1970

1980

1990

2000

2005

China Exports

2307

18099

62091

249203

761954

China

Imports

2279

19941

53345

225094

660003

U.S. Exports

43241

225566

393592

781918

904383

U.S. Imports

42389

256984

516987

1259300

1732348

In 1970 the exports of China were less than 6% of those of U.S. The asian country exported just more than $2 billion. Those were years of dogmatism in China.

When chineses wanted to watch TV they had to go to public squares. There was one car by every 1500 people in a certain moment of the 70s.

In 2005 the chinese exports were about 84% of U.S. exports and growing faster. China exported almost $762 billion. Clearly, China will surpass U.S. as the second exporter of goods in the world and then China will surpass Germany to become the first exporter of goods.

Today, China is the first exporter of TV sets. In 2006 China will be the third producer of vehicles and soon it will be ready to flood the american market.

On the table shown above you can also see the growth of the american trade deficit while the opposite happens with China. The asian nation had a surplus of almost $102 billion in 2005. In 2006 this surplus could be even 40% bigger.

This is no surprise that China is the first country whose international reserves have surpassed $1 trillion. The biggest in the world.

The chinese financial power will increase in international markets and the yuan will increase its value.

U.S. must revitalize its exports and reduce its trade gap if it still wants to have the global leadership.

http://www.byedeficit.com/blog.php

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