"There's downward pressure on the Chinese economy. A lot of it is self-inflicted due to the so-called deleveraging campaign and the tariffs imposed by the U.S. are re-enforcing that downside but by no means the major source of downward pressure," Stephen Roach, a senior fellow at Yale University, told CNBC's Sri Jegarajah on Friday.
The U.S. and China — the two largest economies in the world — are engaged in a tariff fight that began last year. The Trump administration imposed additional tariffs on $250 billion in Chinese imports, while Beijing slapped duties on $110 billion of American goods. Both sides are negotiating a deal to address their differences on issues such a trade imbalance and the alleged forced technology transfers from American firms to their Chinese partners.
Trump last month said "the tariffs are hurting China very badly." His comment came at a time when Chinese economic growth is slowing down: Beijing said gross domestic product expansion is expected to expand by 6 percent to 6.5 percent this year, down from last year's official 6.6 percent figure.