Dollar Tree. probably has a store with parking near you.
It's simply amazing.
If you want to experience cutthroat pricing first hand, everything is a buck.
I suppose there are magazine and newspaper articles that tell
their story.
I perceive they are a major player and not all ítems are imports, though seemingly most are.
They don't go over a dollar, though there are now five dollar stores too.
Just visit to observe China's remarkable influence against inflación.
I am not exaggerating.
Ok, so let's say that on this Trump might be right. Why should we share our secrets with them, but not vice versa. However there is one large hole in this plan. China actually has a culture of education and high test scores. Even if we win this trade war, we will not be better off unless we actually invest in a highly educated public.
3
This will be fun when prices on almost all goods double.
1
As with most things Trump, I agree with two or three policies out of every ten. I also doubt his ability to properly and professionally execute the few ideas I do agree with. For instance, I don't hear any ideas on how to mitigate any collateral damage from this long overdue clamp down on China. Trump has already eroded a good deal of our financial flexibility with a tax cut that was ridiculously generous to rich individuals. Just because he is doing some things that have bipartisan support also does not let him off the hook for his behavior in the office. Trump remains likely to be judged for generations to come as the worst president in modern history.
3
Let me try to get my mind wrapped around this. I am not trained in foreign affairs or economic sanctions. And yes, China should curtail their actions on the intellectual theft of our products. This is hardly a time for new tariffs. Our president can't even get straight our balance of trade with Canada a long time ally. And didn't I read that he had accepted a sit down with Kim Jung Un of North Korea? So I checked the maps and saw that the big neighbor of North Korea is China with it president for life Xi Jinping. Didn't I hear some with more diplomatic experience than me say that we might need China to exert its influence on North Korea? I guess in my humble noninformed opinion this might not be the best time to announce new sanctions against China. We should tally up all the products that are produced in China for tech giants in Silicon Valley that we use every day. I think I have just fallen down the rabbit hole and Alice is nowhere in sight.
2
According to Adam Smith the USA should have devalued the dollar long ago by 30-40%. Let's make 2 Yuan to the dollar; 70 Yen to the dollar; and 2 dollars per Euro. Now let's trade.
China has been so unfair to the United States that we now owe them $1,189,000,000,000.
Trump, the self-described genius, wants to "punish" a country that owns over a trillion dollars of our debt? What could go wrong?
It's a fact that the most prolific business skill Trump has is filing for bankruptcy. He's done it on six separate occasions and he just wants to make sure that The United States becomes the seventh.
1
The biggest problem with this is that it is punitive rather than productive. If China's trade practices are illegal, we should go to the WTO about it with the rest of the West behind us. The Chinese are already worried about protectionism and they need to stand up for their own claims for open markets. This "shoot first and ask questions later" approach will only hurt us in a case where we ought to succeed.
The subject of industrial espionage is even touchier, because it is always used to whip up support for wars of all kinds. We should be very clear about what the accusations are and why the response is in-kind. However, it is not true that the infractions--however bad they are--are the main reason for China's success. It is delusional to believe that China's success is just because they cheated, or even that ever job supposedly lost to China would really still be there today.
We need to treat China like a serious adversary and work out what is necessary to get what we want. China today has a big enough prosperous class to be a real market for us, and we should be able to get that. But no amount of bluster or trade wars will bring the world back to 1960.
1
The US had heavy trade barriers though WWII. That started to change in the 1950s but really got going after NAFTA and WTO/China. At no point in our history has “free trade” existed.
The US will win any trade war with anyone - it will hurt in the short run to be sure – including China. China’s raw material infrastructure is very weak. That’s why they’re pushing One Belt/Road initiative. It's about time they felt a little pain for their thievery (I've seen this up close) and currency manipulation. Same goes for the EU with their own protectionist tariffs.
Trade is the one issue I'm with Trump on and frankly, trade along with immigration, created the conditions that lead to Trump. It's time we go back to American style free trade, circa pre 1945.
3
While I support these tariffs and other measures to stop China's predatory trade practices, they are only part of the solution and are temporary.
I disagree with many Chinese policies, but one thing I agree with them 100% is a long term strategy that makes them more competitive in global trade.
Unlike most US companies, China doesn't think in quarterly or even yearly terms - they think decades ahead. They identify key technologies and areas of knowledge for the future and act on them. What do we do?
If you go to most US universities, you'll see large numbers of STEM students from Asia, mostly from China and India. We can't lead if many of our best students go back to their home countries and help them. Either make our country more hospitable for them to stay here, or grow native born interest in STEM fields. The Trump administration fails totally here.
Perhaps this is our generation's Sputnik moment - we realized back in the 1950's we were trailing the USSR in the space race. We focused on science and technology and created businesses and government agencies (NASA) that thought long term. We won that time.
This current administration doesn't leave anyone with a sense they get this part of the equation. Where is our "Made in USA 2025" plan?
1
The thing is, is Trump doing this because it's a good move, or because it makes him look "presidential", especially in light of Mueller closing in? There's even the thought that his moves could be benefitting his family re: Trump, Inc.
The point is, when you have someone as corrupt as Trump, someone with all sorts of conflicts of interests, one wonders what the motivations are for his actions.
I don't trust him for a New York Minute.
2
And So It Goes... Sweeping penalties for China. today of all days. All to distract the loyal base, from yesterday's' silence and weak response (from DT) to Russia's laying groundwork for a catastrophic cyber-attack.
Trump (anf the complicit Republicans) are able to repeatedly distract the loyal followers from inaction on sanctions that would truly impact Putin and the oligarchs. Yesterday's announced measures were pretty toothless.
And so it goes.... The president repeatedly calls out our allies Canada, Mexico, Great Britain, the European Union, as "National Security Threats, but attacks not only on free and fair election (fundamentals of our way of life), but also on nuclear, water & electrical power grids (fundamentals of our physical survival)? Well, not much to say.
So the president calls out China (despite sharing best chocolate cake ever with Ji), but Russia, posing a truly existential threat to each of us, gets a pass. Questions, anyone?
1
Why is it a surprise that China is a communist country with no respect for ownership of intellectual property or American companies that operate using the capitalist profit motive? Deng Xiaoping's purported openness to privatization and membership in the WTO was apparently just enough of a dangle to get our best companies to ditch America and run to $1.00 / day labor. Now that we're addicted to these cheap goods and cheap labor it seems pretty risky to provoke a trade war that will be nothing more than a test of wills to see who can keep from blinking first. Seems to me China's domestic market can more than make up for losing their American customers. Maybe all those inlation doom & gloomers will be proven right after all. I can just see it now: Whip Inflation in 2020....heaven help us.
1
Game on. Enjoy your inflation.
(That is, assuming this is a serious tariff, not that token tariff on steel and aluminium that excluded two of the top exporters to the country).
1
Trump probably doesn't realize that U.S. farmers export $13 billion of soybeans alone to China, plus tens of millions of other ag products. Cows may not be very intellectual, but they're an easy target for Chinese retaliation, especially as Braziil, Argentina, Russia and many other countries stand ready to jump in with ag products to replace American ones.
1
China's ally and neighbor North Korea is the distraction that China has dangled in front of successive American administrations to get their eyes off the ball: the ball, of course, being trade and manufacturing, the two forces by which China is developing into the world's main superpower. Trump is smart enough to see through this.
Lighthizer, Ross, Navarro et al will have to fine comb the supply chain of all imported goods.
But what about the service sector, and everything else in the current account?
I think u guys know what's going to happen next.
The Trump sledge hammer approach to intl trade should be interesting.
So, do these tariffs mean that Trump can still sell his "MAGA" hats and his absurdly long ties that say "Made in China", and Ivanka can continue to sell her "designer clothing and shoes", made in China by slave labor, without impacting the Trump bottom line?
Will Trump be impacted only if a wing falls off Air Force One on the way to Mar a Lago, and there's no steel to replace the wing?
The Democratic, and Republican party elites along with their Wall st. and big bank patrons sold the middle class down the river. Of course, voters are responsible also because they vote based on emotions vs intellect.
That said, I'm a liberal, but have always been a true believer of Kevin Phillips tome, 'Wealth and Democracy'.
I am very aware of the contradiction of supporting Trumps' moves regarding trade while detesting his militaristic, xenophobic, and ignorant views on everything else. He's one sick puppy.
A pox on the elites. What you sow, so shall you reap.
Unfortunately almost everything Donald Trump is suspect including the tariffs. Trump is clearly going against the grain with the tariffs. Given Trump’s dubious record make people wonder are the tariff’s fo Trump’s financial or political gain, or are the a distraction from the multiple investigations?
1
It's all about technological know-how.
If we lose our manufacturing, we'll also lose our ability to invent, because the practical aspects of manufacturing are important if you want to understand the limitations of technological solutions. Apple is not a role model. Apple's outsourcing strategy is a recipe for a technological and societal downfall.
We need to remove all trade quotas in general and all trade tariffs on things that are not technology. And then to encourage companies to invest in western countries by imposing an import tariff on technology, and technology only: hardware, software and technology service.
This tariff has to be high enough to encourage companies to invest, but not so high that it becomes impossible to import technology. So why not set it at 20 % if the technology is imported from a country which is a military ally and 40 % if it's from a neutral country? This way we'll encourage companies to invest in our own countries first, and if this is not possible, then we'll encourage them to invest in countries which are military allies.
This is important. How could we expect to win a potential, future war with China if everything except our peacetime weapons manufacturing is located in China. There won't be any peacetime non-weapon factories at home to retool into weapons manufacturing. Are you going to pit Facebook, Google, Twitter and Amazon against the Peoples Liberation Army?
Outsourcing in 1939 would have doomed The Allies.
The US is finally responding to the trade war that China started long ago. Stronger measures than tariffs are needed and a general shift in trade philosophy from "national treatment" to "reciprocity" is needed. Other countries need to apply similar pressure, particularly at the WTO.
1
Very interesting and conflicting viewpoints herein. They all point in different directions; therefore, I throw in my layman's towel and will wait for Dr. Krugman to sort it all out for me. I know what I don't know: macroeconomics.
2
Our trade relationships with China are extremely complicated, and global supply chains are even more complicated. The idea of making products solely and completely “in America” doesn’t make as much sense as it used to. While I agree that China has been engaging in unfair trade practices and their labor and environmental protections are in many cases awful, I don’t believe that Trump understands the nuances involved or that broad tariffs are the right approach for solving these problems. Moreover, the timing of Trump’s actions seem suspicious, and at the very least seem to be of questionable wisdom in light of the upcoming negotiations with China’s client state, North Korea.
3
And how did China come to dominate manufacturing and export so many products to the US?
It was the fine patriotic people of Wall Street pushing offshoring and cost cutting for greater ever greater quick profits.
The rot came from within, folks.
38
Not really. It was the innability of domestic producers to compete with importers who had a number of comparative advantages for parallel products, including labor costs- among other considerations. Many domestic companies initially offshored production to stay alive, NOT to increase profits. Granted, the scenario has changed somewhat, but you specifically cited wall street is to blame for the genesis of the trend and you're wrong. The trade policies which gave these advantaged producers access to our markets had much more to do with legislative philosophy than corporatism.
2
Visit Boeing Corporation's web site and download their Airplane Financial Outlook. What you will see is a very large portion of Boeing's sales are destined for Peoples Republic of China. China does lots of things to infuriate the United States from a trade perspective, but don't forget that much of their progress occurred during Bush-Cheney Administration, and how US Corporations, especially GE, mandated US suppliers develop "Chinese Manufacturing Strategy".
But rather than turning back the hands of a clock - which can never be done - maybe Trump's economic "wizards" can negotiate a better playing field today. And if these thuggish people think they can bully PRC, take a look at the USA's most profitable export asset: Commercial jetliners from Boeing.
4
For way too long Washington has taken council from “China experts” like Scott Kennedy who warn "You want to teach them (trade bullies) a lesson, but it’s not as simple as going up in the playground and punching them on the nose.”
Obviously Mr. Kennedy has never confronted a bully. I suspect a $356 billion haymaker would be quite effective in balancing our trade with China as well as motivating them to neuter their lap dog provocateur in North Korea
2
My guess? We will end up the ones punished.
