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Title : Credit Suisse: China Has A Lot More To Lose Than The US In The Current Trade War
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Credit Suisse: China Has A Lot More To Lose Than The US In The Current Trade War

A U.S. flag is seen during a welcoming ceremony in Beijing, China, November 9, 2017. REUTERS/Thomas Peter

SCMP: China has a lot more to lose than the US in trade war, says Credit Suisse

* Trade is one of several areas where tension is rising between the US and China
* Rising tensions come as China faces economic slowdown

The possibility that the United States and China are closer to resolving their trade dispute has stoked optimism among investors.

But insufficient attention may be being paid to what happens if no deal is struck, according to John Woods, Credit Suisse’s chief investment officer for Asia-Pacific. No deal would be “profoundly negative”.

It would be the reverse of China joining the World Trade Organisation in 2001, which lowered or froze barriers the country faced to export its goods and paved the way for a near tripling of its share of global trade, Woods said.

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