04 May '12, 9am

US-China Relations, Solar Energy & Trade: Radical Rethink, Restructuring Required

US-China Relations, Solar Energy & Trade: Radical Rethink, Restructuring Required

China’s now the second or third-largest economy in the world, yet the Chinese government still maintains a phalanx of protective and stimulus measures that not only shield its domestic industries, businesses and markets from outsiders, but provides massive export and manufacturing subsidies that enable Chinese firms to undercut all comers. Let’s see. China continues to manage the foreign exchange value of its currency, pegging it to the value of the US dollar and its other major trading partners, thereby ensuring that its exports remain competitively priced even if those trading partners’ economies weaken and regardless of its trade and current account imbalances. It place restrictions on foreign exchange for its businesses and citizens as well as those from overseas. It restricts foreign direct investment and foreign businesses–foreign firms are prohibited from establishi...

Full article: http://cleantechnica.com/2012/05/04/us-china-relations-so...

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