U.S. trade chief calls trying to change China's economy "crazy"
As Europe grapples with its own China shock , the U.S. has largely given up on trying to persuade Beijing to change the export-heavy economic model that's helping fuel it. It's a sharp break from years of U.S. economic diplomacy — including most recently during the Biden administration . What they're saying: "We did that for 25 years with our best people, and everything got worse," U.S. Trade…
U.S. Trade Representative Jamie Greer dismissed attempts to alter China's export-driven economy as "crazy," stating that years of such efforts have only resulted in worsening economic conditions. Unlike previous administrations, the current U.S. approach lacks enthusiasm for engaging with Beijing to encourage a shift towards consumption-based growth.
Greer warned that continuing down this path would lead to stagnation, comparable to other developed nations. The U.S. has largely maintained a tariff barrier against Chinese goods, with the Biden administration retaining and expanding these tariffs, including on electric vehicles. While President Trump has taken a more aggressive stance in shielding the U.S. from China's economic model, the overall strategy remains focused on economic pressure rather than diplomatic persuasion.
Critics argue that China's reliance on exports could trigger a global economic crisis, and a proactive coalition to push Beijing for a rebalance might be a more effective approach than simply opposing the status quo.
Written by urgent.news from Axios's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
