The trade war between the United States and China has been an incredibly damaging one for both countries, but needless to say, it is the latter which has had a tough time during this prolonged crisis. The Asian nation had put up a brave front throughout the course of the skirmish, but in a stunning development, the Chinese President Xi Jinping has told his countrymen that they must prepare for harder times ahead. He stated that the escalating tensions pertaining to the trade war with the United States and the complexities of international political dynamics could prove to be detrimental to China’s progress in the near term.
The latest victim of the trade war is Chinese tech giant and telecom equipment maker Huawei, which was blacklisted by the United States authorities earlier this week. The blacklisting bars Huawei from buying components for their products from any US company, and it could prove to be a crippling blow for the company, which has grown exponentially over the past few years. During a political trip to Jiangxi, a province in Southern China, Xi asked the people to take solace from the tough battles the nation has fought and brace for hard times ahead. He said,
Our country is still in a period of important strategic opportunities for development, but the international situation is increasingly complicated. We must be conscious of the long-term and complex nature of various unfavorable factors at home and abroad, and appropriately prepare for various difficult situations.
It is the first clear admission from the most powerful President that China has had in years that the country could be facing difficulties in the near future and needless to say, it clearly shows that the US treatment of its exports, as well as the treatment of a blue-chip firm like Huawei, has finally hit home. However, it is also true that the fact that the President actually asked the people of the country to prepare for tough times ahead, could also be an indication that China is bracing for a long term trade war with the US. If that happens, then things could turn pretty heated pretty quickly.