Alibaba founder Jack Ma told CNNMoney in an interview that it is going to be a “disaster” if America and China do not work with each other. Ma said that a positive and healthy relationship between the world’s two top economies could solve a lot of problems.
Trump’s a smart person, he will adjust: Ma
Ma is optimistic that U.S. President-elect Donald Trump will not carry out the campaign trail threats that he made against China. Trump had said during the campaign that on day one of his presidency, he would name China a currency manipulator. Trump vowed on the campaign trail to upend global trade. He said that China is killing the U.S. on trade policy and vowed to slap punitive tariffs on Chinese goods imported to the U.S., says CNN.
Ma said, “I don’t fear [a Trump presidency], I think a healthy and positive China-U.S. relationship is so critical.”
There is a certain gap between the reality of the job of the US president and campaign rhetoric, said Ma. He added that Trump would not be the first candidate to make threats and not carry them out during his presidency.
“Every time they talk about it. But I think when they become president, when he has that burden … the world is not as simple as he thought,” Ma explained.
Alibaba founder said Trump is a “smart person” person and that he will “adjust.” He added that the U.S. president-elect will never neglect the relationship between America and China.
Ma, who was a regular visitor to the White House during the presidency of Barack Obama, said he is looking forward to meeting Trump.
Alibaba to bear the greatest impact of the election
According to Darrell West, vice president of the Brookings Institution, Trump’s ideas, if implemented, could ruin outcomes, from causing higher costs of living to global trade wars and, in the worst-case scenario, even “spell the end of globalization.” West said Trump was very critical of Chinese trade agreements and has threatened to destroy them.
“If he did that, the consequences for Chinese companies would be enormous,” said West.
Wedbush Securities analyst Gil Luria said the election possibly will impact Alibaba more than any Chinese internet business, given the direct and indirect risks. Luria added that it would impact the likelihood and willingness of U.S. retailers and brands to take an active part on Tmall if there are disruptions in trade.