Even the trade war tension between China and the US was eased slightly after the “phase one” trade deal, many analysts see that it still remains unclear for the global economy and many important issues such as Huawei and its suppliers were not included in the negotiation.
China agreed to purchase $200 billion on American goods and services in the next 2 years while US committed to cut down some tariffs on Chinese exports and will not put another round of tariffs on China. Both countries also agreed to cooperate on North Korea and the protection of intellectual property.
It seems to be a positive signal for the global economy, but as mentioned, the situation of Huawei is yet uncertain. No solution has been discussed as the issue relates to national security.
Peter Boockvar, chief investment officer at Bleakley Advisory Group said, “They want to have the Huawei situation distanced on a national security path, separate from anything else. I think they’re trying to figure it all out. … How to deal with China and the tech stuff and national security”.
As well as no mention on China’s theft of intellectual property and the transfer of technology.
Analysts expressed that the tension will remain fluctuated in 2020 and the human rights issue will affect the future agreement discussion between China and the US, as China is amid the problem of the treatment of Chinese Muslims and the protest in Hong Kong.