U.S./China Trade Disputes in the post-Recession Political Landscape

Abstract

This paper investigates the connection between the recent economic recession and an increase in trade disputes between the United States and China. Overall, I conclude political factors exacerbated by the recession, rather than economic considerations, were the catalyst for an increase in disputes. Misconceptions by the American public concerning the importance of manufacturing in the U.S. economy, political rhetoric, and fear of China’s rise led the United States to implement a series of economically ill- advised protectionist tariffs on Chinese goods. These tariffs in turn lead to an increase in WTO disputes between the United States and China. Given the severe economic consequences and the growing importance of Sino-American trade relations, it is imperative the United States actively seeks to curb protectionism and reduce trade disputes with China.