5
what is this going to do to the cost of MAGA Hats now?
23
Why doesn't Trump start with the Trump organization ? Jimmy Kimmel did a bit the other night where he bought 10 items from the Trump organization web site. All the items were made in China, except for one that was made in Peru and two that were not marked with a country of origin.
13
Months ago I mentioned here that I've thought for a long time that Russia, China and North Korea may well be pulling a classic triangulation move.
Nothing that has transpired since has changed my mind. With each passing day, my sense of dread grows. We are being played. The buffoon in the White House does not have the foggiest idea of what he's doing. He's trailing so much string Putin and Kim and Xi Jinping don't know which thread to pull first.
Some real adults or anyone with a functioning brain had better enter the room fast. Those who don't manage get managed and we're being maneuvered straight into a war. These fools like to bray about their trade wars but that lingo has a history of oozing into real ones with alarming spreed.
Among the Russian poisoning (133 are now affected in some way) the revelation of the ability to hack the grid, the incessant saber rattling with NK, and our misguided threats to former allies over steel and these tariffs, we are now actively courting trouble.
We're in danger. It would nice if Congress could even pretend to take an interest and do something.
13
China has finally come around to playing a major positive role in reigning in North Korea's juvenile, but very dangerous military policies. Is this the correct time to begin a deep economic argument with them? Timing is as much a strategic lever as power.
1
Yes it is important to hold China accountable for this. However, it is even more timely to make sure, that Russia who was hacking our election, hacking into our power, electric, and water, which is more than a serious crime, as this is our infrastructure, we are talking about, be penalized to the extent, that they don't do it again.
3
I am so pleased to learn that Trump is planning to punish China for their stealing high tech knowledge and intellectual properties from the U.S. I hope Chinese people could live a better life but not based on stealing things from other people. Enough is enough. I wish China would learn a lesson from Trump that American people never stealing things from any foreign countries. I am wondering why we still have diplomatic relations with China and Russia. Perhaps we should restrict the number of Chinese students coming to the U.S. in the future since many of them may be spies for China. Once they completed their degree program they should return to China immediately.
2
Fortunately, Americans do not buy any products from China, so there is no way for them to retaliate against us as a result of Trump's new restriction on them.
10
Is it just me, or does President Trump seem to have no idea what he's doing?
9
All of the ill conceived decisions that trump blurts out will have a negative long-term global consequences.
How will any international leader ever trust the United States' word ever again?
Ever!
2
If you thought of China as a person it would be quite reasonable to say that, on the surface, China and Trump are mirror images of each other. But, look a little deeper. Trump talks the talk. China walks the walk. Wanna put money down on which bully commands the school yard?
4
Everyone on this board enjoys the convenience of technology. Bad news for us if China decides to hold back their rare earth metals. Molycorp Mountain Pass rare earth facility in California's Mojave Desert is the only US company that produces the rare earth metals used in devices ranging from wind turbines and electric vehicles to missile-guidance systems and compact fluorescent lightbulbs. There are seventeen rare earth elements, including praseodymium (used to make photographic filters), neodymium (used to make permanent magnets in hard drives and other electronics), and europium (used to make fluorescent light bulbs and TV screens). See "A Visit to the Only American Mine for Rare Earth Metals" - The Atlantic, 2/21/12
I couldn't help but think about how the US used to restrict trade with China, until President Nixon, that is. I found an article online from the WashPo, dated June 11, 1971, entitled "U.S. Ends Ban on China Trade; Items Are Listed Curbs Lifted on Shipping to Red Bloc" [Carroll Kilpatrick, WashPo Staff Writer). It's an interesting article to start with. Somehow, in the interests of stock holders ahead of the average American taxpayer, we've allowed corporate interests to dictate our lives.
4
I believe the goal was to extoll the virtue of capitalism over communism. Apparently it worked just a bit too well.
3
This is about the only thing I agree with Trump on.
Obama and the rest did play poodle, hiding behind free market ideology when, the joke of it all, is that China does not do free trade!
6
When will all the Trump voters realize that they will actually pay for that at their Walmart?
7
Yes you will probably spend a little more on Made On The U.S.A but you will get a much better quality product and money stays in this country. Most Chinese products are disposable garbage anyhow and sometimes you end up buying twice, although some Chinese products have gotten better overtime and that is no bueno.
1
I bet there is an exemption for hats and textiles that say "Make America Great Again" and anything for Ivanka's or trump's business! Treasonous trump cons again.
2
Harbor Freight, I knew and loved thee well. A decade ago, when I found you had a branch in a nearby town, and drove there and walked thru the doors and that odor --a mixture of compressor oil and Chinese plastic-- hit my nose, and I ogled your prices, well, I knew you were the one. Where else was a guy like me supposed to buy a wire rope hoist that can lift 2000 lbs and cost south of $300? --or a shop crane that cost less than the steel to make it, if you bought the steel in the US? And remember all of the C-clamps I bought? Oh, such good times! What followed was a torrid and wanton affair for over a decade, but I knew this kind of love could only last so long. Fare thee well my love.
Gentleman, make your final purchases soon.
6
As with so much in the world, every such action has consequences.
China may be influential with achieving detente with North Korea.
Is a trade imbalance versus the risk of nuclear war really the top priority at this juncture? Can this administration handle the multiple strands of the U.S.-China relationship so that one doesn't preclude another?
I get the feeling this notion hasn't come up in the White House.
1
What does Apple say about this? I'll bet Trump doesn't use Apple, probably Samsung (Korean). I don't have a smart phone and probably won't ever unless I am forced to buy one through obsolescence.
1
I drive through Iowa periodically on business. I stop in the Amish village to buy freshly made cheese. Nice.
But if you stop in the "Amish" gift shop, it is chock full of "Amish" souvenir trinkets 100% of which are made in China. Whatever happened to real Amish items?
Until Americans stop buying cheap foreign knock-off products this will go on with no end in sight. The government can't stop it. Only citizens can.
5
Pay twice as much? That will make America Great again for sure.
1
Is this to bail out Kushner by finding him a Chinese investor?
Much like helping him sell a Brooklyn property thanks to threatening Japan with a trade war.
Sure, Trump is generating leverage through tariffs. Question remains: to benefit whom?
Did Icahn make money as well?
3
The long-overdue restoration of American integrity and backbone in world trade takes another step on the road to recovery from the policies of several recent administrations who cowered rather than fight. Add this to the unhinging of healthcare from IRS control, wage and salary bonuses and tax cuts for the multitudes, courage at the UN and an unyielding reduction in the bloated federal bureaucracy (read: swamp-Drano). In just 14 months, President Trump's vision stands a great chance of truly making our country great again. Only with 82 more months of this medicine can a lasting cure be had.
2
China is like a pickpocket;
No matter how well we do block it,
They manage to swipe
Ideas that are ripe --
And that’s how they built their first rocket.
2
The Chinese government owns a staggering tranche of The United States debt. They are well positioned to retaliate. From what I am reading it does not appear that there is a well thought out endgame or any contingency planning at all.
7
I have become a believer in what seems straightforward probably isn't.
Are the proposed China tariffs getting ready for North Korea and leverage? If I looked at it from the Chinese perspective, it would make me want to encourage N Korea to continue to misbehave. Frankly, China is a major reason why N Korea has not done more, if not started a war. Not only would it be in China's backyard, but it would be VERY BAD for business.
So why punish China now? The problem with trade has been going on for a long time. The timing of the tariffs seems really off. Why not wait and see what develops with N Korea?
I think the real reason has to do with the intentional dismantling of US influence. Just like the State Department has lost career diplomats who knew (at least something) about what they were doing, that ship is down to a skeleton crew and rudderless helm. If I looked at it from the Russian perspective, in my best interest I would place tariffs on Chinese goods. Disrupt US-China relations. Makes a lot more sense.
2
American workers benefit from cheap t shirts, jeans and socks, but now they will pay a penalty while their own wages will not rise as fast. We need to raise minimum wage and tie it to an inflation metric.
1
Let’s remember that Ag imports to China will be affected. In addition to punishing China the US is also punishing the rest of the world. The EU released a list of products that will be tarrifed back. This includes rice. My end of the valley produces rice. We don’t have manufacturing or steel mills. The rice fields also provide feed for migratory birds. Our ineffective Republican house member is a rice grower. How will the GOP defend themselves in corn country when tariffs make American corn less desirable? The complications of tariffs are not in the brains of the GOP.
1
Any tariff Trump implements against China can be negated and countered by China unloading some its US debt holdings. Should China dump enough of it, it would greatly destabilize our markets, increase our borrowing costs, raise interest rates. Whatever Trump think he’d gain would be washed away many times over.
3
Good - it's about time.
Say what you will about his other policies, but this is long overdue.
3
I think the primary problem with trade is that the government competes with the private sector for U. S. dollars by selling debt in support of deficit spending.
Suppose you spend $100 on Chinese goods. Those dollars can come back to purchase U. S. goods or investments, or to buy Treasuries from our government. If each dollar we spending returns to buy American goods, there is NO trade deficit. If those dollars come back to invest in the U. S. private sector, we benefit. It those dollars are loaned to our government we end up with more debt as our government largely wastes it.
If returning U. S. dollars could only be spent on U. S. goods then we would have no trade deficit provided the rest of the world did not store pallets of U. S. dollars to gather dust.
1
actually those dollars go to Australia to buy iron and coal and the middle East to buy oil. linear thinking does not work in a global economy.
3
The U. S. Has borrowed a great deal from foreign countries. Those dollars could have been spent on U. S. Goods. This borrowing from foreign countries has increased the trade deficit. Am I missing something?
And Chine will respond by stopping Walmart exports from China. Your move stable genius.
2
I wonder how should we exactly define an "economic aggressor"...would a country that produces "parmesan" be considered a fair country? want to ask the EU?
About time- I work for a major high tech software company and we estimate that about 80% of the users of our software in China come from pirated versions- and they admit it!!! Even the Chinese Government agencies do it. I applaud the President for finally standing up to this egregious ripoff of technology. And a few other countries are also guilty, but not to the extent of China. Yes, Trump's mode is the sledgehammer approach, but nothing else has worked. Fact!!!
2
China isn’t our enemy. They are a partner in trade. Frederic Bastiat said it well 150 years ago: if goods don’t cross borders, soldiers will
1
Couldn't some forward thinking US companies just decide to eschew Chinese manufacturing and do it here instead? Seems to me that the beginning of this mess is the profit motive of those guys. Bring it home, US manufacturers and MAGA.
Yea, fat chance of that.
2
Yes, "we" used to complain about buying goods from a nation with China's human rights abuses - until there were almost no goods to buy that aren't made in China. Maybe Trump is good for something (I mean, if there is a jury to deliberate on this issue...).
1
Does anyone doubt that Trump never heard of the Smoot-Hawley Act?
‘You really have to be smart...’ should be easy for a stable genius.
I am educated by all of the comments, and the air of certainty on either side. So Trump either is about to deliver a staggering blow stand over a wounded China like Muhammad Ali in his prime, or, he about to run the US economy like a speeding car into a bridge abutment. We shall see?
5
People are not against tariff is there are reasons. Most people objected to Trump's steel and aluminum tariff because they came out of nowhere, applied to everyone and he couldn't be othered to make a cogent case as to why they were needed. He need to tell Americans and they works why we feel the tariff's are warranted. Facts Donald not middle of the night comments. Trump tells us he listens to all sides of the argument yet can be bothered to explain his decision making to the people who elected him.
2
I suppose we should take solace that our President says that a stable genius is in charge, but others who don't know that might be confused by appearances and think they have considerable cause for worry. I urge the President to repeat the stable genius claim as often and as loud as he can until it is more widely believed.
2
The problem is he's simultaneously picking fights with both allies and rivals. Standing alone, do we still swing that much weight in the world? And don't we risk pushing our abandoned allies into realignments? Everything he's done and everything he's doing seems calculated to weaken American influence.
7
After World War 2, the infrastructures and economies of all nations, escept those of America, were in shambles. Allowing those countries access to our markets while they protected their own was a form of foreign aid that allowed them to rebuild and industrialize their economies, while we provided their defense, saving them from the full burden of keeping the Russians at bay.
