“Why Trump should focus on US services, not goods” | SCMP

Chinese tourists in New York.  While just 3 million tourists visited the US
in 2016, they spent US$33 billion.  Photo: Reuters

David Dodwell, always sound,* highlights the fact that the US is going to miss out on tourism services exports to China.  

Chinese tourists spend an average of $11,000 per head, far more than any other country. 

Only 5 million of the 150 million Chinese overseas tourists went to America in 2016. If that figure rose to 10 million, a reasonable target, they would add $110 billion to US services exports to China, and 2.5 million jobs, dwarfing any gains that may be made from his tariffs policy, a policy that is misguided (in my and many others' view) and which may well end in tears. 

/Snip:

As for Trump's simple agenda, the trade expert consensus is that his strategy is wildly off-target. The only jobs the strategy would "bring home" would be low-pay, low-value-adding ones that have been shifted offshore by US companies for very good reason.

...

It is intriguing that Trump is so keenly obsessed with US goods exports to China worth US$130 billion a year, while wholly neglecting the upside potential of tourism and other services worth twice as much.

Why Trump should focus on US services, not goods, SCMP, 25 August 2018

* It turns out that David and I have a similar history with China going back to the 1970s when we both went to China via the Shenzhen entry port, which involved trains and an overnight stay at the border. And at the time I was in Peking, 1976-82, he was on the China desk of the Financial Times in London, getting news from Peking-based Aussie journalist and FT stringer Tony Walker, who was also a mate of mine at the time. 

We've been sharing memories in email exchanges recently. And I'll be catching up with Tony when I'm next in Melbourne. He became a multiple award winning journalist.  Still writes, but freelance now.