Trade war affects Chinese factory
December 31, 2018 | Investopaper
Although the positive news has been circulating regarding the end to the trade war, still there is a long way to go. The trade war has contracted the US and Chinese economy as well as led the stock market in a bearish trend. Suggesting the menace created by this war, reports has shown that Chinese factory has been affected by the trade turmoil too.
The Chinese factory activity has shown contraction for the first time in the period of over two years this December. Lately, China and US are both seeking to resolve the tensions and make an agreement in order to reduce the possible sharper economic decline in 2019.
Trump tweet this Saturday has brought hope to the end of the trade war which has caused the economic slowdown globally. It has also affected US and Chinese share markets. The 90-day ceasefire delayed a planned of U.S. increase of tariffs on $200 billion worth of Chinese goods. China president Xi Jinping also cited that the negotiation is going a right direction this week.
The trade war has struck all the sectors in US from technology to agriculture and both sides have been affected as they lose billions of dollars this year.
