Raja_Assignment 10.1 Conflict Intervention Case Study

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Conflict Intervention Case Study- US China Trade Dispute Hamza Ashfaq Raja Sullivan University MGT21 - Managing Organizational Conflicts February 16 2024

A public dispute from the news that has been ongoing is the trade dispute between the United States and China. The parties in this dispute are the governments of the United States and China, and their respective industries and citizens. The United States and China have been engaged in a trade dispute for several years, with tensions escalating in recent months. The two countries are the world's largest economies, and their trade relationship is complex and intertwined. At the heart of the dispute are several issues, including concerns about China's trade practices, intellectual property theft, and the country's growing economic and military power. The United States has accused China of unfair trade practices, including subsidizing its industries and dumping goods on the international market at below-market prices. The parties involved in this dispute are the United States and China, as well as the various industries and stakeholders affected by the dispute. The interests of these parties are diverse and include concerns about trade imbalances, access to markets, and the protection of intellectual property. The interests of the United States in this dispute include protecting its domestic industries and ensuring fair competition in global trade. The interests of China include maintaining access to the US market and protecting its domestic industries. The BATNAs (best alternative to a negotiated agreement) for the United States in this dispute are to continue with the current tariffs on Chinese imports, to negotiate a new trade agreement with China, or to seek alternative trade partners. The BATNAs for China is to continue to engage in negotiations with the United States, to impose retaliatory tariffs on US imports, or to seek alternative trade partners.

This dispute falls on the spiral of unmanaged conflict because it has escalated over time, with both parties imposing increasingly severe tariffs on each other's imports. In terms of the spiral of unmanaged conflict, it is difficult to say exactly where the US-China trade dispute falls. The dispute has been ongoing for several years and has escalated in recent months, with both sides engaging in tit-for-tat measures. However, the dispute has not yet reached the point of open conflict or violence, so it is still in the lower stages of the spiral. The United States has several options for addressing the dispute, including imposing tariffs and other trade barriers, negotiating a new trade agreement, or taking the issue to the World Trade Organization (WTO) for resolution. The country's best alternative to a negotiated agreement (BATNA) would likely be to continue imposing tariffs and other trade measures to pressure China to change its trade practices. China, on the other hand, has several options for responding to the dispute. The country could seek to negotiate a new trade agreement with the United States, or it could continue to engage in retaliatory measures, such as imposing tariffs on US goods. China's BATNA would likely be to continue to pursue its own economic and strategic interests, regardless of the actions of the United States. One potential intervention in this situation could be multi-party negotiations, involving representatives from both governments as well as representatives from relevant industries and other stakeholders. This type of intervention could help to address the underlying causes of the dispute, such as concerns over unfair trade practices and the protection of domestic industries. Multi-party negotiations have the potential to resolve the dispute by facilitating a mutually beneficial agreement that takes into account the interests of all parties. This type of intervention could also prevent similar future disputes by establishing a framework for fair and equitable trade between the United States and China.

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This intervention was chosen over other possible interventions because it is likely to be more effective in addressing the underlying causes of the dispute and achieving a sustainable resolution. Other interventions, such as mediation or arbitration, may not adequately address the complex issues at stake in this dispute and may not be supported by all parties. Furthermore, multi-party negotiations have the potential to build trust and understanding between the parties, which could facilitate future collaboration and prevent the escalation of future disputes. This is supported by the literature on multi-party negotiations, which suggests that this type of intervention can be effective in resolving complex and multi-dimensional disputes. In terms of the underlying causes of the dispute, it is clear that there are several factors at play. As mentioned above, concerns about China's trade practices and intellectual property theft are at the forefront of the dispute. Additionally, there are broader concerns about China's growing economic and military power, which has led to fears of a potential confrontation between the two countries. Overall, multi-party negotiations have the potential to be an effective intervention in the US-China trade dispute. By providing a voluntary, confidential, and flexible forum for negotiation, multi-party negotiations can help the parties to identify their respective interests and concerns and facilitate negotiations towards a new trade agreement that addresses those concerns.

Table 1 BATNA US USA Description Benefits Drawbacks Optio n 1 Protect Domestic Industries Thriving Domestic Industries Retaliation from global markets seeking access to US markets Optio n 2 Ensure fair competition in global trade Maintain credibility as the global superpower Retaliation from China Optio n 3 New Trade Agreement with China Conflict De Escalation with China Going Back on “America First’ policy Table 2 BATNA China China Description Benefits Drawbacks Optio n 1 Maintain Access to US Markets Access to the thriving US markets Reliance of export to China. Unstable with the political situation Optio n 2 Protecting its domestic industries Thriving local industries Retaliation from other global players seeking access to Chinese markets Optio n 3 Negotiate with US De Escalation of Conflict Unable to position itself as a global leader References:

WTO | Disputes - Dispute Settlement CBT - Dispute Settlement without recourse to Panels and the Appellate Body - Mutually agreed solutions - Page 2 . (n.d.). https://www.wto.org/english/tratop_e/dispu_e/disp_settlement_cbt_e/c8s1p2_e.htm Ren, H. (2019, April 18). Treaties on the International Trade Dispute Settlement and the China “Belt and Road” Initiative . https://www.scirp.org/journal/paperinformation.aspx? paperid=92851 Wang, Z., & Zeng, J. (2020). From Economic Cooperation to Strategic Competition: Understanding the US-China Trade Disputes through the Transformed Relations. Journal of Chinese Political Science, 25(1), 49–69. Song, J. (2021). Appraising with Metaphors: A Case Study of the Strategic Ritual for Invoking Journalistic Emotions in News Reporting of the China–US Trade Disputes. Critical Arts: A South-North Journal of Cultural & Media Studies, 35(5/6), 179–195. https://doi- org.suscorp.idm.oclc.org/10.1080/02560046.2021.2004182

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