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Trade war's silver lining for Asia economies
Findings from a model simulation conducted by economists at MAS revealed that Asian nations stand to benefit from US demand diverted from China
Add BT as a preferred sourcePublished Fri, Apr 26, 2019 · 09:50 PM
Singapore
AS THE US and China lose global export share amid their trade war, other Asian economies appear to be benefitting modestly from cheaper intermediate inputs and US demand diverted from China.
With the diversion of foreign direct investment away from China hastened by US tariffs, the Asean-4 economies of Indonesia, Malaysia, the Philippines and Thailand are set to benefit the most, while all Asia ex-China economies are expected to enjoy varying degrees of real income gain from production relocation in the long run.
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