Anyone who has traveled China, Europe, and much of Asia can see that the need for this hidden form of foreign aid no longer exists. Indeed, in many cases, their industrialization exceeds ours in capability and efficiency.
However, our trade policies continued to be more appropriate for 1948, not 2018. End the implicit subsidies to foreign producers implicit in our present trade policies. Fair trade means all must be on an even footing.
7
We should expect to have a trading deficit with every Country with a smaller economy.
1
There will be retaliation by China as soon as duties are imposed by the USA. This will be inflationary at first, and it will result in slowing down GDP as people become very careful about spending unnecessarily. The stock market is currently being very cool about this developing situation, but I expect it to suddenly and meaningfully drop as soon as the details about our duties and China's retaliation become clear. China doesn't want t appear weak, and will therefore immediately announce their retaliation, and it is sure to sting.
This is a situation that should have been handled quietly and diplomatically, but Trump doesn't learn from history or take good advice. Expect a trade war where everyone loses.
8
Where will this lead I wonder? While our country is disintegrating, our infrastructure a disaster, China is building roads and bridges and train lines everywhere. They are building products of every kind and description. They are investing. We might not like it but China will soon be the leader in the world and the US will be a banana republic.
7
As an addenda I suggest everyone read the IMF book on China and Chinese competition:
http://www.imf.org/external/pubs/nft/2003/china/
"China-Competing in the Global Economy" Probably a very good information guide to how the Chinese work in the global market.
1
Trump has some great vision of making America a solitary, powerful entity.
Americans for Americans.
Made in America.
This is his way of empowering the " little people".
The Corporate trickle down effect will provide jobs.
The bigwigs will make money.
Everybody wins.
Unfortunately he has the vision of a horse with blinders on.
And the big news?
A stripper, her lawyer and our President.
4
I'll spend more to buy American...
5
Sounds like an acknowledgement of the price inflation that is caused by tariffs. Artificial increases in the imported goods price and higher profit ceiling for the domestic goods. The only winners are the federal government (collecting the tariffs) and domestic business owners...what’s in for the worker or you?
We're already eating China's cold leftovers.
Go anywhere abroad and witness the hoards of middle class Chinese tourists.
They seem to have the capitol to take foreign vacations, everywhere.
Nary an American is to be found anymore.
Move over America. We're done, toast.
Put us into the scrap heap of history's has beens.
2
The time for this was years ago, when the first U.S. manufacturer realized they could make TVs for half the price in China. But it's too late now.
Only someone who never has to shop at Walmart could fail to realize this is cutting off our nose to spite our face. Those who can might want to consder a small apartment in the French Concession, with a large air purifier.
2
As if beating China over the head . . .
This administration lacks the sophistication to change Chinese trade behavior.
Today's China isn't the China of the Boxer's Rebellion. Today's China has tasted what it means to be a player on the world stage, and is throwing its economic might around (see one belt/one road initiative).
Today's China owns trillions of dollars in US debt. Imagine if China uses this debt as a means to retaliate. http://money.cnn.com/2018/02/16/news/economy/china-us-debt-holdings/inde...
trump is not the right person to pick a fight with china. His lack of courage (accusing Sen. McCain of being less than a hero while Trump avoided military service because of heel spurs?) coupled with a bully mentality almost guarantees he will not do us proud, once china punches him in the face.
1
The only people he punishes are us. China will be number one before Trump leaves office.
1
A lot of Westerners living abroad all end up back in the US usually with the frame of mind that you should not do business with the Chinese.
There's a lot of cheating, subterfuge, theft, dishonesty, lack of transparency, little enforcement of law, bit like the Wild West and unregulated society like the US was back in the early 20th century. Except China isn't as interested in reform. Maybe a little like Michael Jordan gets his name back but who really enforces. A lot of "pian zi", it's why they buy American tech, they steal so much from themselves they cannot innovate, Chinese innovators have their own technologies stolen by other Chinese. You don't see Microsoft Office, software products coming from there to here do you?
People underestimate Americans, even Americans themselves. You're a strong country, capable of doing anything and a global superpower with abundant natural resources.
This "trade war" is a must to tell China the world is more safe and stable in a rule based order. The behavior and character of China's gov't is the same type provoking and stoking conflict in the South China Sea. Ignoring international law is only violating everything that has kept peace since the end of the Cold War. Them and the Russians.
2
I despise 45 and his entire administration. But is it possible, as he continues to blindly push every bottom and pull every lever in his policy fun-house wondering “what does this do?” that statistically something, anything, might actually work? Or does absolutely everything he touches, die?
4
Trump is dangerous because he does not think through the consequences of his actions. He imagines that punishing China will get them to behave exactly the way he wants; but has he thought through all the possibilities? What will China do to all the American companies that manufacture there, products like computers we buy? What will China do to American companies that want to export their products like cars etc etc to their gigantic market? Will China stop buying American treasuries on which we depend to keep on running budget deficits as far as the eye can see? Even more so if the GOP wants to go for yet another tax cut? If China stops financing our debt and interest rises, what then?
International trade is a china shop and Trump is an ignorant bull.
1
This isn't the way. We need to invest in our own capabilities and open our door to immigration. This trade war will accomplish zip.
China has used its technology transfer policies to help it move to an economy that produces sophisticated products. And guess what? It's worked. The nation has tremendous high-tech manufacturing capability; its AI technology may be neck-to-neck with our efforts, as our its quantum communications tech.
Trade restrictions are a primitive, blunt edge tool that will do nothing -- nothing -- to stop, slow china's technology advances.
So what do we need to do? The U.S. needs to foster science and technology investment and turn this once great nation into a haven for immigrants. We're doing the opposite and we will fail as a nation.
These restrictions strike me as a desperate act by reckless people.
Trump, by the way, still does not have a science advisor. He doesn't know what he is doing.
6
Trump, the paper tiger, better be careful when he kicks a sleeping tiger.
2
Tread carefully. The largest holder of U.S. Government debt instruments, at 1,849 trillion dollars, is the Peoples Republic of China. We were making progress of a number of fronts with them until the great impostors took office in January of 2017. China stops buying and/or sells at a loss all that paper and we are down the loo.
It takes intelligent, calm and patient people to address the outstanding issues. Do you put it past Trump not to tweet something like "open your eyes" to them? I don't. This, along with the new sea of red ink from "Tax Deform", may sink us.
4
In all this bashing of China and its ascendancy, where are the fingers pointing at Walmart, Costco and all the other big American retailers who went out to China 25 years ago, and elsewhere in the developing world, to source their products at the lowest possible price? China provided the cheaper products western retailers and presumably consumers wanted. And killed many N. American manufacturers in the process. Lamentable but ancient history now.
In the meantime China's society has matured and tens of millions have significant disposable income. Believe it or not foreign-made has cachet with Chinese consumers. Western marketers need to target those rising segments in China that want and can afford expensive western consumer goods. If you go to 'knock-off' markets in Chinese cities where counterfeit products are sold, they're packed with foreigners, not Chinese. Increasingly consumers want quality and can pay for it. Why are Germans doing so well there?
Don't fight yesterday's battles USA.
7
Guilty as charged. I was an importer of low end general merchandise for close to 40 years. Not only could we not find factories i the USA to make product, if we did the cost was much higher than the landed cost from Asia. The big mass retailers were demanding lower cost every year.
2
The nation will rally behind Trump in a trade war with China. It not not only make fair trade a new norm, but also avoids real war by eliminating the source that made China a bully. I would not mind to pay more for goods made in USA. It brings back unions and union wages, the backbone of middle class.
2
Why does this article imply that the administration is reacting to wrongdoing?
We know with certainty that the administration would take measures merely on the basis of a bilateral trade deficit.
We have also seen that efforts to substantiate wrongdoing -- for example, Sen. Rubio's recent opinion piece -- fail to do so.
At one point, the article refers to officials who "believe" China is cheating, but without noting that those officials usually say nonsense about cross-border commerce.
We know that acts that would constitute wrongdoing have been codified in agreements, along with procedures for dealing with them, but that the administration is acting unilaterally instead of following those agreements.
Pres. Trump's supporters have been adamant that what he says not be taken literally: i.e., that the words he says are not true. Why can't the Times apply that simple lesson here?
The retaliation China can do to the US is far more damaging to the US compared to any good for the US that can come out of these tariffs. The US has become highly dependent on the Chinese consumer buying our goods such as Apple iphones and Microsoft software and GM cars. Intel, GM and many others US corporations have manufacturing plants in China. The world economy is intertwined and china is the largest vine . If we isolate from China ( we are) we isolate form the world - the world really needs China much more than the US. Our glory days are in the rear view mirror and now we are heading for a stone wall. The naivety of instituting such damaging tariffs is scary at best
Its about time that the US government started reacting to the problem with China. The Chinese requirement that foreign companies can only operate in China through a 50% joint venture is nothing more than extortion designed to steal trade secrets. Access to the Chinese market is just not a good enough reason to sell your soul. No American company should be allowed to form a joint venture with the Chinese, and no Chinese company should be allowed start a wholly owned enterprise in the USA, Likewise, all Chinese imports should be taxed at the same rate as American exports are in China. The Chinese have done an excellent job of stealing technology from the industrialized world, and then using that technology as an economy weapon against the countries that gave them that technology in the first place. Its time for this to stop, and its also time for the US to get serious about supporting manufacturing industries.
3
This would be easier if the Trump administration hadn't decided to simultaneously pick an economic fight with the EU, Canada, Mexico, and various other economic partners. The TPP, for its flaws, would have been an important counter-weight against China.
4
And that was what the TPP was about. It may have been a trade agreement, but in reality it was also a strategy to check China's influence in the Pacific. The great problem with Western approaches to China is that they are Western. People assume that Chinese culture is the same as that of the west, they couldn't be more wrong. The Chinese will react to these tariffs, and it won't be pretty.
2
China is already taking steps to skirt this issue. They are building factories in Africa and buying foreign companies that will make it hard to find "Chinese" companies and Chinese goods in the future.
It is appropriate to go after China for their illegal appropriation of US technology and media. However, remember that many of those companies chose to do a joint venture knowing the risks because they thought they had more to gain than to lose. Culpability is not solely with the Chinese.
I would certainly feel more confident if we had a competent President that was given the power to take action, but we missed that opportunity while Republicans were trying to destroy Democratic Presidencies instead of acting like Americans.
If Trump was principled or intelligent, he would have led with this issue that would gain sympathy among many countries. Instead, he ruined all our international alliances and now he is poking a sleeping giant when our former allies are likely to say tough luck if we need help!
3
The last thing we need to do is start a trade war with China. They are not only in competition with the US in business matters, they are into the business of winning friends and influencing other countries to do business with them and not with us. Trump has already made us unpopular enough with most of the rest of the world, and in so doing made it easier for China to attain those goals. Do we really need to attract that extra soupcon of hate?
2
Trade from China and for that matter other Asian countries has boomed in my lifetime (about to turn 60) I personally have witnessed China, South Korea, Thailand and others move from the third world to the first. As a full disclosure I have and continue to earn my living from world trade.
I remember when I bought stuff in Asia on trips there but over the course of the last two decades or so the US has become the cheapest place to buy almost anything even if it is produced elsewhere. I lived in Australia for 5 years recently and my girlfriends daughter was always shocked how cheap clothing is here in the US. So my fellow Americans be careful what you wish for, yes we can produce TV's and clothes here in the states but be prepared to pay substantially more. It sounds great but if your wages do not rise to meet the rising cost of domestic goods be prepared for your standard of living to decline.
International trade is complicated and I have very little faith in our current president of being able to understand the complexity involved. He reminds me of voters who demand simple answers to complex questions. If prices on clothes or TV's rose 10-30 percent it won't hurt me all that bad but I realise your average American is shopping at Walmart because they cannot really a ford that extra 10-30 percent on their income.
16
Translation. Trump just decided to create an inflationary spiral by putting tariffs on Chinese imports. With no manufacturing of the various goods in the United States. Check around your house, and see how much stiff you have, even with "American" products, are actually made in China.
So, your TV, cookware, computer, smart phone, clothing, linens, various auto parts, various electronic parts, wall board (sheet rock), steel,aluminum, copper, solar panels, components for win turnbines, etc. are all made in China, or Asia (outsources by China).
