The ongoing trade war between the USA and China has seen imports into the US from China drop by 13% so far in 2019.
Tariffs were the primary cause of the decline on imports from China, with Vietnam proving to be the biggest benefactor with exports to the States increasing nearly 35%, primarily in the sales of computers, telephone equipment and other machinery.
Despite proving to be the biggest benefactor of the US / China trade war, Vietnam is actually struggling to cope with the demand and number of inquiries due to a lack of skilled labour.
Associate director at IHS Markit who released the trade report, Michael Ryan, commented that demand is ‘currently outpacing the current ability to supply’.
Latest news from within US and Chinese trade teams are that a path to an agreement could be within reach, with China’s top negotiator saying on Tuesday that they had higher hopes of a trade deal and that ‘consensus on how to resolve related issues’ had been found.
Read more: Boost in non-EU trade for UK firms
A key sticking point had been demands surrounding intellectual property theft – estimated to cost businesses in the US $600 billion every year.