The Trump administration initiates a new investigation into China's abuse of American intellectual property.

Olivia London

2017-08-31 09:36:00 Thu ET

The Trump administration has initiated a new investigation into China's abuse of American intellectual property under Section 301 of the Trade Act of 1974. This strategic move boils down to the fact that the U.S. has just fired the first shot in an open trade war with China. While tax cuts trump trade, this Section 301 investigation can be the first tangible economic sanction against China.

However, Chinese retaliation may manifest in the generic form of large-scale U.S. Treasury bond sales, much less usage and consumption of U.S. soybeans, oats, semiconductors, mobile electronic devices, and other key imports, or both. These economic repercussions reverberate up and down the corporate value chain to induce an adverse impact on U.S. manufacturers, upstream suppliers, and downstream distributors nationwide.

Despite this clear and present trade war with China, the Trump stock market rally continues to benefit the typical institutional or retail stock investor under Section 301 legal protection of U.S. intellectual property. The main beneficiaries are the R&D-intensive firms with numerous patents such as pharmaceutical companies such as Pfizer, Merck, and Johnson & Johnson, tech-savvy platform orchestrators such as Apple, Google, Microsoft, Facebook, and IBM, as well as ecommerce giants such as Amazon and Alibaba.

A potential threat may be the new opportunity. Every cloud has a silver lining!!

 


If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.

Blog+More

The financial crisis of 2008-2009 affects many millennials as they bear the primary costs of college tuition, residential demand, health care, and childcare.

Peter Prince

2019-06-23 08:30:00 Sunday ET

The financial crisis of 2008-2009 affects many millennials as they bear the primary costs of college tuition, residential demand, health care, and childcare.

The financial crisis of 2008-2009 affects many millennials as they bear the primary costs of college tuition, residential demand, health care, and childcare

+See More

Stock Synopsis: With a new Python program, we use, adapt, apply, and leverage each of the mainstream Gemini Gen AI models to conduct this comprehensive fundamental analysis of Apple (U.S. stock symbol: $AAPL).

Laura Hermes

2025-09-13 12:23:00 Saturday ET

Stock Synopsis: With a new Python program, we use, adapt, apply, and leverage each of the mainstream Gemini Gen AI models to conduct this comprehensive fundamental analysis of Apple (U.S. stock symbol: $AAPL).

Stock Synopsis: With a new Python program, we use, adapt, apply, and leverage each of the mainstream Gemini Gen AI models to conduct this comprehensive fund

+See More

Louis Kaplow strives to find a delicate balance between efficiency gains and redistributive taxes in the social welfare function.

Chanel Holden

2023-07-07 10:29:00 Friday ET

Louis Kaplow strives to find a delicate balance between efficiency gains and redistributive taxes in the social welfare function.

Louis Kaplow strives to find a delicate balance between efficiency gains and redistributive taxes in the social welfare function. Louis Kaplow (2010)

+See More

Bill Gates and Warren Buffett shared their best business decisions in a 1998 panel discussion.

Laura Hermes

2017-11-13 07:42:00 Monday ET

Bill Gates and Warren Buffett shared their best business decisions in a 1998 panel discussion.

Top 2 wealthiest men Bill Gates and Warren Buffett shared their best business decisions in a 1998 panel discussion with students at the University of Washin

+See More

Net stock issuance theory and practice

Becky Berkman

2022-05-25 09:31:00 Wednesday ET

Net stock issuance theory and practice

Net stock issuance theory and practice Net equity issuance can be in the form of initial public offering (IPO) or seasoned equity offering (SEO). This l

+See More

Former basketball star Shaq O'Neal learns a major money lesson from Amazon Founder Jeff Bezos.

Laura Hermes

2019-08-06 07:28:00 Tuesday ET

Former basketball star Shaq O'Neal learns a major money lesson from Amazon Founder Jeff Bezos.

Former basketball star Shaq O'Neal has almost quadrupled his net worth once he learns and applies an ingenious investment strategy from Amazon Founder J

+See More