Re:China Begins to Question Whether It’s Ready for a Trade War
by greeneggs on Tuesday June 26, 2018 @11:51PM
(#17405643)
Major Foreign Holders of Treasury Securities
http://ticdata.treasury.gov/Publish/mfh.txt
China has $1.2 trillion, as of April 2018. Total foreign ownership is $6.2 trillion (this includes individuals, companies, countries, though it may miss some). Total debt is $21 trillion.
So China has some disincentive to pushing down the value of the U.S. dollar lest that debt be worth less in the future, in addition to its desire to keep it up so we can afford to keep buying Chinese products.
Complex interrelationship. I think it’s safe to say there are no important issues that don’t play a role in this calculation, except human rights and environmental issues since there’s no indication that Trump would push on those anyway.