China and the U.S. are expected to sign a brief trade deal shortly; however, the competition between the world's two biggest economies won't finish there, according to a group of Chinese students in Beijing. The idea of a long-term match between the U.S. and China is turning into the consensus view in Beijing, even once the two countries reached an interim agreement on what U.S. President Donald Trump referred to as a "substantial phase one deal" earlier this month. Trade negotiators are acting on a text that Trump and President Xi Jinping might sign as early as the Asia-Pacific Economic Cooperation (APEC) summit in Chile next month. Trump said on Monday that "the deal with China's coming along very well," adding China wished to achieve an agreement as a result of "their supply chain is going down the tubes." Zhu Jianfang, the chief economic expert with Citic Securities, expressed confidence Beijing and Washington were willing to sign a temporary deal. "But within the mid-to-long term, reaching a deal doesn't mean they need to have resolved their issues," Zhu said at a forum at the Renmin University of China on Monday. "China and the U.S. don't seem to be planning to stop competing." Yu Chunhai, a researcher at the university's National Academy of Development and Strategy, said the U.S. was ready to use irregular measures to handle trade problems because the country became more protectionist. He cited the blacklisting of Chinese telecommunication system maker Huawei as only one method Washington might prohibit China's access to U.S. technology and its domestic market. "The U.S. has been raising tariffs [to gain leverage in trade talks]," Yu said. "But till now, when we scrutinize U.S. manufacturing and also the overall economy, the impact of its tariff strategy hasn't been that vital. Given that, the danger of using unconventional measures [against China] is greater."
Tags : U.S., China, trade deal, Asia-Pacific Economic Cooperation (APEC) ,