced Western nations feel.