The impact of Sino-America trade war on Mexico's trade

Abstract

After America and China started trade war, the whole world is evolving it. There is strong evidence shows that Us and retaliatory tariffs are costly for both the US and the Chinese economies, but some economic benefits through trade diversion. The typical representative is Mexico. The content of the research is to ascertain the impact of Sino-America trade war on Mexico’s trade. Firstly, this paper will analyze the influence of trade diversion effect on American and Chinese economies. Then, the relationship between Sino-America trade war and Mexico’s trade will be ascertained by using linear regression. The recommendations for Mexico policy maker would be come up with in the end of paper.