So, most everything you buy, is just about to get more expensive. If the US, decides to manufacture these goods, and hire union labor, the cost of building factories, and staffing those factories, is going to add t o the costs.
If anyone remembers what happened, in the US, in the late 1970s, early, 1980s, with double digit interest rates, unemployment rates and inflation, Trump has just set a repeat in motion. On top of all thins, China, and elsewhere, will impose tariffs on the US, making US goods even more expensive which will add to what a campaigning Ronald Reagan once called the "misery index". After he put in tax cuts, 1987 had the worse stock market crash since 1929. Trump already did the tax cuts, we now can wait for the crash.
If there were ever a case to expel Trump, and his cronies, this is it. A lot of people are going to get hurt by Trump's reckless economic "policies"; if you can call them that.
7
It was a tax proposal that hurt the market on black Monday that Ways and Means has floated that ended tax protections on mergers and acquisitions. Since most mergers were hostile takeovers at the time, the proposed bill was about to kill of Tex breaks for huge corporations and it started a worldwide panic.
Most economists don’t agree that Reagan’s tax cuts both in 1981 and 1986 has played a big role.
I don't think we are going to "punish" anyone into behaving the way we would like them to behave. How did we get here on the IP issue? Poor US trade policy? Poor enforcement of IP law? US companies that were willing to trade the future in exchange for current sales? What is needed is sound policy with aligned US behavior and enforcement over the long term.
4
Our fundamental problem, though, is addiction of voters to consumption, cheap goods, and low taxes.
7
I don't know where you live but I don't have low taxes and I am not addicted to cheap goods. Neither are my friends and family.
1
That's wonderful for all of you. Yes, of course, all voters are not the same. I was referring to the county, its citizens, leaders, and institutions, as a cultural collective, and some of the habits and trends that seem to prevail but are not discussed as part of the problem.
We need a minimum wage that is a liveable wage so that full-time employees (including our military families) do not have to have food stamp assistance, for example. If we paid a living wage, say $15 an hour, people could afford to buy here in America. Habits and trends are not the problem here Betty.
1
Do you hear that? It is the US economy coming to a Screeching halt
5
As an Asian, this means I cannot venture into red states without caution because Trump supporters will take this as license to intimidate and torment all of us who are of Asian descent, Chinese or otherwise,
3
The price of Ivanka’s shoes and clothes are going up? Please tell me it’s not true! Thank goddess I got my maga hat while they were still affordable!
8
Let's be real about this. America has been outsourcing manufacturing for years. When I was a kid, it was Made in Japan, then Taiwan, then Korea. As those countries' GDP grew, the last remaining cheap labor was China. Once that door opened in the late 1980s and 90s, U.S. companies were banging it down to open factories. Americans have long known where their goods were coming from--and complained about the quality of Made in China products--yet enjoyed the lower price points. Walmart, the Made in China department store, is always packed in my small town.
So these tariffs aren't for China. They are because Americans cannot help themselves from buying the cheapest goods. People who complain, are not necessarily switching to American made which is more expensive, but usually better quality.
Trump needs to also put restrictions on Chinese buying American property. The Chinese (and Saudis) have been buying ranch lands in the West and sucking all the groundwater in order to grow alfalfa to send home for horses and livestock. They specifically target lands were the water restrictions are outdated so they can drill new wells. These countries are stealing our resources. And if water isn't one of most valuable natural resources, then I don't know what is.
19
As I have often said to folks interested in doing business in China - it's a great place to make a small fortune, so long as you begin with a large one.
There is no bit of intellectual property that is safe. Contracts mean nothing if they aren't slanted directly toward Chinese interests first.
The U.S., Europe, Canada, Australia and many other countries are awash in Chinese cash flooding into real estate and other purchases as fast as Chinese capitalists can get it out of China to hide it from their government.
Check out Vancouver, New York, San Francisco - the list goes on.
I have wondered how a country that specializes is stealing intellectual property and flooding the globe with every manner of product while making it almost impossible for other countries to sell into China has been allowed to get away with it.
Oh, wait - China buys U.S. Debt as an investment.
Never mind.
15
Someone needs to tell Trump about the debt. China can destroy the American dollar in less than a week if they wanted to.
1
This is the correct move - China is the obvious correct target for tariffs, our good allies such as Canada, not at all.
We have a tremendous trade deficit with China, it is so lopsided, we should not tolerate dumping, which only hurts US industries. Also, as a developed country, it is impossible to compete with a low-cost country such as China. The current trade deals do a service only to the fat cat CEOs and certainly do a disservice to US workers, who see their jobs increasingly being offshored to countries like China. Enough already. Also, we have tolerated pirating of US products and intellectual property for far too long, it is about time to actually do something about it. This makes complete sense.
3
Why does Trump insist on unworkable foreign policies, that will only weaken America? The gains in the stock market since Trump became President are about to be reversed, if Trump goes down the anti trade path. No more winning, buts lots of losing to go around in America and almost every other nation.
Come on Mueller, the world needs you to save it from Trump.
1
Tariffs don't work. History has shown time and again their futility. Take that off the table. What's needed is an attenuation of our relationship across the board, including the restriction or prohibition of Chinese investment and ownership in American concerns. Because of the volume of trade between the two nations, there will be costs to bear, some of them long-term until such time as the relationship evolves differently and not counter to our interests. We must be prepared, as a society, to manage that hardship.
We also have much to do to bring our own house in order. Most of what China has been able to accomplish at home is in part due to their appetite for debt, but also because they don't, as we do, spend huge sums on the military-industrial and healthcare-industrial complexes. If we are going to best position ourselves to rebuild a decrepit nation, it's imperative that we re-engineer the way in which we fund the government (the current tax plan is a catastrophe) and also re-engineer how we spend our wealth.
It will take a generation, or two, to do this. The Chinese knew full well this same reality 30-plus years ago as they shook off Maoism. They were patient and they persevered. We have little choice but to discipline ourselves and do the same.
2
Of course, the good will that Trump showers upon China can only help us all in his upcoming mission to charm North Korea out of its nukes.
2
China is winning because they have absolutely no compunction against stealing software, movies, patents, and other intellectual property. Because it's an invisible crime, the Times is naively playing it down. For decades the US has tisk-tisked China as China has raked over a trillion bucks out of the country. No country has ever been more deserving of tariffs than China. A better solution, though, would be to freeze all Chinese investments in the United States for a fixed period, and to single out Chinese investments in our central bank for devaluation by the amount of the theft. In any case, the US has played footsie with China for far too long. It's time to get their attention.
5
If my Chinese students are any indication, Chinese culture has trouble with ideas of IP. My students find plagiarism an almost impossible concept and I think there is a cultural aspect of this that may translate to Chinese IP acquisition.
I wonder if the idea of IP is a western cultural one?
1
Well there goes WalMart.
5
How many American companies moved their manufacturing jobs to China for bigger profits. They stabbed the American worker in the back, not China.
16
Capitalists are loyal only to their stockholders. Chinese workers cost less, allowing stockholders to get fatter dividends, so China it is. The only loyalty capitalists have is to the bottom line; it's cold, but true.
How, if at all, do these so-called Sweeping Tariffs impact all the junk that the Trumps get manufactured in China, in sweatshop conditions, and flog it to their unsuspecting Drunk-The-Kool-Aid crowd in the US?
4
This is not conservative governance. This is actually bad for American consumers. Wait until American consumers (and that crowd is truly bipartisan) realize their Saturday, all-day trips to the mall will cost them 4-5 times more. They will have to reverse this policy.
3
Obama had a good solution in TPP .... so neighbors of China can trade while developing the ability to defend themselves from Chinese aggression. At present, we pay for Chinese aircraft carriers when we shop. In 1941, at least the Japanese paid for their own. 30 minutes after Tokyo heard Pearl Harbor attack was a success, Japan simultaneously invaded Hong Kong, Malaysia and Singapore. 6 months later, Japan was attacking Australia and India. Japanese neighbors had no ability to stop this Japanese war machine just as today no one stops China conquest in the South Asia Sea. TPP is the answer. It is a containment tool ala George Kennan, but good for trade.
1
It's hard to believe, reading these comments, that I'm on the NYT site.
Blaming Clinton? Claiming all we have to do is buy American and there will be no problems? Not looking further to larger political ramifications of such an act?
It seems as though the usually brilliantly critical (as in critical thought, not negative comments), historically informed, wider-thinking set of usual readers has deserted the ship.
1
Will there be a 500% tariff on Chinese made red silk ties?
6
I'm reading a lot of nonsense on this commentary thread. All the finger-pointing at the Chinese is utter and total hypocrisy. You Americans have an insatiable appetite for cheap goods and services. You LOVE Chinese products. You allowed American corporations to leave your shores in search of both cheap labor and an absence of environmental regulations. Then, you let Walmart pimp those products to you and force suppliers to go bankrupt because you demanded even cheaper prices. In other words, you are complicit in the outsourcing of labor, regulations, environmental protections and a lot of other "inconvenient" costs so that you can fill your three-car garages with junk.
Oh and let's not forget, before China, there was a migration of business and labor to the American South which eliminated jobs internally.
If you want real trade parity, start buying American products...Oh, wait, there aren't any.
16
I worked in a hardware store recently. Finally, after much searching, I found a product made in the USA: taillight replacements. I felt like holding it up in the air and chanting USA, USA, USA!
1
Why hasn’t the DOW lurched downward at this announcement? I’ll never understand how selective the “panic” is in the market.
So is it the best time to impose tariffs on Chinese goods now that we are trying to set up a summit with the North Koreans?
they are just raising prices for the consumer - who should then close their wallets.
1
It is not china's fault. Our entire industries shift to chinese manufacturing to increase their profits - china learnt how to do their manufacturing. Any other country in place of china will do the same thing. Blame belongs to our financial priorities...
1
I believe China owns about a third of our debt. What happens if they begin to feel put upon by all these actions squarely aimed at them. I am not saying there is not an issue, but..........
3
Luickily the American consumer won't have any trouble absorbing the price increases that will inevitably be passed on to him, not that the GOP has given them an extra $1 in their paycheck every week.
5
Actual price increases from this will be trivial in general, but some sellers might try to use this as an excuse to raise prices.
Wait, isn't that trade deficit with China the source of financing the soaring Trump budget deficits?
3
How many employees does Walmart have? Layoffs ahead.
2
It would be nice if I had some faith in Trump/administration...I'd like to think they know what they are doing but I have none.
1
Bad news for Wal-Mart. A universal carbon tax would be best, poor Chinese breathing the same coal smoke as we did not long ago. Imports made with clean energy get a break, those with heavier pollution not. We did it here, lets force it on the world and balance trade to help the environment, and us subsequently.
8
If a full fledged trade war happens, will China manufactured "Make America Great Again" hats cost more?
Just wondering...
17
This should be interesting since everything on the shelves at WalMart comes from China.
11
Everything that Trump sells on his website is made in China. Jimmy Kimmel showed us that a couple of days ago.
5
The Chinese requirement to hand over trade secrets and team with a local player who will own more than 50% of the venture is something everyone should be worried about. It may have worked fine for paperclips and socks, but high tech applications give China all the gain with little work on their part. Very unfair, time to reciprocate.
2
If not now then when?
Past administrations allowed China to gain significant leverage
resulting in stolen intellectual property. Stop it now or never.
3
Isnt it ironic that Trump’s tariffs on Chinese goods will presumably have the greatest impact on all those Walmart and Dollar Store shoppers, his very base?
At least now it opens up the manufacturing sector for other south Asian and Latin American economies.
3
China needs the massive US market, yes our economy is bigger then China's, to buy its goods.
Trump will put on some tariffs, China will agree to let it currency float a bit and maybe with some luck finnaly deal with North Korea in the bargain.
2
This development is good news because it will accelerate the decline of American economic power, which was the only possible outcome of Trump's election. Now the replacement of the dollar as the world's reserve currency will occur sooner, and Americans will have to begin paying market prices for the goods and services they import, which will lead to the kind of rebellion required to unseat their ruling class, and pacify American militancy.
Does the trump's punishment include US manufacturers who use Chine labor and import Chinease made goods? Trump is definitely guity of it. Significant part of the trade imbalance is self-made by companies like Apple, Trump-brand, etc.
