Fourteenth Global Studies Conference

Abstract

People tend to forget the trade conflict between China and United States. Once coronavirus is under control and vaccine is ready, then the trade conflict between two countries will reoccupies the center stage. Of course, trade conflict is only the first step, underneath the fights are related to science and technology, the way of governing, and the differences in ideologies. Of course, the millinery conflict may become last resources. As well known, the United States largely tolerated China’s behaviors before, including the international trading. However, since Trump came to power, the United States has almost 180 degree turning toward the world, especially China. The root source of conflict stems from the international orders, established by the United State with its Western allies, have been challenged. The question is when the new power rises the world could escape from Thucydides’ Trap? Britain breaking away from European Union through referendum demonstrates that globalization of last few decades may encounter the resistance of nationalism. It is observed that gradually escalating conflict increases the possibility of the war while international dialogue may prevent it from happening. This research uses the four important indictors: GDP, international trade, stock prices, and debt to partially measure the results of trade war between the two counties. All these measures may not accurately describe the trade war between US and China, but to a large degree, it catches the essence of the war. The lesson is that dialog is the way to solve the differences, not the war.