MONETA VOL 21 MONETA VOL 21 | Page 16

Issue No: 21 Moneta western countries. Given the condition in EU post-Brexit, the demand for Chinese imports iswaning in European markets. New American president-elect Mr Trump is trying his level best to bring back at least some part of manufacturing units to America. July 2017 Bad policies, political mistakes lead to drop in bilateral trade. It also leads to drop in trade with countries that support either of the two countries. It also leads to disruption of economic activities in regions inside both the countries that are close to the border spending on military increases using up the part of the budget that could be provided for economy boosting. So, the two countries must try to focus on building a healthy relationship with each other so that both the countries get the benefit in long term. China is also under serious problems like ageing population, costly labour and low domestic spending by people etc. So finally, what I would like to say is that t