Many big U.S. companies depend on China for a substantial part of their income and rely on Chinese suppliers and factories for their products.
Expectations of future profits are a key factor in international relations; abrupt cuts in business ties increase the risk of conflict, as history shows.
The close financial relationship between the U.S. and China, with China being a significant source of revenue for S&P 500 companies, serves as a deterrent to escalating tensions.
History demonstrates that abrupt cessation of commerce heightens the risk of war; however, the current strong financial ties between the U.S. and China offer hope for continued stability.
#us-china-relations #financial-ties #conflict-avoidance #international-business #political-implications
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