The United States accuses China of flouting trade rules and undervaluing its currency to helps its exporters. That hurts American manufacturers and costs U.S. jobs.
One response might be imposing tariffs on Chinese goods, but that could set off a trade war and drive up prices paid by American consumers.
Currently, the U.S. is seeking international rulings against Chinese subsidies for its auto and auto-parts exports and against Chinese duties on U.S. autos.
Many U.S. companies outsource production to China. One study estimated that between 2001 and 2010, 2.8 million U.S. jobs were lost or displaced to China.
Yet cheap Chinese goods have benefited American shoppers and help restrain inflation.
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