US-China Trade War: After brief bonhomie, temperature rises again

The recent spate between US and China is on Hong Kong. China has asked US to prevent implementation of the law to avoid further deterioration of relations.

Those predicting a true between Beijing and Washington and expecting a trade agreement between the two economies, need to rethink. The diplomatic tussle between the US and China soared at a new level on Thursday after Donald Trump signed a bill passed by the US Senate aimed at supporting protestors in Hong Kong.

After consent of the President Trump, the Human Rights and Democracy Act 2019 has become a law in the US. The law empowers the Trump administration to ensure human rights of the people of Hong Kong are protected. In addition, it also makes it mandatory for the US State Department to certify at least once in year that the Hong Kong is autonomous enough to retain its special US trading consideration. This clause has a wider economic and trade connotation. After this law, the US will openly support the pro-democracy protestors in Hong Kong who are engaged with Chinese authorities since past since months. Angered China summoned US Ambassador and warned countermeasures.

A ray of hope of peace between the US-China trade war was seen on November 21. Thereafter, the situations seem to have been deteriorating by the day. However, Trump continues to speak about trade deal but China is also assertive on counter measures.