The US Tariffs on China have raised serious concerns about the future prospects of the Chinese Economy. The US-China trade war may end up leaving many Chinese firms bankrupt if Donald Trump further delivers on tariff threats against China. US President recently stated that he is even ready to impose tariffs worth $500 billion on China, which may adversely impact Chinese organisations.
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In an opinion piece carried by People’s Court Daily, the deputy director of an advisory committee to the Chinese Supreme Court said that the Chinese judiciary must embrace itself for a hike in bankruptcy cases as the US tariffs may leave a lot of Chinese firms shut. The articles noted that the judiciary needed to be aware of the likely effects that the trade tirade with the US might bring.
The deputy director of an advisory committee to the Chinese Supreme Court also states the judiciary in China must familiarise itself with the complexities of such cases as these are going to be different from what they have seen in the past. He said that preparedness is success and unpreparedness is a failure.
Both the US and China have so far imposed 25% tariffs worth $34 billion on each other’s imports. Reciprocal duties of $16 billion too will soon take come into effect. The US has also threatened to impose 10% tariffs on an additional $200 billion on Chinese imports. Beijing has maintained from the very beginning that it would retaliate against US tariffs with equal zest and impact.
The trade dispute between the US and China intensified further when Donald Trump announced last week that he is ready to impose tariffs on all Chinese imports which will be of worth $500 billion. China, however, responded by saying that these threats by the US and the efforts to intimidate would not work.