Am Law Quotes Stephen Kho on Impact for Lawyers of Possible U.S.-China Trade War

March 29, 2018

Reading Time : 1 min

Contact:

Jacinta O'Shea-Ramdeholl

Director of Communications

Sarah Richmond

Senior Communications Manager

Akin Gump international trade partner Stephen Kho was quoted by The American Lawyer in the article “Lawyers Wary as US-China Trade Tension Escalates,” following the Trump administration’s announcement last week of new tariffs on Chinese imports. The White House said it was taking action in retaliation for China’s use of pressure and intimidation to obtain American technology and trade secrets.

The move has left clients and lawyers alike concerned about the prospects of a potential trade war between Washington and Beijing, the article notes. “It’s certainly not business as usual; that’s for sure,” said Kho. “Every day is different…There’s usually not a lot of clarity with what this administration is doing.”

According to the article, transactions between the United States and China took a hit in 2017, as both countries stepped up regulatory scrutiny on cross-border deals. “Things have slowed down; they may continue to be slow until there’s some certainty and some clarity,” Kho said. “It’s not clear when that will be.” He added that “prolonged, intentional trade friction is not helpful for any side.”

Kho also said he has sensed heightened wariness of cross-border deals between the two countries among American clients. “It’s in the back of everyone’s mind,” he said. “‘Should they be doing a deal with China? Should they buy from China? Should they even be visiting China?’ I’ve heard those questions as well.”

Kho added that he has seen an increase in the volume of client inquiries in recent weeks. “We are getting a lot of calls, trying to get us to read the crystal ball of what’s going to happen next: what are the products that will be hit; how will the tariffs work; what investments will be hit; how will that work; are there exemption processes?”

In the end, Kho hopes “cooler heads will prevail” since actions taken on both sides “could really impact trade between the two countries and the global economy, with unintended consequences.”

Share This Insight

People Mentioned in This News

Related Services, Sectors, and Regions

© 2024 Akin Gump Strauss Hauer & Feld LLP. All rights reserved. Attorney advertising. This document is distributed for informational use only; it does not constitute legal advice and should not be used as such. Prior results do not guarantee a similar outcome. Akin is the practicing name of Akin Gump LLP, a New York limited liability partnership authorized and regulated by the Solicitors Regulation Authority under number 267321. A list of the partners is available for inspection at Eighth Floor, Ten Bishops Square, London E1 6EG. For more information about Akin Gump LLP, Akin Gump Strauss Hauer & Feld LLP and other associated entities under which the Akin Gump network operates worldwide, please see our Legal Notices page.