Renowned economist Jeffrey Sachs has issued a stark warning against escalating U.S. protectionism, arguing that trade barriers with China could destabilize the global economy. The Columbia University professor highlighted historical parallels to 1930s protectionist policies that deepened the Great Depression, urging nations to avoid repeating past mistakes.
\"The U.S. economy has been a major beneficiary of China's economic rise, not a loser,\" Sachs stated, responding to President Donald Trump's recent executive order imposing 10% tariffs on Chinese goods. \"Protectionist economies do not thrive… the first loser would be the United States.\"
Analysts note that China-U.S. trade surpassed $575 billion in 2023, with sectors like technology, agriculture, and manufacturing deeply interconnected. Sachs emphasized the relationship must remain cooperative: \"This isn't a zero-sum game. When China grows, it creates opportunities for American innovation and global market expansion.\"
The debate comes as G20 nations face pressure to balance economic security with globalization. Young entrepreneurs and business leaders are particularly impacted by supply chain disruptions, with startups reporting 22% higher operational costs due to trade uncertainty in Q1 2024.
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The U.S. benefited from China's rise, protectionism would only hurt it, says expert
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