Donald Trump has achieved a great victory in the US elections. On January 20 he will be sworn in for the presidential elections. After becoming president, it is believed that there will be many changes, especially in the economic policies of the United States. Especially with regard to economic relations with China, the same atmosphere can once again be felt as during his previous presidential term. South Asian countries can be seen benefiting from this.
According to a report by international rating agency Moody’s, ASEAN countries, including India, stand to benefit greatly after Donald Trump takes office. Let us also tell you what lies Moody’s has invented, thanks to which China will be seen pining for every penny and the economic scenario of ASEAN i.e. 11 countries including India will be completely changed.
Trump administration will make major changes
Rating agency Moody’s said on Friday that after Donald Trump becomes US president, trade and investment flows from China could disappear, but India and ASEAN countries could benefit from this change. Moody’s Ratings said in a commentary that after Trump is elected the next president on Nov. 5, changes to current U.S. policies are expected.
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The Trump administration is expected to have huge fiscal deficits, protectionist trade measures, a stalemate on climate measures, a tough stance on immigration and relaxed regulations. According to Moody’s, Trump could pursue more aggressive immigration policies if he becomes president for a second time. However, this rigor can lead to a shortage of workers in sectors such as agriculture, retail, hospitality, construction and healthcare.
India and ASEAN countries will benefit in this way
Regarding Trump’s foreign policy, Moody’s said trade and investment flows in the Asia-Pacific region could shift away from China as the United States adjusts investment in strategic sectors. The rating agency stated that India and ASEAN countries can benefit from this change in US policy. The continued polarization between the United States and China also threatens to increase geopolitical divisions in the region, which could disrupt the global supply of semiconductors. Experts also believe that the type of trade war seen between the United States and China may be seen again.
What is ASEAN?
The full form of ASEAN is Association of Southeast Asian Nations. 10 countries are included in this organization. Which includes Brunei Darussalam, Cambodia, Indonesia, Lao People’s Democratic Republic, Malaysia, Myanmar, Philippines, Singapore, Thailand and Vietnam. ASEAN was founded on August 8, 1967 in Bangkok, Thailand, by Indonesia, Malaysia, the Philippines, Singapore and Thailand. Cambodia was the most recent member to join, in 1999.
What is special is that ASEAN is the third largest regional economy in Asia and the fifth largest economy in the world. If we add India to this, the size of its economy becomes even larger. Today, India is the fifth largest economy in the world. It is estimated that India can become the third largest economy in the world in the next two years.
