The US-China Trade War Is Nowhere Near Conclusion -- Analyst

By Azlee Nor Mahmud KUALA LUMPUR, Nov 14 (Bernama) -- The US-China trade war is nowhere near it's conclusion, and is anticipated to go on for quite some time, said an analyst. Pacific Research Centre Principal Adviser, Dr Oh Ei Sun, said this is in view of US President Donald Trump setting out his “America First Agenda”, and anything not produced in the country is likely to be face tariffs. On the trade war’s effect on Malaysia, Oh said there were both positive and negative implications. “Some of those goods which are exported to China, have components made in Malaysia.If hit with high tariffs going into the US, then their manufacturers will make less of these items. Demand for those components made in Malaysia, will also decline, so that is negative,” he told Bernama. Meanwhile, Oh said the positive aspect is that, a lot of factories are moving out of China, and now Malaysia had to compete with Thailand and Vietnam, to attract them. On the Belt and Road Initiative (BRI), he said although its focus is on the economy, trade and investments, it had a long way to go, as Southeast Asia required monetary assistance and technology to develop. “If the intention and practice of the BRI is based on economic cooperation, it is more than welcome in this part of the world.But, if we're talking about strategic cooperation, Malaysia is more focused on economic development and the former will take a back seat. “It would have a positive spillover, but different countries need different aspects of the BRI. Malaysia needs more investments and trade, while some other Southeast Asian countries, require more infrastructure because their roads and railways need a lot of improvement,” Oh added. --BERNAMA