The economy of the southeast Asian nation was boosted by almost 8 per cent due to the shift in production as importers sought to avoid Donald Trump’s tariffs
Analysis by Japanese investment bank Nomura also shows that trade diversion benefited Taiwan, South Korea, Chile, Malaysia and Argentina.
https://www.scmp.com/economy/global-eco ... war-supply
The problem (not mentioned in the article) there being that while the tariff war impact on the PRC might be proportionately bigger than on the US, since the PRC economy appears to be growing at a considerably faster rate than the US economy it can afford the loss better than the US can.The shift in supply chains has shaved 0.5 per cent from China’s GDP this year, compared with 0.3 per cent in the US, since exports to US made up a larger share of China’s economy, according to the research.
(It reminds me somewhat of the Battle of Kursk: the biggest tank battle in history that took place on the plains of Russia during WW2. It is estimated that for an average of each one German tank that the Soviets were able to destroy or disable the Germans were able to knock out an average of 10 Soviet tanks. Despite that the Soviet side still won the tank battle because the USSR was by then outproducing Nazi Germany in tank production so greatly that they could afford the loss. Now if you can apply the analogy to the Trump-China trade war then it could well turn out that the Americans are playing the approximate role of the Germans at Kursk and the PRC that of the Soviet side.)