Asian Countries Seen Benefiting Most From Trump Trade War



Kenneth Rapoza | Forbes

Based on Friday’s job numbers, the U.S. looks like it is winning the trade war. Plus the U.S. stock market is up (though not much) and the Chinese stock market is heading in the opposite direction. Shanghai and Shenzhen market indexes are in a bear market.

As a result of the China-U.S. trade war—or trade friction, as the Chinese prefer to call it—companies here have been busy stockpiling inventory out of concerns that President Trump will make good on his threats to increase tariffs on everything China exports to the U.S. The trade gap between the U.S. and China is on the rise. But that does not mean that Trump’s trade tariffs are not working. Companies that have set up shop in China to export to the world are now redrawing their supply chain maps. Those who were thinking about this already, as China becomes a more advanced economy with a richer labor force and tighter environmental regulations, are speeding up the process. In other words, if they are not there to sell to the Chinese, they are more likely to move to Vietnam, Indonesia or Thailand. Read more here