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U.S.-China trade battle can affect Ghana’s trade prospects – Prez. Akufo-Addo

September 28, 2018
in Uncategorized
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President Nana Akufo-Addo believes the current trade war between the U.S. and China has the potential to unfavourably affect Ghana’s trade prospects.

Akufo-Addo, held that even though Ghana is far from these countries, the inter-dependence of countries across the globe, makes it possible for Ghana to feel a spillover effect of the trade war.

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The President made this known addressing world leaders at the 73rd UN General Assembly on Wednesday, September, 26 in New York, United States of America and therefore, suggested an amicable solution to the ongoing trade war.

“Madam President, ten years ago as the General Assembly was starting its proceedings, the world was plunged into a financial crisis. The first scenes of that crisis were played out on a street not far from where we are gathered, but the consequences were felt and are still being felt around the world, and in small countries like Ghana.

“Some say that upheaval lies at the heart of the change in politics and outlook around the world. Today, as we speak, a trade war is being stoked between the two largest economies of the world. The consequences will affect those who have had no say, including small countries like Ghana”.

“These events provide proof, if some were needed, that ours is an inter-dependent world,” he added.

U.S. President Donald Trump had promised in his campaign to fix China’s “longtime abuse of the broken international system and unfair practices”, Akufo-Addo noted.

Earlier in January this year, the U.S. imposed a number of tariffs on imports, most of which are manufactured in China.

The U.S. on 6 July, in a move targeted China by imposing 25% tariffs on US$34 billion of imported Chinese goods as part of Trump’s tariffs policy, which then led China to respond with similarly sized tariffs on U.S. products.

A tariff on an additional US$16 billion of Chinese imports was added in mid-August, with China responding proportionately.

A further tariff on US$200 billion of Chinese goods is to go into effect on 24 September, to which China plans to respond with tariffs on US$60 billion of U.S. goods.

The Trump administration believes the tariffs were necessary to protect intellectual property of U.S. businesses, and to help reduce the U.S. trade deficit with China.

By Mawuli Y. Ahorlumegah

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