Jack Ma speaks to the detriment of a potential trade war; says the balance of trade deficit is unfounded
On April 11, “Both Sides Would Lose a U.S.-China Trade War” written by Jack Ma, executive chairman of Alibaba, was published in the Wall Street Journal and pointed out that US farmers and SMEs are the victims of the trade war.
US-China trade war does not benefit the US economy
The recent American government’s series of attitudes and actions show that the United States seems to be closing down opportunities for entering the huge consumer market in China. The article shows that Jack Ma believes that a US-China trade war does not benefit the US economy. First, Jack Ma argues it is a mistake that Trump believes that Balance of Trade Deficit is a problem hurting American economy, and Balance of Trade Deficit actually reduces the unemployment rate in the United States; second, the trade war damages benefits of American farmers and SMEs.
To implement globalization in the world
Jack Ma has always been an advocate for the SMEs benefits. At the 2018 Winter Davos, held in January, in response to trade protectionism, Jack Ma had publicly called on all countries to implement globalization. In his view, the trade war actually sanctioned SMEs and young people.
Jack Ma’s article content is consistent with Alibaba’s business model and business vision and globalization. Alibaba empowers SMEs and is the builder of e-commerce infrastructure.
In 2015, Jack Ma and American Express CEO Kenneth Chenault talked with over 300 American SMEs in Chicago. Two years later, at the Gateway 17 SMEs Forum held by Alibaba, Alibaba further clarified its role in the development of US-China economic and trade relations – to create more development opportunities for SMEs, farmers, and entrepreneurs in China and the United States.
Alibaba will continue its mission to help American SMEs and farmers access to the Chinese market via digital business platforms with over 500 million Chinese consumers. Jack Ma pointed out in the article that in 2017, Alibaba helped US brands and companies sell over the US $24 billion worth of imported goods in China. Meanwhile, there are over 1 million Chinese SMEs in Alibaba’s SMEs export platform. They have also been able to expand their global business via Alibaba.
Not only listening to the needs of SMEs, Alibaba but also actively exploring the actual business model
In the past few years, Jack Ma has been playing the role of salesman for his global e-commerce platform (eWTP). From January 2015, the concept was proposed to the world’s first “eWTP” overseas pilot zone in Malaysia, and to the formation of a long-term cooperation between the WTO and the World Economic Forum， Alibaba aims to build a universal global trade mechanism and agenda, enhance the SMEs’ right to speak in global trade, and allow globalization to benefit SMEs and young people better.
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