18/02/2025
How Might Pakistan and India Benefit From Trumpian Tariffs? | China's Optimal Response
U.S. President Trump imposed tariffs on billions of dollars’ worth of Chinese imports, targeting industries like technology and steel. By 2019, the U.S. had placed tariffs on approximately $370 billion of Chinese goods, a significant portion of China’s exports to the U.S. These tariffs aimed to address trade imbalances and intellectual property concerns but also sparked global worries about trade wars, rising costs, and supply chain disruptions.
In this episode of New Wave Global, host Asad Ejaz Butt sits down with Shahid Sattar, Secretary-General of the All Pakistan Textile Mills Association (APTMA), to discuss how these tariffs impact not only China but the global economy as a whole. Mr. Sattar explains how the trade war fueled fears of a recession as businesses struggled to adapt to higher costs caused by tariffs.
Pakistan’s heavy reliance on Chinese imports for raw materials and manufactured goods means these tariffs drive up production costs, adding to inflationary pressures. For example, Pakistan’s trade deficit hit $31.8 billion in 2018, and the ripple effects of the tariffs could worsen this deficit, threatening the country’s economic stability.
Tune in to understand the broader implications of the U.S.-China trade war and its effects on economies like Pakistan’s.
