📉 The Trump administration’s latest 10% tariffs on Chinese exports might be more about political theater than economic impact, according to Stanford finance expert He Zhiguo. In an interview with CGTN’s Global Business, the professor called the move “symbolic,” arguing it’s had little effect on U.S. consumer prices—but warned of potential turbulence ahead for China’s financial markets.
Why “Symbolic”?
He Zhiguo, the James Irvin Miller Professor of Finance, emphasized that tariffs targeting niche sectors like electric vehicles and semiconductors are more about “messaging” than meaningful economic pressure. 💡 “The direct price impact is minimal,” he said, but stressed the move could still trigger investor uncertainty as China returns from its Spring Festival holiday.
Market Jitters Ahead?
With China’s stock markets set to reopen post-holiday, He cautioned that the tariffs—though largely symbolic—might rattle global investors. 🌏 Analysts are watching closely for ripple effects in tech and green energy sectors, where cross-border partnerships are already strained.
🔍 Bottom line: While the tariffs may not hit wallets immediately, their psychological impact could shape market dynamics in the coming weeks.
