Key Cooperative Research Institute for Policy Studies of the Ministry of Foreign Affairs of the P.R.C (2022-2024)

Wu Xinbo et el.," U.S. shutdown 'won't affect tarrif truce’: experts” (Interview--Global Times)

发布时间:2022-07-04浏览次数:75

Chinese experts warned of the effect of the US government shutdown on public  confidence in Chinese financial markets. But they believe the shutdown will have  little impact on the 90-day truce in tariffs between China and the US.  

The partial US government shutdown entered a record 23rd day on Sunday.  

Wu Xinbo, director of Fudan University's Center for American Studies,  told the Global Times on Sunday that as long as US President Donald Trump is  determined to solve the two countries' trade frictions, the US government's  shutdown will have no impact on China-US negotiations. 

"Although the two  sides' meetings may be delayed due to the lack of hands during the shutdown, the  result of the negotiations will not be affected," Wu said. 

Chinese Vice  Premier Liu He plans to visit the US on January 30 and 31, but it could be  delayed by the US government shutdown, The Wall Street Journal reported  Thursday. 

Zha Xiaogang, a research fellow at the Shanghai Institute for  International Studies, agreed with Wu, saying that the shutdown will not  directly affect China-US ties.       

However, he warned that if the  ongoing US government shutdown has no end in sight, China will suffer from an  uncertain global market. 

"An extended shutdown will add to the  uncertainty in the US markets, which is vital to global markets. Thus, in the  long run, the Chinese financial market may likely suffer from declining public  confidence," Zha said. 

The shuttering of the US Securities and Exchange  Commission could ripple throughout the markets, including slowing some highly  anticipated stock offerings by companies such as Uber and Lyft, the Washington  Post reported on Friday. 

A CNBC report on Wednesday warned that the US  is in danger of losing its triple-A sovereign credit rating later this year and  the ongoing government shutdown could soon start to impact the country's ability  to pass a budget, citing James McCormack, global head of sovereign ratings with  ratings agency Fitch.

The shutdown, if it lasts until the end of this  month, will also coincide with the deadline of the extradition of Huawei chief  financial officer Meng Wanzhou, who was arrested by Canada based on a US request  on December 1. 

Some experts predict that Canada will release Meng if the  US does not require extradite before deadline. 

Ni Feng, deputy director  of the Chinese Academy of Social Sciences' Institute of American Studies, said  that "it is still hard to say how will the case go as we do not know how the US  judicial department is arranging the case in specific." 

Meng is  scheduled to stand on court on February 6. 

Although reports of dirty and  unguarded US national parks swept Chinese social media, plans by Chinese  tourists to visit the US appear to have not been affected. 

Beijing-based  Damei tourism agency told the Global Times on Sunday that their tour groups to  the US will go on as planned. But some tourist spots will lack staff.  

Leading Chinese tour operator CYTS told the Global Times on Sunday that  the shutdown has not affected the processing of US visa applications.  

Meanwhile, Chinese people are concerned about the condition of the three  pandas after the Smithsonian National Zoo turned off the live panda cam amid the  ongoing partial government shutdown. "We can take the pandas back if the US  really lacks the money," Sina Weibo user toufatongxiangqingjia said. 

The  US had shut down in October 2013 that lasted for 16 days, leading to a delay of  the second round of Transatlantic Trade and Investment Partnership of  negotiations for the Trans-Pacific Partnership, Xinhua News Agency reported. 

 (Source: Global Times )