FX.co ★ Biden favors competitive approach to US-China relations

Tensions between Beijing and Washington are likely to ease, as US President Joe Biden appears poised to provide a respite to the world's second-biggest economy, exhausted by the trade war. Biden has promised that his approach will be different from his predecessor's one. He has also added that he is not going to fight with China but to compete, following the international trade rules.

The head of the White House noted that he would focus on fair competition rather than on an open conflict. This is a good sign for China, especially given that it has been hit hard by the bruising trade war. "I know him pretty well," Biden said, explaining that he spent a lot of time with Chinese President Xi Jinping as vice president. "He’s very bright and he’s very tough and – I don’t mean it as a criticism it’s just a reality – he doesn’t have a democratic...bone in his body," the US President added.

However, the situation is not so positive for Beijing. According to the US president, his administration will continue to "confront China’s economic abuses" and "compete from a position of strength" by working with its allies. Notably, the number of Biden's partners is higher than that of Donald Trump. If US business partners join the economic siege of China, a new trade conflict will push its economy back to the level of the late 20th century.