Today's Word Is Leverage

Today's word is leverage. Professor Wobble: China sends Europe six containers for every one it takes back. Bitsy: was it always six? No; after 2001, when China joined the WTO, Europe sold China machines and fine cars. Pip: so where's the leverage? A market of five hundred million big spenders, one former ambassador says. Mort: and Beijing can't afford two open fronts at once, he says. Brought to you by the word leverage.

Europe's trade with China was not always six containers to one: after China joined the World Trade Organization in 2001 the relationship was complementary, with Europe selling China industrial machinery, luxury goods and high-end cars, until Chinese solar, aluminium and steel battered European producers; a decade ago, the European chamber's president says, China made the pie bigger for everyone, and a former Spanish ambassador says Europe's remaining leverage is its market of 500 million high-spending consumers, since Beijing cannot afford two open fronts at once.

Starring

PipProfessor WobbleBitsyMort