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US-China tussle fragmenting trade, IMF finds
Business Standard
|April 10, 2024
The global economy is showing signs of dividing between US- and China-centered blocs, though the dynamics differ from the Cold War with less overall fragmentation and a greater role for non-aligned economies, an International Monetary Fund study found.
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Trade flows between a USaligned group and another linked more closely to China have declined by about 12 percent more than trade between countries within the same bloc since Russia's full-scale invasion of Ukraine, according to a new working paper by IMF economists including First Deputy Managing Director Gita Gopinath.
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