Since March，Sino-US trade disputes have been on the rise. What are the prospects for resolving these disputes and what are the policy choices we face in that effort?

History shows that as long as US economic growth is above 2% and European economies expand by more than 1.5%，China's exports should enjoy relatively high growth. Therefore，there is no need to worry too much about exports，especially to key markets. The trade situation may turn out to be less dangerous than imagined.

It is believed that despite all the bluster，the US does not really want a damaging trade war. Take the ZTE case as an example. ZTE has cooperated with Microsoft，Intel，IBM，and Qualcomm，among other big US companies. Putting ZTE out of business would hurt US interests. Fines and restructuring would undermine ZTE's research and development and its ability to catch up to its rivals. It shows that when trade sanctions really affect the interests of important American companies and its consumers，the US government will come up with remedial measures. For example，the US issued a list of imports with an additional 25% tariff on June 15，but that same action removed 515 items from a list announced on April l. These included televisions，snowmobiles，garbage compressors，chainsaws，hot air balloons，and some pharmaceutical and medical products as well as certain steel and aluminum products.

The 25% tariff is targeted at US$34 billion worth of goods and a 10% tariff applies to US$200 billion. (US President Donald Trump has since threatened to raise the 10% tariff to 25%) This is not really that much，considering the size of the total trade between the two countries. On February 2，2017，the US Department of Commerce issued a final ruling saying that stainless steel plates and steel strips imported from China were subsidized and dumped in the US market at prices below reasonable levels. The anti-dumping duty of these imports was set at between 63.86% and 76.64%，and the countervailing duty for the specific enterprise，Shanxi Taigang Stainless Steel Co.，Ltd.，was 75.60%. This anti-dumping duty will be in place for five years.