The United States' large and sustained trade deficit with Asia raises concerns in the United States about its competitiveness in the region. The purpose of this paper is to examine the patterns of U.S. trade relationships with China and India, and the factors that are influencing their...

The United States large and sustained trade deficit with Asia raises concerns in the United States about its competitiveness in the region. The purpose of this paper is to examine the patterns of U.S. trade relationships with China and India, and the factors that are influencing their evolution....

India represents a sharp contrast to China in the small size of its goods trade. Although India’s GDP is a third that of China, its global trade is only about 12 percent as large while its trade with United States is less than 10 percent as large. Even more striking, Japan’s trade...