China is a superpower like the USA. The country is vast in terms of its size and population strength. Progressively, the country is becoming an economic superpower, particularly in the South Asian region. Undoubtedly, it is influential. The world including the USA recognizes China’s strength, understands the existence of a large market and availability of Chinese goods. If a market is as big as China then usually countries make careful decisions while formulating government policies. Post Obama administration, the US is not showing leniency when it comes to foreign policies towards many nations like China.China is different from the US in many counts and therefore the former’s slightest move irks the later.
Trade war Between US and China
Reports suggest that very recently the US has imposed trade restrictions on China and this is undoubtedly sad news for the Chinese administration. Beijing’s decision to counter US move is to impose trade restrictions on the US. It has imposed tariffs on the US imports of many products including pork. Many businesses in USA are adversely affected by this move. Many people in the US like to consume pork and the food industry in the US is totally dependent on Chinese exports. US based pork processing companies like Smithfield Foods China are among the many which are adversely affected by Beijing’s decision to slap tariffs on US imports.
Smithfield Foods China Stocks Tumble as a Result of Trade War
Reports suggest that the CEO of Smithfield Foods China express concern about the future of the firm. In spite of the fact that the firm sells pork to roughly about 40 countries around the world, however the imposition of tariffs on the US imports have led to down sliding of the firm’s stocks in leading international stock markets.
The Smithfield Foods China is a US based business. It was purchased by China’s WH Group in the year 2013.