ON THE GLOBAL stage today, the attention-grabbing issues are the technology and trade wars between China and the US.
The Biden administration is set to continue the escalation of the disputes, surpassing the animosity during Trump’s administration. Beyond the tensed relationship, the world’s two biggest economies are recovering from the pandemic.
The US’ GDP growth was at a respectable 6.4% in Q1 of 2021, with the full year growth forecasted at 7% by the International Monetary Fund (IMF). The US economy is also seeing an accelerated hiring rate, too.
On the Chinese side, the shortage of raw materials and semiconductor components has somewhat dampened the country’s manufacturing activities. Nevertheless, the general trend still points towards a recovery. In fact, the Chinese government has pegged GDP growth at a comfortable 6.5% in 2021.
On the pandemic side, the high vaccination rate in the US has boosted business confidence as Covid cases are brought under control. The same has happened in China as well.
However, the same cannot be said for the large developing countries, such as Brazil, India and Indonesia. The outbreaks in these countries are unleashing devastating damage to their economies and lives alike.
