Adam Wolfe in The Economist: ‘How Trump and Biden have failed to cut ties with China'
27th FEB. 2024
In The Economist's recent News piece, Adam Wolfe discusses China's share of Asian imports to the US. China reports that its exports to America rose by $30bn between 2020 and 2023, whereas America says its Chinese imports fell by $100bn.
What accounts for the gap between the measures? Adam Wolfe of Absolute Strategy Research, an advisory firm, suggests that 'the switch reflects the fact that American importers have an incentive to underreport how much they are buying from China in categories covered by tariffs. Mr Wolfe estimates that, as a consequence, America now understates its imports from China by 20-25%. At the same time, in recent years the Chinese government has cut taxes on exporters, reducing the incentive for domestic businesses to undercount goods leaving the country.'
To read this article in full, please see: HERE
