Washington: Even as the Coronavirus is ravaging the world, a new standoff is likely to spark in the US-China trade war. The US has threatened to slap fresh sanctions on China warning that a new deal was not possible. Trump’s senior advisors have also endorsed the proposal to impose new sanctions.
The US has suffered a massive economic blow due to the Novel Coronavirus that originated in China’s Wuhan. Leaving aside a few industries and companies, the rest of the sectors in the US have slowed down with the unemployment rate reaching an all-time high. The US economic growth is at a standstill and forecast to take at least a year to a year and a half to bounce back to its normal levels. As China is responsible for the economic damages as also a large number of deaths in the country, the US President and its leadership have taken an aggressive stand against the state.
In the last few weeks, President Trump and other leaders in his administration have been reprimanding China. Only a few days ago, Secretary of State Mike Pompeo warned China, ‘China has caused severe damage to the US economy as also significant loss of life by withholding information on the Coronavirus. The Chinese Communist Party will have to pay the price for the damages.’ Pompeo indicated that it would have to be repaid at the economic and trade levels. Furthermore, the US has now initiated steps to take action against China. Also, the statements of the US President and even the senior advisors corroborated the move.
The US-China talks had reached its final stage to halt the two-year-long trade war between them temporarily. The talks were stalled due to the Coronavirus pandemic although China is trying to reinitiate them. The US, however, has not shown interest in it and is preparing to impose sanctions on China. In an interview on Monday, President Trump rejected any possibility of talks and threatened to impose new sanctions against China. Trump’s trade advisor Peter Navarro went a step further to clarify on the US stand and sharply warned that ‘The time has come for China to pay the price for its lies.’ Navarro said that it was not just limited to punishing China but was necessary to make them aware of their responsibilities, as he indicated US action against the country.