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The Inquiry: Are We Heading for a Trade War?

Are We Heading for a Trade War?

28/06/2018 GMT

BBC World Service - The Inquiry, Are We Heading for a Trade War?

The high-stakes showdown between the US and China on trade.

The high-stakes showdown between the US and China on trade. With Helen Grady.

The world’s two biggest economies are on the brink of a costly standoff. The US has announced tariffs of 25% on a swathe of Chinese goods, starting July 6th. China has vowed to respond in kind. ‘If someone wants a trade war,’ China’s Commerce Minister said, ‘we will fight to the end.’ President Trump is bullish, threatening further tariffs and tweeting: ‘trade wars are good, and easy to win.’ But the WTO has warned that a trade war would have a ‘severe’ impact on the global economy. We look at the forces driving the conflict and how each side might back down. With Helen Grady.

(Image: Cargo containers with USA and Chinese flags on their sides crashing together. Credit: Shutterstock)

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