Why ‘Made in China 2025’ triggered the wrath of President Trump

The Chinese government announced the "Made in China 2025" strategic plan in 2015. Its purpose is to narrow the gap with Western high-tech power, reduce China's dependence on importing technology, and designate 10 areas that China should take the lead. However, as the trade war between the US and China warmed up with mutually fined tariffs, the plan became the focus of dissatisfaction with Washington's Beijing.

After the rapid rise in recent years, the Chinese economy is currently faced with many potential problems. As a "brand-new, not powerful" brand, manufacturing became a particularly bottleneck, and sales of cheap exports such as shoes and toys decelerated. Many of these products have reached saturation in the market and it is difficult to maintain sales in industries that require small amounts of innovation and high-tech development. Furthermore, with the policy of "only for children", the working age population of the country is expected to decrease sharply by 2030.

China has taken a long and difficult path to build the world's largest export economy. And the "Made in China" label has been assigned to more complex products than 20 years ago. China's exports in 1996 were mainly textiles and footwear. But by 2016 computers, telephones and other electronic devices are beginning to dominate the list of exports.

** "Others" includes foods, vegetable products, animal products, stone and glass, wood products, paper products, by-products of animals and plants, weapons, precious metals

In order to realize this plan, the Industrial Information Technology Department focused on 10 major manufacturing industries and formulated the "Five Principles, Five Main Tasks".

In this program, 10 major priority industries such as robotics engineering, new energy, green car, etc. are taken up. China has set goals as follows.

Trump presidential government accused Beijing as having used subsidies and protectionism to unfairly support Chinese enterprises. China stated that its goal is transparent and the policies of other countries aim to strengthen domestic industry. Beijing has offered billions of dollars through state and state programs to help companies catch up with foreign competitors. According to the departmental document, a Chinese company wishing to establish or invest in a factory similar to Workshop 18 can apply for a government subsidy worth up to $ 45 million.

On April 10, 2018, China announced a breakdown of trade negotiations. The United States urged China to stop subsidizing ten industries that are prioritized in the "Made in China 2025" program. In the latter half of that day, China 's President Xi Jinping announced that it will cut tariffs on imported cars. It allows a trump to rescue a face, but it does not significantly affect trade. Most automakers feel that the construction in China is cheaper regardless of tariffs. On May 15, 2018, China agreed to withdraw tariffs on US pork imports. Qualcomm will also be able to acquire NXP. In exchange, the US plans to cancel tariffs on Chinese telecommunications company ZTE. Many countries believe that the elimination of ZTE tariffs on playing cards is an exploitable weak point. They will double their efforts to find exceptions for card tariffs. Many European countries want to avoid US sanctions against companies dealing with Iran. They may impose tariffs on US imports as a means of negotiation

But despite President Trump 's request for China spreading to all maps, China demanded a reduction in bilateral trade surplus, then abandoned the "Made in China 2025" technology initiative, and to Republican voters We abolished tariffs that had adverse effects. This new allegation of election intervention - the president 's assertion in the non - proliferation negotiations of the UN Security Council - has recently been expanded further due to the more severe situation of party vice president and ceased to request complete withdrawal from China .