5
Although I'm only one of hundreds of millions of consumers in markets targeted by China, I adopted a personal policy some years ago of refusing to buy goods made in China (with the exception of electronics). Therefore, every time I buy apparel, books, stationery, shoes, small household goods, and other items, I look at the label to see where the product is made. If I pick up a product and see "Made in P.R.C.", I put the product down and look for something else. With this decision, I mostly pay more for products made in other countries, but I am not supporting the Chinese economy.
18
Something has to be done about China, but we do need to be smart about it. Allowing a country that has a state-run economy full entrance into the WTO under terms very favorable to them was a stupid mistake that is very hard to correct. Many major American companies could be hurt by this action. There may be a lot of short term pain on this issue. A more thoughtful and effective President would have built an alliance with many allies in Asia and Europe before confronting China on trade. We have the wrong commander in chief for this battle.
7
Walmart will NOT be happy. The poorer working whites will not be happy. The GOPers who exported all of those factories in the 1980s and 90s may be happy, but I doubt it. Wall st. may not be happy. The Trump voters will celebrate for some reason. But they will not be happy when the price of stuff rises. Then Trump will blame this on Obama.
13
Maybe China will reciprocate by refusing to produce Trump products.
12
Trump thinks he is saying, talk to the hand, with tariffs. In reality he is talking to his courtiers who tell him how sumptuous the gold spun garments are. Organized labor and Trump’s hard core believers are those sitting at the spinning wheel trying to convince themselves that dross can be spun to pure gold.
2
So China forced Apple, Walmart and co to produce in China?
It feels like - reading all those anti China comments.
And who is mainly responsible for apple’s current growth or automotive growth worldwide? The people of chine who are buying.
3
Been there. Done that.
By tomorrow morning somebody will whisper in his ear he will change his mind.
2
Donald - do stuff like this and stop undermining the press, FBI and judiciary and you might just win me over.
1
Hopefully the WTO will be ready for some new cases.
"Forget it, Donny, you're out of your element!"
- Walter Sobchak
4
Sell all your Tech stock - abandon ship!!!
2
Maybe he means the intellectual property of his trump branded baseball caps - made in China (and ignoring the great craftsmanship of all the forgotten people of America)
Trump produces all his devotionalia in China - just visit trumpstore.com.
9
For us old timers, before China we had Zenith or RCA TVs we leased our phones from AT&T and our jeans were made in the US. Life was good.
Besides my Iphone and my underwear I can’t think of anything I own that’s made in China. Maybe my reading glasses. Personally I believe the free trade theory works, but a trade deficit of half a trillion dollars with China sound like why our GDP grows by 2% while China’s grows at 6 %
2
I'm old enough to remember during the gas crisis when people started buying those junky small "Made in Japan" cars that got good gas mileage only to find out they were a substantially better vehicle than cars made in the USA.
2
Will Trump's products, which are made in China, also be affected?
5
Time to act before the critical infrastructure we need for our advanced economy and military becomes dependent on a Chinese supply chain.
We can forego a new pair of jeans or a cheaper washing machine for the sake of our continuing national autonomy and security.
2
this is what fascism tried and failed. it was called autarchy. please read Frederic Bastiat
Galeazzo there is a special governmental committee in the U.S. tasked with exactly this purpose. It is known as CFIUS. It hasn't failed, it just is subject to giant loopholes, the most notable of which is the fact that private parties not are actually required to make a CFIUS notification filing (it is completely voluntary).
https://www.treasury.gov/resource-center/international/Pages/Committee-o...
2
Would Americans consider a consumer boycott of Made in China? It may be easier and more effective than imagined. There are plenty of substitute goods from all over the world. Better quality too! If Americans could endure the transition away from "cheapest", we could win!
1
It's not that simple. Read "A Year Without China" for a look at just how extensively you rely on parts and objects made there that you might not realize.
Doesnt he know he'll just punish consumers? any increased cost will be passed down the line. Not a bad thing if it was for higher wages in China or here so workers got the positive imoacts of the prices increases, but to give the increases to government using tariffs? Is that how it will work? So bizarre...
The Chinese work force is rapidly aging. That young work force that imported our pollution and inflation while exporting away our stagflation has turned into 100's of millions of middle class customers for all kinds of US products. We have replaced old factories with a service economy and are building high tech factories with robotics and AI to export to those 100's of millions of middle class customers.
The Trump administration is planning a trade war. Unfortunately it's against US worker and consumers. Sometimes when you're in drive you have to stop looking in the rear view mirror and see where you're actually going.
4
What will be the China retaliation effect on the US companies already entrenched in doing business in China? This fight will not be won by the US.
3
China holds - as of Oct 2017 - 1.189 trillion dollars in US treasuries. If a trade war breaks out and China dumps a small portion of these holdings into the open market - the price of TBs will, of market necessity fall, and when bond prices fall interest rates will rise (Econ 101). If not countered quickly higher interest rates will dampen down the growth in the US economy and wreck havoc on the housing market. That in turn will dim the Republican hopes (what is left of them) for the mid terms. Perhaps nobody is thinking ahead in the White House - as usual.
7
Good move from the trump administration for a change.
How / what “healthy” plan the administration will carry out is in question. It’s really about corporate profits vs people.
China has been bullying around the world unfairly. Big multinational corporations also have been playing thuggishly in the world as well. It’s time to readjust.
1
This is one reason I’ve suggested having a chain of Costco sized stores called “Made in America”. Everything within would be 100% American materials and labor. At least for normal consumer type goods, it would solve the question of “what IS made in America?” I would make it a point of shopping there on a routine basis, even if it was just for minor stuff. My motivation is not political or nationalistic, but just to help some blue collar folks out in a globalized and automated world that his hit particular industries very hard. Companies hire people based on demand. If this store caught on and sales increased, business would be forced to hire Americans because that’s the point. The middle and lower middle classes are the floor on which the rich stand. If that floor rots and weakens, the rich will suffer too.
4
so everyone will be poorer making inferior stuff with outdated equipment and only a few union bosses and politicians in Washington will benefit.
1
Of course, if China assists with denuclearizing North Korea successfully and promptly, some reconsideration of tariffs would be appropriate.
1
Trump has no idea of the Economic and Political dynamite he is playing with by implementing these tariffs. China supplies the US with billions of dollars worth of cheap imports every year. Americans are spoiled with their endless supply of everything; from Christmas decorations to cheap electronics. Americans will not work cheaply enough to make these goods here at an affordable price. When China retaliates and hits the US with tariffs; America will lose many thousands of jobs; mostly in Red states. The net result of China tariffs; higher prices and lost American jobs. Ray Sipe registered Florida voter AARP member
8
Sweeping tariffs on China will wipe out the tax cuts that some taxpayers will be receiving. So much for making America Great Again. Punish the taxpayer.
5
so you are ok with unfair trade practices to continue?
1
At least we can be sure China doesn't have any compromising pictures of our president.
1
How about punishing Russia by implementing the Sanctions Congress passed? Seems very suspicious to me. Putin gets a free ride yet China gets the max.
1
The fact that we sit idly by and enjoy cheaper plastic junk (not to mention plastic-like junk food) without ever digging into what that really means.
We fixate on price and the weekly savings, but it seems very few are aware of the sinister side to this “China is the world’s factory” idea. The factory, in this case, demands a share of your business and access to your IP/secret sauce.
Why? So if the government joint venture foreign companies are forced into ever gets old for the Chinese—or they decide to use the stolen patents and DIY—what is left?
Think about all the advanced devices you use every day. Think about how complicated they are. Is it a good thing for the world (and for America, more selfishly) if China is the only entity aside from Tesla that knows their secret self-driving algorithm?
I’d say no, it’s not. And I’d say further that China has abused their bargaining position to become little more than expert knock-off artists with little-to-no innovation.
For heaven’s sake, the drone company DJI had to put “Innovation” in their name because they genuinely made an entry into the prosumer/enthusiast photo drone market.
the reason is that in the US no one studies engineering any more. just look at the top students in computer science and electronic or mechanical engineering. there are no Americans. we study psychology and produce lawyers, nurses and policemen.
You can't buy anything that is not made in China at Wal-Mart. Amazon is not much better. China is quietly eating the world's lunch. From Jamaica to Malaysia, many of the businesses are owned by Chinese. Vancouver has been sold to them and in parts of that city there are no English or French signs. The real problem is that corporate greed has taken over common sense and respect for workers. There is no corporate responsibility, gone are the days of company towns and supporting your community, now it is all about profit. And, American companies who want to stay competitive, higher illegal workers to do low skilled jobs and Indians to be their engineers. Tariffs are an interesting idea, but the horse is already out of the barn and we can thank corporate greed and bought and paid for politicians for that. And of course all those corporations just got a big tax break, so why worry. The Trump family does all the things that have led to this problem, they manufacture in China, they hire non-American workers for their properties (no doubt citing a lack of qualified waitresses for Mar-a-Lago) and I can guarantee that someone in the family is using an illegal Mexican to cut , their lawn or paint their toenails. But listen up democrats, he's crazy like a fox. Maybe you should address some of the problems Trump is exploiting, instead of spitting out the same old, same old. The world is changing, acknowledge it, address it, and finally don't let the liberal arm of the party steer.
3
Maybe if Americans had better education for decades prior we wouldn’t be hiring Foreign workers
Yes, US corporations have been complaining about not having enough qualified workers for 20 years, why haven't we educated more? Could it be that an Indian engineer costs 24K? Ditto for dishwashers.
1
Didn't Trump's new economic superstar Kudlow just say the president was a free trader.
This is going to get ugly BUT so many countries have been taking advantage of us...something needs to happen. The nonsense has to stop. We can no longer afford to be the doormat of the world.
2
Post WWII China was a backwater, it had no industrial capacity to speak of. The British controlled Singapore, because they built the harbor, and had colonized China. The US was the unmitigated industrial giant of that era, and post WWII corporate america created the middle class, along with those high paying manufacturing jobs, that the republican negotiators of NAFTA essentially incentivized via tax breaks to MOVE operations overseas.
The leader of China after WWII, drug China into the industrial era, he laid the groundwork to build the factories, to raise the production capacities of China, and rise the standard of living (as much as you can in a dictatorship). As technology became the new industry, China dealt with that by building state of the art factories.
Corporations in this country could have done what China did, which is educate their people, and create a vast high tech, industrial capability far beyond what the US has.
Look at what kind of jobs are being added, thousands of service jobs, 600, 1,000 manufacturing jobs. The 545 elected officials have given this country away to the highest bidder, now those in power suddenly feel that what China is doing is unfair, except, they are responsible not the public, but we will suffer for any trade war that will happen. Trump and his inexperienced economic staff don't seem to understand how this works, the author of this article said, "you can't walk up to China and punch them in the face". There are real consequences.
6
Taste the bitter fruit. You go into business and you save and reinvest putting off your own consumption in order to do this. China does this, we don't. Their workers pay is sacrificed so that their exports are cheap. They don't pay workers comp, social security, or healthcare. We don't recognize universal workers rights outside the U.S., and employers try to get around them with U.S. workers--out of necessity when competing with countries that don't. To level the playing field with countries like China, that now have developed economies, we could insist that with the labor intensive goods that we buy from them, that they be priced at the border to reflect the same pay benefits as American workers. Call this a mature trade policy. China has pointed out that if they increase pay, American importers will just switch to other countries that are still undeveloped. If they are functional democracies, so be it. And if they have populations in low lying coastal areas, this would be a trade preference we owe to them, as compensation for the climate change havoc and devastation, we are about to descend on them.
If the objective is for American manufacturing jobs, look no further than a push to switch to renewable energy to solve the problem. Focus infrastructure development here with a carbon tax, the entire proceeds of which go to buyer incentives to install a solar/wind/hydro grid and buy hybrid/electric vehicles based on fuel economy and low price. All American made.
The US cannot slow down the rising economic power and dominance of China through tariffs and similar trade throttling measures. It can and should punish China for its illicit activities of intellectual property theft, patent violations, dumping practices, etc.. One should not, without being hypocritical, blame China for espionage, both cyber and conventional, as we do it as well, but we should vastly increase our protective measures to minimize the consequences.
