In a recent interview with Yahoo Finance Live, Shehzad Qazi, the Managing Director of China Beige Book International, discussed Treasury Secretary Janet Yellen’s recent visit to China to address economic tensions between the two countries. Qazi expressed his view that Yellen’s approach may not be effective if the US wanted to send a serious message to China.
Qazi also highlighted the challenges faced by the Biden administration in its industrial policy. He mentioned TSMC’s production delays and suggested that China might be sending a message that the US cannot compete with them as much as they think. This underscores the need for improvement in the US approach to dealing with economic competition from China.
During her discussions about potential tariffs on China’s green exports, Qazi pointed out that the administration will have to take action by 2025. He questioned the extent to which the administration is willing to go in imposing trade tariffs, noting that aggressive actions taken by the Trump administration significantly impacted prices. However, he also noted that the Biden administration’s approach seems to have more continuity in dealing with trade issues.
