The trade war between the United States and China has caused major disruptions for global businesses — but it may also bring benefits for some.
The study warned that the tariffs «do little to help domestic firms» in the United States and China. And even if they end up benefiting exporters in other countries, they also risk setting off a damaging sequence of negative effects around the world.
The US and Chinese governments are scrambling to strike a deal before March 2. If they fail to reach an agreement before the deadline, the United States has threatened to hike tariffs on $200 billion of Chinese goods from 10% to 25%.
Of the more than $300 billion of China-US trade that has been hit with new tariffs since July, about $250 billion is likely to shift to other economies, the UN estimates.
The European Union stands to gain the largest share, about $70 billion of new exports, according to the study. That’s because economies in the bloc are globally competitive and have the most potential to ramp up their exports, the report said.