The administration appears to be greatly threatened, even intimidated by the made in China 2025 plan, an overt plan that we should worry about but make all attempts to match its impact. This we can only accomplish if our government puts science and technology R&D back as a high priority, national security initiative. Instead the Trump administration has over the past two budgetary cycles drastically proposed severe cuts in federally funded R&D support other than military. Fortunately Congress has pushed back in a limited extent, but there is no guarantee that it will continue with anticipated budget shortfalls in the coming years. In contrast, the government of China and most western developed economies are increasing their R&D funding as a measure of their GDP, whereas ours has been decreasing over the last few decades. We still have the best research institutions, universities and government labs in the world, but our government's shortsightedness threatens this lead.
5
And what will happen to the stock market if China manufactured iPhones suddenly become very expensive?
I am certainly willing to share the inevitable pain of inflation and unemployment in the US until the November elections. The only conceivable reason trump is still supported is the greed of Wall Street.
Just when he might need a little help from China as he prepares to stumble with North Korea, he pulls this stunt. If I can see that the timing is stupid, why can't he?
5
Everything sold in a local Dollar store has a label - made in China. The trade deficit of hundreds of billions comes from almost everything we consume - clothing, office supplies, household goods, furniture, tools.... China has captured almost every aspect of Maslow's "basic needs". It is so hard to determine what is still made by US corporations here rather than in China. The labels may be the same, but the odds of seeing "Made in USA" have diminished astronomically.
1
Yes, it’s time to put pressure on China for its trade practices; let’s call it a trade war.
Wars are won by generals who are great strategists, managers and tacticians: Eisenhower, George Marshall, etc... There are none now. If there were, they’d be fired next week.
Nations which engage in war pay a price, their consumers, their industries and their banking systems. Walmart prices will vanish. Aircraft manufacturers will take it on the chin. iPhones will cost more. The national debt will be more difficult to manage as the most eager lender, China, will no longer be so eager.
We go this alone since the TPP is water under the bridge.
Yes, we should hold the Chinese accountable, but it’s gonna hurt.... a lot!
2
You need to create negotiating leverage to negotiate for anything effectively.
1
These tariffs will raise prices in the U.S., which makes them a form of taxation.
No problem.
Imported Chinese goods have cost millions of American workers their jobs. In turn, American taxpayers are required to pay for food, healthcare, education, housing, shelter, community services, etc. for the workers and their families.
It’s better to pay a tax in the form of somewhat higher prices and keep American workers productively employed. As a bonus, it will also slow the flow of money that China is using to expand its military reach.
4
Instead of focusing on the underlying, serious internal threats to democracy and stability in the US, the Information-Masters and their political puppets instead hurl our attention onto various foreign threats, "combat-enemies" or "trade-enemies": their mediated hands gripping us firmly by the ears, they jolt our heads us now towards Russia, now towards China, now towards ISIS, but never towards Washington, and never--God forbid--ever towards the oligarchy that runs Washington, surveils every bit and byte of our most intimate communications, and spews "news" designed to manipulate rather than educate.
2
Why are we conducting any trade at all with a communist country? It's time to stop now before they attack us.
1
Tax China? Better ask Walmart. At some point the burgeoning Chinese population will be a better market than penny-pinching Americans.
Trump must be really desperate to try doing the right thing. At least this is one right thing that should appeal to his base.
So will all the "free traders" kindly explain how American consumers and workers will benefit, if China is forced to pay big Pharma and Bill Gates the kind of tithes American consumers are forced to submit to?
I'm all for fair trade and sanctions against cheaters. But that kind of things have to be thought out by competent people before they are implemented. This President relies on his gut feelings and his economic advisors are OK with that.
why do I have this sinking feeling?
26
Is there an argument to be made that we not anger China at a time when Mr Trump is going to try to negotiate with North Korea.He will need Chinese cooperation to make progress in this difficult endeavor.Slapping tariffs on China in the next few weeks will not improve our relations with them.If the tariffs are necessary why not hold off for several months until we determine if China will be friendly to our attempts to denuclearize the Korean Peninsula.
4
No worries. The meeting will probably not take place. Apparently there is no written evidence that North Korea even invited the President.
And if it does take place nothing will change. North Korea is not going to give up its nukes and the US is not likely to withdraw the troops from South Korea (a primary North Korean demand).
1
China has taken advantage of the US, it must be punished! Punish China. Punish now.
4
Unfortunately, the only punishment for this ill thought out reactionary Trade war against China, will be to our detriment. It will cost every U.S.man,woman & child more in money terms and access to high tech advancements in all areas.
1
“Democracy is the worst form of government, except for all the others.” That's a line attributed to Winston Churchill. The same can be said for free trade. It is the worst form of trade between nations except for all the others.
Protectionism has been tried for centuries and has impoverished nations, leading them to war. Free trade, with all its imperfections, has led to prosperity and peace.
That said, something had to be done about China. The tariffs will backfire, of course, but at least they're a start. (Let’s hope some of the unwanted consequences—higher consumer prices, or empty retail shelves—will begin to kick in before the midterm elections in November.)
Future administrations—if Trump doesn’t become president for life—will now have to grapple with this problem. The timorous politicians in Washington will be forced to devise a more comprehensive and nuanced approach to China, if for no other reason than to correct Trump’s colossal blunder.
3
"... the administration asked China to shave $100 billion off its $375.2 billion trade surplus with the United States..."
One way of achieving this goal is to have China sell $100 billion less to US consumers. That represents a reduction in personal purchases of consumption goods by about $350 per American per year. No new TV or cell phone this year.
Of course it also means that China will invest $100 billion a year less in US debt but that can be covered by diverting the money that would have been spent by American citizens on consumption goods to finance the US government deficit.
Sounds like a plan that Americans can get behind. I'm looking forward to it!
2
Is there ANYTHING that Republicans do other than make life less affordable and less pleasant for Americans? Honestly, who is going to pay in the long run? Yes, you and me, whether its war, taxes, or trade. The Chinese ain't gonna pay tariffs without being reimbursed with higher prices, and our GOP corporations ain't gonna lose a dime, either.
4
Here’s a thought, Don’t buy Chinese manufactured product?
Let’s not forget that China has the financial interest in the US, the US is in debt to China for $1.24 trillion in bills, notes and bonds...this is about 10% of publicly held U.S.debt (source Tom Murse of ThoughtCo). This Chinese owned US debt is a weapon that can be held over Trump’s head in dealing with any trade war against the Chinese.
That may be very hard to do this late in the game.
China is winning and she will win big, don't underestimate her will and determination, strategy and capability to be the most powerful nation on earth in the 21th century. let's hope that she will be the benign force, but her inhumane treatment of Uyghur people at the moment does not bode well for the future of the world.
1
98% of the things we use daily are from China. Getting into a trade war with them is the very definition of stupid.
7
When we were having the financial crisis around 2008 and other financial troubles in the world where almost all of Europe was feeling the heat the only country that was doing well was who? GERMANY!!!
The Germans have a huge industrial base and they manufacture all sorts of things there. They make pencils there!!! I buy German pencils.
If we make nothing we are going to be nothing. We have to start making things here in our countries. Not everyone is supposed to be a manager and selling everything that is made in China. We simply cannot have every person working in a cafe making coffees and sandwiches for each other.
President trump is on the right path with this one.
4
China lies, cheats, steals, stiffs people......hmmmmmm
Maybe they've met their match with Trump!
2
The racism against Asians and Chinese in the comments and in the New York Times is appalling. When Chinese people beat whites at their own game, they must be cheating, right? If you're Chinese-American, you ought to be considered about this growing anti-Asian sentiment. Afterall the eyes of liberals, you are a disposable minority. Unfortunately, I predict Chinese internment camps in the next ten years, just as my grandparents suffered under the Japanese internment camps long ago.
5
The criticisms are of Chinese government policies and actions of state-sponsored enterprises.
2
The Chinese government is corrupt and authoritarian. I wouldn’t compare them to the Japanese for many reasons.
1
Interesting you claim anti-Asian sentiment even though the only country being targeted is China and it's widely accepted that their trade practices are unfair.
1
Since most of the things that Trump's on line store sells are made in China, you can bet that this will be a very targeted group of tariffs so as to not hurt his business.
He needs to release his taxes!
4
Ivanka is having her shoes manufactured in Ethiopia. The Chinese wages of about $500 per month are just too high, while an Ethiopian worker makes about $30-$50 per month.
It is absolutely delicious to read commenters praising tromp for his decision.
6
This "President" is so far off that when the history of his administration is written, it will consist of two paragraphs in Mad Magazine. Camus is squirming in his grave!
4
I worked at a "large" computer manufacturer in Houston. No one, I REPEAT, NO ONE, was allowed in the manufacturing facility [where we made PC, portable computers etc.] other than the employees. Now, all the manufacturing is done in China. I am certainly sure that the Chinese have copied everything from such a facility in China.
I find it incredible how the Chinese can sell some items at dirt cheap prices here in the west. For example, a simple cigarette lighter has 15 or 17 components and how can they sell that at a local store here for a dollar? How is this possible? The answer to the mystery is that they are subsidizing everything there to DESTROY manufacturing in the west. It is a method to make hollow the entire west.
President Trump is right in this and he should punish China in some ways but he should punish AMERICAN manufacturers even more, a lot more, for sending manufacturing to China. I hope that President Trump does this expeditiously and that Canada, and Australia follow suit.
We need to make stuff here. I want to buy an Apple phone made in the USA, for example.
12
You think a US made iPhone will cost the same as the Chinese made model? You people need to imagine the consequences of what is it you’re wishing for. The US gave away the store back in the 70s during the 1973 oil crisis. The rest of the world understood from that point on that cars would need to be very different. In their infinite wisdom, US auto manufacturers decided that Americans would never, but, never, want to drive anything else than what they had been used to driving till then. And, then, that little yellow Honda showed up and Americans laughed out loud. Who’s laughing now, I ask?
1
If Trump wanted to punish China the best way to have done this was to stay in TPP. Instead, we have cancelled our participation. China is now more invested and this will only cost the consumer more at the checkout counter!
3
Even a stopped clock is right twice per day. The Donald has stumbled upon an action that will force China to put some controls on their homegrown pirates.
I don't agree with much that The Donald does, but this action is long overdue.
1
Fantastic! On this single point of Mr. Trump's trade policy I am happy about him using his presidential power. It's about time that the U.S. administration to have retaliated against China which has cheated its way through to economic dominance which has embolden them to expand their territorial ambitions through military dominance. The U.S. should have ended its love-fest with China long time ago realizing that they will rise as a competitor with it. U.S. should look at developing strategic trade partnership with India which will be a true ally and not an adversary.
5
No America should not go to India and raise another country to be another China in that region.
America designs and markets smart phones, electronic media products, and high tech systems and buys a huge proportion of the goods and services that are made for consumers of all kinds, but so much of the actual material devices are produced in China and in other foreign countries that high tariffs are not going to make consumers seek out domestic producers over foreign producers. It's going to reduce the purchasing power of consumers in our country. China will still sell to our consumers and likely retaliate by lowering prices for other markets where we compete with China. The time to have tried to keep a greater market share for domestic producers was decades, ago. Now, these tactics will just disrupt.
52
I seem to recall Trump connecting trade with China with action on North Korea. Is it my imagination or is China starting to get serious about the North Korean situation? Recent reports indicate that the North is suffering more than ever. Trump might be crazy like a fox. Wilbur Ross, the Commerce Secretary, is very supportive of tariffs. Both Trump and Ross made their money before entering politics. They are not stupid.
1
I am a lifelong proponent of study abroad and intercultural exchange, and yet an aggressive cap on foreign-born Chinese researchers and graduate students is long overdue. Meanwhile our bloated, overly expensive universities are becoming dependent on their full tuition, while Americans of all stripes are priced out or drown foolishly in debt. It's about time.
10
Our idiot president can be right about something. For years, China has been dumping products manufactured by state owned and subsidized industries. They require western companies to partner with Chinese companies and to share their technology with Chinese suppliers in order to enter the Chinese market. China has placed many tariffs and barriers to entry into their markets. They steal western technology and they have manipulated their currency in the past. Simply put China has abused America's relatively open markets because our multi-national corporations, ivory tower economists and politicians of both parties have given it their approval.
