Graphic Truth: US-China Trade Balance

Donald Trump announced a fresh "phase 1" trade deal with China last week, part of his ongoing bid to reduce the United States' huge trade deficit with China. The US has been buying more from China than China buys from the US for decades, but since coming into office Trump has made reducing that deficit central to his "America First" agenda. It's not easy to do. Consider that in 2018, after two full years of the Trump administration, the trade deficit with China actually swelled to its highest level since the Clinton years. That's because many perfectly healthy economic factors contribute to a trade deficit: stronger economic growth under Trump has meant more demand for foreign goods, so as long as the economy keeps humming along, it will be hard for Trump to reduce the deficit. Likewise, the strong US dollar makes foreign goods cheaper for US consumers to import, while China's own economic slowdown in 2018 decreased Chinese demand for American goods. For a historical perspective on all of this, here's a look at how the US-China trade balance has developed under each US president going back to 1993.

Are the US and China headed for a new Cold War over technology? Judging by what we heard a few days ago at the Munich Security Conference, a major trans-Atlantic gathering for world leaders and wonks, you'd certainly think so. US, European, and Chinese officials at the event all weighed in with strong words on the US campaign against Chinese 5G giant Huawei and much more. Here are the main insights we gleaned from the proceedings:

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Bloomberg takes the stage – Tomorrow's Democratic debate will be the first to feature media tycoon Mike Bloomberg, who in recent weeks has thrown hundreds of millions of dollars behind an ad campaign designed to position himself as a viable, moderate candidate who can beat Trump. As his support in national polls has climbed to nearly 20 percent, Bloomberg – who largely sat out the earlier rounds of Democratic campaigning – has come under attack for sexist comments in the past as well as his support, as NYC mayor, for "stop and frisk" policing tactics that disproportionately targeted people of color. Bloomberg will immediately be at war not only with the moderates whom he wants to displace – Pete Buttigieg, Amy Klobuchar, and Joe Biden – but especially with the front running left-progressive Bernie Sanders. It will likely be quite ugly and we're certainly tuning in.

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150: As the Chinese government continues to expand travel restrictions, hoping that reducing human contact will stop the virus from spreading further, at least 150 million people are now facing government restrictions dictating how often they can leave their homes. That's more than 10 percent of the country's total population who are currently on lockdown.

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While attending the Munich Security Conference, former U.S. Secretary of State John Kerry was asked to respond to the news of the first coronavirus death outside of Asia. The victim, a Chinese tourist who arrived in France in January, was among 11 confirmed cases in that country. "I think everybody in the world needs to be concerned," Kerry told GZERO.

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