From China Matters blog:
The countervailing duty (CVD) determination against China for subsidizing its paper industry points to the emergence of a new approach by the Bush administration.
With the Democrats in control of Congress and political pressure from both sides of the aisle to “do something” in response to the ballooning trade deficit with China, the Bush administration appears to be offering an alternative to a fireeating attack on China’s undervalued yuan by the Chuck Schumers of this world.
The alternative looks a lot like “managed trade”, the nibbling attack on Japan’s structural impediments, non-tariff trade barriers, and non-market self dealing begun in the reign of Bush the Elder. [Full Text]