Meanwhile, factories closed, the working class fell into poverty and America became a post industrial consumer economy. The gap between rich and poor grows ever larger.
Before Donald Trump, anyone who dared to criticize our trade imbalances was labeled an ignorant protectionist. Correcting our trade problem will require patience, intelligence, negotiating skill and a comprehensive plan. Unfortunately, Trump is poorly suited to the task. He lacks the education, intelligence or negotiating skill. The danger is that America's terrible trade problem will not be corrected under his presidency and the issue will die with the end of his discredited administration.
1
The USA abandoned its quota/visa regime on Chinese textiles several years ago. This was to comply with membership conditions to remain in the World Trade Organisation in good standing. With that concession, the USA lost every bit of leverage it ever had over trade with China. These tariffs are being implemented after the fact and perhaps an international trade specialist at CBP would be able to persuade the president and Congress to consider reinstating absolute quotas and visas on certain targeted commodities.
2
There is a strong consensus regarding the need to counter Chinese IP theft and forced tech transfer. The question is one of means. Tariffs are a blunt instruments and invite retaliation. They should be a last resort. A more targeted approach would involve coordination with our European and Japanese partners to prevent Chines investment in key industries and technologies. Without such coordination, given the global nature of the tech industry, China will play one off the other. In parallel, we and our allies can also negotiate access to Chinese markets that is not tied to forced IP sharing.
2
U.S. Chamber of Commerce:
“Tariffs of $30 billion a year would wipe out over a third of the savings American families received from the doubling of the standard deduction in tax reform.”
So that Secretary who was so thrilled with her extra $2.50 a week on her paycheck from DJT's tax cuts, may just have to cancel her membership to Costco afterall.
3
$1.50. I agree 100% with rest.
1
I buy prescription glasses from a website. They are shipped to me from China, cost 1/5 of what glasses cost locally and the shipping cost is $6.00. I ship things to China regularly. Fedex and UPS charges a minimum of $60 for me to ship anything to China.
The freighters leave China full and they come back to China empty. Shouldn't this make shipping to China cheaper? Why this imbalance?
I will believe we have the possibility of free trade when this freight cost imbalance is addressed and an American small business has access to the Chinese market like the Chinese have access to our market.
1
This is easy. The eyeglass company is shipping in bulk. You are not.
1
Whenever you read an article on trade/tariffs/Trump in NYT and browse through related comments, all you find there is moaning, shaking, fearing of possible consequences of US actions which are, according to the journalists and majority of readers, calamitous without exception. Do not touch China, never, for any reason, do not say anything they do not like, or if you do, be careful to never follow with any sort of action, just hiss a little and stop there. For god-sake, the iphone may be in question, or Nike, or such! The US consumer! Sheesh. 40 years China ago was starving and today they're close to being on par with the USA not so much on their own (although they certainly deserve every respect) but because of foolish and shortsighted investment that enriched a few and impoverished many in the home country, which is, or should be USA.
7
Maybe if Trump wanted to rein in China's trade practices they shouldn't have pulled out of TPP.
4
Every once in a while, Trump does the right thing. (See Broadcom's attempt to buy Qualcomm). This is soooo long overdue. Ever since China was allowed to enter the WTO (thanks so much, Bill Clinton, for the $trillions in damage!) they have ripped us off in every way imaginable. It has to stop or we aren't going to have anything left. How come China has bullet trains and we don't? They sure didn't have them before entering the WTO. This trade deficit has turned China into an enormously rich country -- at the expense of our workers, their jobs and livelihoods. On this one, good for you, Trump. Give 'em hell.
Oh yes, and while we're smacking them around, could we get China to crack down on their online Fentanyl dealers? I don't know why addicts buy heroin from their local dealer when you can order all the Fentanyl you want online from China. There really is no business in the US that China is not trying to dominate.
3
"How come China has bullet trains and we don't? They sure didn't have them before entering the WTO. This trade deficit has turned China into an enormously rich country -- at the expense of our workers, their jobs and livelihoods." This is one of the most ridiculous things I have read in a while. Bullet trains have existed for decades elsewhere, what was stopping America from deploying them 30-40 years ago? Don't blame China alone for the trade imbalance. Without China putting a large portion of that money back into US public debt, who is going to step in to finance chronic deficits? It takes two to tango. It's easy to blame someone else for all the problems, it is far more difficult to make the structural changes necessary at home.
2
I HATE Trump, but support some effort to even the playing field with China.
Nearly ten years ago, I co-founded a software company. We had a chance to get into the China market, but we had to reveal our intellectual property to do so. We declined the opportunity and have not tried again (yes, we are still alive). And we will not do so long (if it is up to me) if we are required to reveal the intellectual property that we built over the last decade.
That said, I still HATE Trump
14
Oh yes, China is deplorable. So Trump refuses the Asian
Trade agreement and drives Australia and the other nations
in the are into the arms of China's influence and business.
Mexico and Canada will continue within that Trade Agreement
as well. Leaving us where? Sulking and narrow minded with
The Donald? With our cowardly Congress that has the ultimate say over budget? Theoretically? We also subsidize
our industries out of the middle class pocket. We also use
cheap labor, immigrant and native, in slavish ways. Our
industries favor keeping the poor uneducated and privatizing
sources of education. I almost said "apparently." We need
to look in the mirror.
1
It’s “sulking and narrow minded” to want to the the hugely unfair trade practices indicted on us (in part by our own doing, granted) by China? How so?
1
Work with and on China, specifically, don't cut
off your own nose by ducking the Trade Agreement.
It's just been shown that we have a trade surplus
with Canada, and yet we hurt that arrangement?
Trump dumped the Asian Trade Agreement for
a petty reason; it was Obama's plan. As he has
tried to do with every Obama initiative. Like
regulation of Wall St. Or Health care. The good stuff.
2
Explain to me how this will work. Trump is slapping China with tarrifs. Trump is also counting on China's help with N Korea.
1
Whatever Mr. Trump, of whom I did not vote for or agree with on any other issue and want to see ultimately impeached, does to severely punish China for their trade; theft of trademarks, dumping of everything from shoes to solar panels, policy, I applaud and support. As a victim of their government controlled corrupt
commercial arbitration sham, I can personally attest to the Chinese affront to the world view of the rule of law.
4
Trump is descending into economic insanity. China will retaliate, and we will have a trade war with China that will disrupt operations and business at ALL US tech companies, pharmaceutical companies, engineering firms, etc. Over the past 20 years, China has become the number 1 partner/collaborator/outsourcer for ALL US tech companies. I dont suppose that a real estate developer and a crackpot professor from UC Irvine would understand these issues.
2
The sooner we do it, the better. Time to stand on our own feet rather than benefit the US Chamber of Outsourcers and bankrolling the country whose overarching aim is to become a military threat to the democratic world.
7
So long as we, as a nation, are self sufficient. Otherwise, regarding punishments, you are looking into the mirror.
2
The proposed cap on Chinese researcher visas contains a thinly veiled insinuation that every Chinese visitor or immigrant is a potential spy.
1
China is a Communist dictatorship. It is in their mode of operation to employ spies and such to steal what they can from us. Taking steps to protect ourselves is wise, not yet another example of xenophobia.
1
Can we do this to the Russians as well then.
1
How does this article meander between "tariffs on 30 billion in imports" in the first portion and then talking about "tariffs OF 30 billion dollars" further down. Huge difference! Which is it? I never heard the administration talking about a tariff increase that = 30 billion dollars.
Does this mean Ivanka's fashion line will finally be produced in the United States?
5
Bravo, Mr. Trump!!
In their commercial relations with the US, the Chinese have truly mastered thievery, chicanery, and lies.
And in Americans, they have found the perfect suckers: people so greedy they'd sell their own mother -- assuming she contained sufficiently-sensitive technology -- for the right price.
Like Russia, China is essentially a vast dumpster, where theft of intellectual
property is a noble pursuit, a peasant society that has nuclear weapons. The government controls EVERYTHING, and if you doubt that for one second you are a fool.
Americans need to wean themselves off of Chinese junk that masquerades as merchandise.
I say hit 'em hard with tariffs, taxes, import duties, everything we've got.
And while we are at it, lets force the US Postal Service to drop its subsidies for Chinese merchants -- yes, ladies and gentlemen, US taxpayers pay more every year for postage so that USPS can give Chinese merchants a break on shipping their second-rate junk to the USA.
Read all about it here, then contact your congressperson:
https://www.forbes.com/sites/wadeshepard/2017/11/05/how-the-usps-epacket...
10
As a follow up to your post, the current opioid epidemic can also trace some of its roots to China in the form of Chinese manufacturers of Fentanyl using the USPS to ship their poison to the US.
https://www.theguardian.com/us-news/2018/jan/24/chinese-labs-use-mail-to...
China literally sells us poison and we let it happen. They have absolutely no moral compass and would sell family members if they could profit.
The opioid crisis has many causes, and treatment as well as education must also be used to mitigate this health catastrophe, but going after suppliers must also be part of the solution.
3
To say that China subsidizes its industries makes as much sense as saying the US subsidizes its dairy industry by feeding Native Americans cheap low-quality cheese. In both cases, the answer is obviously yes, but it is much easier to see the speck or dust in someone else`s eye than the boulder in one`s own. The reason China subsidizes its industry is because it has a competitive advantage and can afford to do it. The reason the US subsidizes its dairy industry, directly by supporting prices, or indirectly by feeding Native Americans free low-quality cheese is because the US has a competitive advantage and can afford it. The same, but in a vastly larger scale, goes for the American Military Industrial Complex and many polluting industries.
If Trump read Adam Smiths` work, which despite being over two centuries old is pretty much up-to-date, he would understand, but Trump doesn`t care about reading books, or about knowing anythings for that matter. Trump truly and faithfully reflects the absolute and abysmal ignorance of his followers.
4
I think you have the cause and effect backwards - China has a competitive advantage BECAUSE they subsidize their industries, not the other way around.
China does not allow Facebook, Twitter, Amazon, Uber, Lyft , etc., etc., to operate there - they have copies (Weibo, Alibaba, JD.com, DiDi, etc) that are direct ripoffs of these American icons. China also does not allow GM, Ford, Toyota, Hyundai,Volkswagen and all other foreign companies to open plants unless they partner with Chinese counterparts, and allow the Chinese company to get their technology.
Foreign companies are increasingly feeling hostility from Chinese government regulators , and are considering moving out of the country.While this will deal a blow to their ability to penetrate the huge Chinese market, the costs are becoming prohibitive. Why give your Chinese competitors free research that they will use later to defeat you?
4
There are two general approaches to addressing inequality/those left behind: pre-tax and after-tax. The pre-tax strategy aims for a more equitable distribution of market income and includes tariffs, stronger unions, a higher minimum wage, and anti-trust action. It affects our interaction with other countries. The after-tax strategy includes higher taxes on the rich used to fund universal healthcare and education; it does not presume to exert control over other countries.
The virtue of the after-tax strategy is we don’t interfere with free trade, which maximizes wealth, while making sure wealth is distributed equitably. We are the richest we’ve ever been as a country, approaching $100 trillion net worth or $760,000 per family on average. However, our bottom 50% of families only average about $11,000 net worth.
Reducing our trade deficit with China of $375 billion may or may not benefit those left behind, as many rural poor will pay more for their Wal-Mart goods. This is partially offset by more jobs and profits in those domestic industries that are protected, but a net loss of wealth will result.
We’re better off focusing on what we control, which is how we tax and how we redistribute.
1
30 Billion is NOTHING for China. That's just the pocket change of one guy standing on the corner. Nor would I call the steel and aluminum tariffs "sweeping". It is just a single line item in a import goods book 5 inches thick.
American companies go to China for cheep labor and lax environmental controls. We teach them how to build factories then 30 years later accuse them of competing with us? Everything is made in China but we made China. Like Micheal Keaton said in the movie Gung Ho: "The American spirit is alive and well, but they got it".
The Con Don is like the stupid, little boy poking at dragons. He's going to get destroyed. Let's just make sure he doesn't take all of us with him.
Unfortunately I know some people who I always considered quite smart who voted for him. That was really stupid.
