On April 11, the US “Wall Street Journal” published an article written by Ma Yun with the title of “Trade War Kills Jobs, Opportunity, and Hope.” This article was not only reprinted by the media in the United States, but also highly valued and endorsed by the U.S. chambers of commerce and well-known multinational corporations. What is the reason behind the huge popularity of a short article written by a Chinese businessman?
This article believes that the farmers and SMEs in the US may become the victims of this trade war, and called on the Trump administration to stop the erroneous trade war and return to the multilateral trade of the WTO. The paper points out directly the mistake made by the Trump administration and it certainly deserves our praise.
Ma Yun is one of the few Chinese entrepreneurs who has a close friendship with Trump, especially after he proposed to create employment for 1 million American with the help of internet.
Ma Yun has always devoted himself to the market development of the Chinese and American companies, and made it clear that this trade war will bring no benefit to the U.S. economy. He clarified that China’s surplus comes from the manufacturing industry, but the US Surplus comes from the service industry, China is a surplus of income while the United States is a surplus of profits. Most of the Americans are sincerely convinced by his analysis, which is not an easy task because many experts of the US think tanks are unable to do that.
As the leader of China’s Internet companies, Ma Yun believes that the economic policy adopted by the US government in the past 30-year aims to encourage the US companies to outsource their labor-intensive manufacturing to China and other Asian countries. Consequently, it is now very difficult to bring these manufacturing industries back to the US. The US should not blame China for that. The United States has made huge profits from such kind of outsourcing but still claimed that it was given unfair trade treatment, which is rather a self-deception. Ma Yun pointed out that Trump launched the trade war according to an erroneous idea, this is a big mistake.
China has 300 million middle-class and the hence it has a huge potential in the consumption market. The trade war will harm the interests of the two countries, but more importantly, the US might lose the huge consumer market of China. In his paper, Ma Yun directly asked is the United States willing to abandon the historical opportunity brought by the Chinese market.
I think that President Trump and his team will think twice before taking any further actions when they read this article.
As a world-renowned entrepreneur, Ma Yun focused on the wrong practices of Trump and a few other policy-makers, without harming the interests of the Chines and American entrepreneurs. He made the entrepreneurs of China and the US to realize that we must overcome difficulties, remain confident and bring long-term development and stability to the world.
At the end of his article, Ma Yun concluded that it takes time to change the current trade protectionism but no matter what kind of difficulties we face today, he is fully confident about the future between China and the United States and the future of the world economy.