United States and China: the evolution of complexity differentials and commercial disputes

Abstract

This work aims to analyze the commercial relationship between the United States and China in its current state; mainly, the relative specialization and the complexity differentials in commercial circulation, a fundamental topic to understand the impact that the commercial war initiated by Donald Trump in 2018 can have. We will emphasize the competitiveness factors shown by China in the beginning of the process and currently, as well as the objectives that the Asian power aims at in order to increase its competitiveness. Accordingly, China's role as the coordinator of the global production network is analyzed, especially that of Asia. Finally, conclusions are drawn about the future of the relationship and the current US protectionist strategy.