Relationship Between China And South Korea Essay example

1049 Words May 4th, 2015 5 Pages
Despite the fact China has been losing its business strength over the previous years, its bilateral agreement with South Korea has brought a shift in China and business is getting better and the future is even more promising. These two countries have tapped into each other’s markets and business between them is getting stronger and this has been to the benefit of the two. China’s economy had gone down simply because, its industrial sector faced a hard hit in terms development. However, with the new bilateral trade with South Korea as well as the recovery of its developed markets, the economy is bound to take an upward curve. Basically, the bilateral trade agreement has opened up trade between the two countries especially the exports whereby, competing exporters export their manufactured products hence opening up markets for technology related products as well as automobiles (Wayne, 2015).
This relationship between China and South Korea has led to an increase in trade deficit for the United States of America. The deficit has escalated from $10billion (1990) to $342 billion (2014) and this has raised concern among the America’s policy makers since it significantly affects America’s economy. Unfortunately, the US trade deficit with china has been the largest among America’s trading partners despite China and the US having the best economies in the world. This is an indicator of unbalanced trade between the two countries. The major disadvantage of China’s relationship with South…

Related Documents