Highlights of this Month’s Edition:
• Bilateral trade: At $365.7 billion, U.S. goods deficit with China hits new record; U.S. services exports expanded to a record high in Q3 2015 driven by high Chinese travel to the United States. • Bilateral policy issues: U.S. firms rate Chinese interpretation of law as top concern and report lower profitability and future growth in China’s economy in American Chamber of Commerce survey. • Quarterly review of China’s economy: GDP growth slows to 6.9 percent on manufacturing deceleration; Beijing pursues new “supply-side” reforms; stock market volatility continues; the $500 billion surge in Chinese capital outflows places the Chinese government on the horns of a dilemma. • Sector focus – Real estate: The slowdown in China’s real estate sector remains a drag on GDP growth; government attempts to boost the sector have failed to halt the market’s decline.
The U.S.-China Economic and Security Review Commission was created by the United States Congress in October 2000 with the legislative mandate to monitor, investigate, and submit to Congress an annual report on the national security implications of the bilateral trade and economic relationship between the United States and the People’s Republic of China, and to provide recommendations, where appropriate, to Congress for legislative and administrative action.