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Trade skirmishes with a chance of more to follow. Were the new tariffs to remain for a lengthy time, China’s world factory, global supply chains, and the U.S. import and distribution system could be disrupted in a significant way.
The economic relationship between the U.S. and China may bifurcate into a two-tier trading relationship in the future. Will there be an agreement? We now have some solid indications that the modest agreement we have been predicting in this series is coming to realization.