How China Stayed Cool When Tariffs Shook the World Economy 🌏
Hey there! Have you ever heard of a “tariff”? It’s like a tax that countries put on stuff they buy from each other. A few years ago, some big changes happened with tariffs that made the world economy a bit shaky.
What Happened?
Back in 2018, the United States decided to put extra tariffs on things they bought from other countries, including China. They thought other countries were not being fair in trade. But the way they calculated this wasn’t quite right.
The Big Mix-Up
Imagine if you bought more candies from your friend than you sold to them. Does that mean they’re being unfair? Not really! But the U.S. thought that buying more from a country meant that country was being unfair.
China’s Cool Response 😎
Instead of getting angry, China chose a calm and smart way to handle this. They focused on working together with other countries and making trade fair for everyone!
Joining Hands with Neighbors
China became a big supporter of something called the Regional Comprehensive Economic Partnership (that’s a long name!). It’s a group of countries that agreed to trade fairly and help each other out.
Building New Roads and Bridges 🏗️
Through the Belt and Road Initiative, China is helping build roads, railways, and ports in many countries. This makes it easier for everyone to trade and visit each other!
Looking Inside and Out
China started focusing on something called the “dual circulation” strategy. This means they are making sure people inside China have what they need, while still trading with other countries.
Why Does This Matter?
When countries work together, everyone wins! Trade isn’t about winning or losing; it’s about sharing and helping each other grow. China’s way showed that staying cool and cooperating is better than arguing.
The Big Lesson 🌟
It’s important to think carefully and be fair. When we face problems, staying calm and working together can lead to the best solutions!
Remember!
Next time you trade toys or snacks with friends, think about how countries trade too. Fairness and cooperation make everyone happy!
Reference(s):
Tariff shakes world economy: Will China respond with complex policy?
cgtn.com
