Trade with China helps 2.6m US jobs

China Daily (Canada) - - LIFE - By CHEN WEIHUA in­Wash­ing­ton chen­wei­hua@ chi­nadai­lyusa.com

Trade with China sup­ports some 2.6 mil­lion jobs in the United States, in­clud­ing jobs that Chi­nese firm have cre­ated di­rectly in the US, ac­cord­ing to a re­port re­leased on Tues­day by the US-China Busi­ness Coun­cil.

And as the Chi­nese mid­dle class grows rapidly over the next decade, likely ex­ceed­ing the en­tire US pop­u­la­tion by 2026, US com­pa­nies will have op­por­tu­ni­ties to tap into a new and lu­cra­tive cus­tomer base that can fur­ther boost em­ploy­ment and eco­nomic growth, said the re­port, en­ti­tled Un­der­stand­ing theUS-China Trade Re­la­tion­ship.

The re­port shows that na­tions trad­ing closely with China out­per­form those with less in­te­grated trade ties, and the trend will con­tinue.

The USCBC, founded in 1973, is a pri­vate, non­par­ti­san and non­profit or­ga­ni­za­tion of more than 200 US com­pa­nies do­ing busi­ness with China.

John Fris­bie, pres­i­dent of USCBC, said: “Much was said about the neg­a­tive ef­fect of trade with China, with es­ti­mated job losses re­ceiv­ing con­sid­er­able at­ten­tion. But the pos­i­tive ef­fects of the com­mer­cial re­la­tion­ship with China were largely ig­nored, and there­fore there re­ally hasn’t an as­sess­ment of the over­all con­text pro­vided.”

Ac­cord­ing to the re­port, China pur­chased $165 bil­lion in goods and ser­vices from the US in 2015, rep­re­sent­ing 7.3 per­cent of all US ex­ports.

Al­though some US man­u­fac­tur­ing jobs have been lost be­cause of the trade deficit, US firms sell high-value prod­ucts to China, which sup­port jobs.

By 2030, US ex­ports to China are ex­pected to rise to more than $520 bil­lion.

Michael Zie­len­ziger, man­ag­ing editor of Ox­ford Eco­nomics, said China con­trib­uted more to global growth over the past 15 years than the eu­ro­zone and the US com­bined. And China ac­counted for one-third of global GDP growth in 2015.

YANG SHIYAO / XIN­HUA

A tech­ni­cian works on a key com­po­nent of the Hua­long One re­ac­tor in Qin­huang­dao, He­bei prov­ince.

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