Source: CGTN   Published: 2017-12-5

Liu Zhiqin, a senior fellow of the Chongyang Institute for Financial studies at Renmin University of China (RDCY), was interviewed by CGTN on impacts of the US`s tax reform.

Liu said that tax reform is not a panacea to deal with all diseases we have met in economic problems, especially in China, the second largest economy. 

This tax reform in America should have direct and indirect impacts on China`s trade and industry. But the size and scale of the impact are limited because China has many tools in their financial section that to deal with such reform. In China, we have already taken some positive measures to build up our firewall against the inflation and also their negative influence imported from outside, especially from America, Liu said.

The both sides have to coordinate with each other. Within G20 mechanism, we have already set up the tax reform coordination mechanism, so all these problems will be further discussed and coordinated among their G20 meetings next year that will be held in Argentina, he added.