American face difficulties when lacking Chinese goods

08/07/2007 12:00 - 1030 Views

It is not easy for American to live without Chinese low-price goods although fail-safety of these items directly concerns them.  

Electric lamps, birthday candles, mouse-traps, T-shirts, and confetti are too familiar to American. When they must be remote from them due to rumours of fail-safety of Chinese goods, they feel their money pockets to be threatened.

Fail-safety of products originating from China is alarmed in the US. Washington authorities have adopted a series of measures including orders withdrawing and forbidding several China’s products. Washington recommends American to keep their wits about China’s low-price goods. In fact, implementing the recommendation above is not as easy as falling off a log.

According to statistical data of an American economist, Joel Naroff, about 15% of total goods with the value of 1,700 billion USD that the US imported in 2006 originate from China. Almost are essential and low-price goods that can not be absent from hypermarkets of biggest American retailers, especially in Wal-mart.

They are also indispensable to the majority of people with average or low income in the US, who like shopping in Wal-mart because this firm is steady in its principle of always selling low-price goods.

Therefore, lacking low-price goods from China, giant distributors as well as a great number of households can not adjust in time to new changes in the market. It is probable for many serious consequences to arise from the matter that is believed to be simple.

Solution right now for all American who are facing this situation is to find goods similar to China’s ones as well as to accept consuming China’s items which are most reliable.

China’s low-price exports include mainly toys, making up 90% of world export market share, next to garments and textile products with 16% of segment, and general electronic consumer goods in third position.

In last May 2007, United Nations Economic and Social Commission for Asia and the Pacific (UNESCAP) made public its report on investigating economic situation of this area in 2007. This report said that China’s low-price goods played a role in reducing the world inflation. From 2001 to 2005, exports of this country reduced inflation such as 0.28 point percent for the US, 0.37 point percent for EU, and 0.65 point percent for Japan.

However, Western economies, especially the US, the most important trade partner of China, still complain incessantly China’s excess of imports over exports to its own market. These countries still incessantly complain, criticize and believe one of main reasons is that China’s Government undervalues Yuan. Thus, China’s exporters make profits from distinct competitive advantages in price over their competitors in American market.

Nh?t Vy (According to The Economists, FT)

09/07/2007

Source: vietnamnet
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