The on -going trade war between US and China is taking new turns each passing day, and now most of the developed countries of Asia are turning towards India in an attempt to reduce their dependence on China.
Countries having close allies with the United States, like Japan, Taiwan, Australia and South Korea are the ones whose industries associated with exports have a great chance of bearing severe consequences from the trade war between China and US are now attempting to reduce their dependence on China and diversify their economies.
The industries of most of the Asian countries manufacture goods which are then sent to China for their assembling after which they are exported to the Unites States. But the trade war between these two countries has increased the vulnerability of the manufacturing chain and is sure to cause drastic effects in future.
In the present scenario, the best safeguard for all these countries would be to commence good relations with Asia and in turn boost trade within Asia which is the reason why Japan, Australia and South Korea are now paying more and more attention to their neighbours especially India.
According to Harsh Pant, who is a part of the Observer Research Foundation, the on-going trade war is a sign that the Asian countries especially the ones having good ties with America cannot continue with their traditional approach and need to plan a radical shift. He further added that these countries are in need of countries, like India which has highlighted the credentials that it possess as a responsible economic and security partner.
The economic rise that India is witnessing presently along with the liberalization of trade policies in India by the current government is the favorable factors for India to be an ideal partner for the Asian countries.
Source: Cnbcnews, Indianews.today