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With new tit-for-tat tariffs threatened and implemented on a near-monthly basis, the US–China trade dispute now risks severely disrupting global supply chains, and could eventually jeopardize the economic welfare of both countries. American and other multinational firms operating in China find themselves on the frontlines of these tensions. The direct and indirect exposures they face run the gamut: production disruptions, cost increases, profit loss, demand swings, and more.
In our latest research brief, we evaluate the real trade dependencies between the US and China on an industry-by-industry basis using two novel metrics—value-added exports and value-added imports.
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