Geng Xiao argues that the best way to determine how fast the Renminbi should appreciate is not by listening to politicians in Beijing and Washington, but rather to look at the speed of growth in Chinese productivity.
Xiao also urges the US to have patience, pointing out that even if the Renminbi appreciated at a rate of 8% annually, it would take more than 15 years to achieve Washington’s desired exchange rate.
Will the American business community sit idly by and watch Trump undertake a trade war with China? They have a lot at stake in this. [Trump's stream of anti-Chinese Tweets poses risks of being misunderstood.] China would regard a potential challenge as more dangerous than it actually might be.
If Trump withdraws the United States from the [Trans-Pacific Partnership], as he has promised to do, and undermines long term alliances and partnerships, then this paves the way for countries like China to take up the mantle of global leadership.