In particular, it is an opportunity for the U.S. to take a more balanced view regarding its trade deficit with China. Both reports agree on certain factors that caused the high trade surplus for China (and big trade deficit for the U.S.) under U.S. trade reporting rules. One factor the Chinese report cites is what it calls economic globalization, which has resulted in "the transfer of manufacturing from other countries." Standard trade data would put China's trade surplus in iPhone trade with the United States US$1.9 billion, but that level would fall to US$73.5 million if that trade was measured according to the value-added that occurred in each country." The U.S. has complained over the years about its trade deficit with China, which in 2016 stood at US$347 billion, according to U.S. trade data.

Source: The China Post May 30, 2017 09:22 UTC