Beijing will not want to risk relations with these underdeveloped and developing economies. Ugandan President Yoweri Museveni has already threatened to close the Ugandan mission in Beijing if the Chinese government does not open its doors to Ugandan coffee.
Caught between trying to protect its domestic markets and maintain its political allies, Beijing will likely concede on products like coffee that do not tend to threaten domestic industry. This, however, will open the door for claimants seeking tariff reductions for other commodities, especially other agricultural commodities. That is exactly the victory the United States hopes to achieve.
Additional analysis from STRATFOR.com can be found at: http://www.stratfor.com on our LINKS page.
This article is reprinted with permission from the publisher, STRATFOR.com.
Caught between trying to protect its domestic markets and maintain its political allies, Beijing will likely concede on products like coffee that do not tend to threaten domestic industry. This, however, will open the door for claimants seeking tariff reductions for other commodities, especially other agricultural commodities. That is exactly the victory the United States hopes to achieve.
Additional analysis from STRATFOR.com can be found at: http://www.stratfor.com on our LINKS page.
This article is reprinted with permission from the publisher, STRATFOR.com.