The Impact of the Trade War on Manufacturing and Workers in China and the United States

Abstract

Nowadays, in global level, United States and China are widely accepted as the first and second largest economies. By calculating the Gross Domestic Production (GDP) in nominal terms, we can observe that in 2022 the United States is still the most powerful economy with a GDP at $24.79 trillion while the GDP of China follows afterwards at $18.46 trillion which is far ahead of Japan, the third largest economy with a GDP of $5.38 trillion. Moreover, these two countries dominate the manufacturing in the world, which takes a great proportion of economic impetus due to flexible industrial policies and effective investments from governments and enterprises.