The Sino-US trade frictions have led to a loss of cumulatively 245,000 jobs to the American employment market so far, according to a study of Oxford Economics. However, if both parties would cancel their imposition of additional tariffs gradually and promote the development of bilateral trade, 145,000 new jobs would be created for the American market as of 2025.

The study was initiated by the Oxford Economics entrusted by the USCBC, as reported by Reuters. The US-China Business Council is a non-governmental and non-profit organization, whose members are American companies that have businesses in China, including many famous international tycoons such as Coca-Cola, and other small American enterprises.

The study, which will be released several days before Biden, the U.S. president, takes office, analyzes the current trade policies of the country. Biden said that he had no plan to change Trump’s tariff policies immediately.

The study estimates that the U.S. export to China provides 1.2 million jobs to the American market, including 197,000 Americans employed by trans-national Chinese companies. In 2019, American companies invested a total of USD 105 billion in China.

Data indicate that if Sino-US trade frictions keep going, the U.S. would lose 732,000 jobs by 2022, and 320,000 more by 2025.

Damages that trade frictions bring to American economics are more than the loss of jobs.

It was predicted that a dramatic decoupling of trade between the world’s two largest economies would lead to GDP decrease of USD 1.6 trillion to the U.S. within five years.

The study report showed that China would play an important role in promoting global economics. In the upcoming 10 years, China would pull global economic growth by 1/3. Therefore, the importance of Chinese market access will increase day by day for the U.S.