1
I look forward to Chinese counter measures focusing on Kentucky and Paul Ryan’s district. I think Americans will find that this administration is not really very competent and while most of us feel we should confront China it has to be done intelligently rather than impulsively.
3
The hollowing out of America's infrastructure has been the result of global free trade agreements. No way was it possible for U.S. labor to compete with $2 a day labor. Our leaders knew this. Both Bushes and Clinton knew this. Congress knew this too. We were betrayed. All the wealth that was once vested in America's working class has been sent overseas to build up the middle classes of all the Third World's countries. Good work, guys. Now I'd like to strip Congress of its "Royles Royce" health and pension plans and incorporate them into Social Security and Medicare. How do we do that?
2
The foundation of Chinese economy is built on massive theft of Western intellectual property and relentless extortion of companies doing business there. If all that Trump accomplishes is to put the trade (and respect for IP) on equal footing it will be enough.
3
Here are the world's top seven economies, according to the 2017 IMF forecast:
U.S. - $19.4 trillion.
China - $11.9 trillion.
Japan - $4.9 trillion.
Germany - $3.7 trillion.
France - $2.575 trillion.
U.K. - $2.565 trillion.
India - $2.4 trillion.
Poor old US.
1
Those are much disparaged old fashioned nominal GDP numbers. Purchasing power parity measures and "the Big Mac" analytic measures already have China's economy overtaking the US economy. Using that same IMF data the U.S. economy when measured in terms of GDP based on PPP. In these terms, China’s GDP is $23.19 exceeding the U.S. GDP of $19.42 trillion. US GDP per capita is still much higher. Again according to the IMF data as interpreted by Investopia the nominal GDP for the U.S. and China for the year 2022 will be at current growth rates about $23.76 trillion and $17.71 trillion respectively. GDP in terms of PPP is projected at $23.76 trillion for the U.S. and $34.31 trillion for China. So hang on to that nominal GDP first prize if that's what's important to you. But even that will be gone soon.
2
Where would you have us on the list?
2
I don't believe Trump or his economic advisers actually realize the extent of products that US manufacturers and distributor buy from China and resell in the US. Tariffs on Chinese goods while appropriate must be done in a phased in orderly fashion or we will be looking at the next great recession.
1
So after giving the region to China by discarding the TPP, because he had to purge every trace of the presence of "the black guy" (who is, in fact, superior to the puppet and every lackey and rat in this "administration"), the Russian puppet now wants a fight with China. I thought GWB had done damage to our international reputation, but that was mild compared to what this corrupt, incompetent degenerate is doing.
1
Too little too late. 90% of what is sold in Walmart and other national retailers is made in China. We outsourced our know how, our industrial base, and our work ethic to China and Southeast Asian countries. China has a highly skilled labor force and a cheap labor force the outnumbers us 3 to 1. A labor pool that works 12-16hr shifts on a daily basis with very little benefits i.e. workers comp to employer sponsored healthcare. Their politicians and business execs are married to the hip and can practice long term strategic planning 25 to 50 years out. While here our politicians can't come together to fix our decades old crumbling infrastructure. They don't have the political will or appetite to levy taxes to make the painful decisions to make us competitive. Our employers are not willing to invest in our own workforce with higher wages and generous benefits packages. That why we will lose this trade war.
189
You are right. To really smack aching, shut down all the Walmarts. Better yet, don’t shop there and they will close themselves.
2
China. That’s “smack China”!
1
I would hope that the us multinationals used better labor practices because of pressure from u.s. markets. If they did it wouldn’t be that much of an issue. I know ultimately price wins but there is a growing market of ppl who want their good produced using fair wages and good labor practices. This rush to globalization basically prevented America’s labor wages from rising. Offshoring jobs depleted jobs here. Now the rich Chinese who exploit their people are being courted and given green cards for investing and buying out American infrastructure. Is it ok to have rich immigrants that are wealthy and buy houses and land and raise prices over poor immigrants? Can we get rid of the L type visa. Let’s just close borders. Keep what immigrants we have and bar the rest for a little while. Oh wait that’s what trumps doing.
1
I agree with tariffs and other measures to combat Chinese unfair trade practices. However, this should have been done in concert with keeping NAFTA and approving the transpacific free trade agreement. Together these would apply a lot of pressure on China to more fully cooperate on trade. It is sad that we have a president who is such a one-dimensional thinker.
134
On the upside, Matt Damon is moving to Australia.
1
And pulling out of TPP was the greatest of gifts to China.
2
I did not know that we had a President who is a thinker at all.
1
Per census.gov, our deficits with Japan were, all numbers in billions, 67 (2017), 63 (16), 62 (15), 66 (14), 65 (13), 69 (12), 65 (11), and $60 billions (2010). So what did we do? Tariffed Japan. But we like their goods. Instead, we could sit down to talk to these countries, for them to open their market for US goods/services.
If you happened to visit China, Vietnam, etc., you would notice their costs of living were really low, including their labor costs (compare with us). While we, American tourists to these countries, enjoyed the strong dollars v.s. the local currencies, we condemned them to dump their goods to us in extreme low prices when they exported their goods to us.
It is always easier to blame someone else for our own failings. The rampant drug addiction, daily gun violence, regular racial discord, greedy Wall Street, incompetent and corrupted politicians, failing public educations systems, dilapidated infrastructures, indolence toward working, chronic overspending on entitlements and etc. are the direct results of our own democratic decision-making process; and they are not caused by China.
Blame China is easy, but it cannot make America Great again; Instead, it will America isolated and become a sick country of the world just like what happened to China as the sick man of Asia in the late 19th and earlier 20th century.
3
Does the word "brinkmanship" apply here?
How about folly?
Warmongering?
Something like that.
2
Opening bid?
Something like that.
If we were being completely honest and morally superior, then we would not deal with China ( or any other country ) that abuses its citizens and denies them human rights.
Having said that, we cannot punish China for their blatant currency manipulation or can we compete with them if the state is subsidizing any industry with state money to make any profits in the west unattainable.
What we can do is stop buying their goods and boycott companies that do business with them or inside their country. That might be difficult, because everyone does business with them, even while extolling ''Made America great again''. ( especially the President and his family )
However, we have to try and shop local. Our livelihood depends on it.
74
But where does the State Money comes from?
In a way I agree with this idea of shopping from our own. I've been doing it for a long time, even before the no. 45 came along, and I do it despite him, not because of anything he's said. It's hard- I went to buy a simple squeegee at the hardware store, and could find only one made in USA, such a simple item. But that's the one I bought. We will suffer in the short term for boycotting Chinese goods, but it will teach us lessons in frugality, thrift, foreign trade, economics, and history. I detest this administration but I have tried to shop American for a long time. When I see the craft store Michael's for instance, I think the "Made in China" store. I never shop there. More of us need to see this truth, even democrats.
1
The US abuses our citizens. Most people can not afford to see a doctor when we are sick.
It might be useful for some of the commenters to read this article from this very newspaper just yesterday, for some context that it appears may be quite useful in filling gaps of their understanding of the issue:
Wary of China, Europe and Others Push Back on Foreign Takeovers
https://www.nytimes.com/2018/03/15/business/china-europe-canada-australi...®ion=rank&module=package&version=highlights&contentPlacement=13&pgtype=sectionfront
5
Tariffs have to be imposed on Chinese imports selectively.
Tariff on shoes, apparel don't make any sense. Shoe
manufacturing is not going to revive in Maine and
apparel somewhere down south. These imports will
switch to Vietnam, Bangladesh , Indonesia,etc.
Geopolitical implications are important too. With
these restrictions imposed Chinese co-operation
on international issues such as N Korea will diminish.
China may retaliate against Boeing, Apple,etc.
If China is little player in the world economy, imposing tariff may force their hands. However, waving a trade war against the No.2 economy will produce no winner, but two losers. If this action makes you feel "better", go for it but prepare for the fallout.
While corporate interests have the right to express their opinion, they should be seen for what they are. The U.S. Chamber of Commerce is in favor of offshoring; and opposed the ACA, action on climate change, and the DISCLOSE act (disclose foreign election spending. They're not on the side of ordinary citizens, who are awash in cheap clothes and tech gadgets but have little economic security. The corporate world loves selling cheap goods under the guise of "consumer" benefit, while they steal the labor of workers in the U.S. and abroad. If they're so worried about price increases, they can use their tax cut savings to keep the low, low prices rolling. What an idea. Too bad their concern for "consumers" led them to stock buybacks instead.
What citizens need are fair wages, retirement security, access to health care at all income levels, and a safe environment free of war weapons, collapsing bridges and tainted water. But you can't get there from here by putting the corporate bottom line first.
18
Finally, some common sense from the U.S. government on trade.
American became rich because we used tariffs to protect our markets until 1945. Without tariffs, our industry in the north would have never developed, due to cheaper and superior British goods. Since 1945, we have steadily lost our economic base. Visit the Midwest, and see what happens when you move a factory out of the United States. Products don't get cheaper in the long run. They get more expensive, because we lose the local supply chain.
The notion of "competitive advantage" taught by U.S. economists is a fiction. Look at South Korea. It was a backwater in 1965. Today, it is a major producer of steel and high tech goods. Why? Because it protected its markets and used industrial policy. The United States needs to do the same, if we want to remain a wealthy country.
Bravo to President Trump! We are finally getting some leadership that will benefit the people, and the nation! Long live President Trump!
63
Please tell me why most of Trump's products (just go to their website to see) are made in China and other ountries. Same for Ivanka's clothing lines.
he only thinks for himself
5
Been to Walmart or any other large retailers, lately? No? Then, you should. On the other hand, wait until you see the prices you’ll have to pay for your toys and then we’ll talk! Deal?
By the way, consumers all over the world have always paid those higher prices. I’m very curious as to how Americans will react to having to pay them as well.
3
Well said.
I live and work in China, conducting deals with very prominent Chinese companies, as well as American companies doing business in China. Without a doubt, most of them are working with the Chinese government in one form or another, including Fortune 500 organizations based in the USA. You simply have to if you want to survive. The government has it's hand in everything, especially when it relates to money, information, control, and power.
The myriad acquisitions of foreign entities by Chinese organizations should be considered as government acquisitions, the purchase of real estate outside of China in droves by Chinese citizens should be considered extensive money laundering by the corrupt elites/officials, and the rampant birth tourism should be considered soft colonization.
Wake up people and stop being so greedy that you fail to make rational changes before it's too late.
238
I live in Shanghai as well and have lived in China for 13 years. Everything JL says is correct. I applaud president Trump for finally trying to put the screws on the corrupt CCP.
13
Melbourne, and Australia mostly, gets this. My in laws just sold a pokey two bedroom one bath home in Melbourne (albeit on the train Line!!!) to Chinese investors for $2.3M. In 2004 during a minerals boom, I recommended selling Western Australia and the Northern Territories to China, distributing the money through life trusts to the citizens, doubling the payout to Aboriginals. They would today be a fully leisured society and their original people’s would have received justice.
1
YES!!! China is waging a neo-colonial war against all of North America. We must treat them as they are treated by their own government - because that's the only "rule of law" they understand!
1
Trump thinks he can just say, "You're fired" to China and China will just leave with it's tail between it's legs and exit the door. Wishful thinking! China will leave with a parting kick that will leave us stunned. They will impose steep tariffs on our goods. Common Americans are going to be hurt the most. They don't have the money to buy American and no cheap Chinese goods to buy or if they are present in the stores will be equally expensive. Bottom line - no money, no goods.
79
And that scenario was the exact reason that precipitated the Great Depression of 1929.
2
Winning what? Where would you rather live?
Well, do they really need all of this junk in the first place? Does this endless stream of cheap Chinese junk make you happy? Family and friends make you happy. Good health makes you happy. Helping others makes you happy.
Tomorrow, his daughter will cry and tell him that her business in China is ruined. He will say: "Honey, no worries, I will give President Xi a call. You see, I have to make the noise to fool those voters. President Xi understands and he will play alone. Everything can go back normal soon."
1
Let’s see the trump fools and the moron in chief get eaten alive by the Chinese....
1
Isn’t the isn’t that “Trade Auction”?
Hey folks you all need to read the Sun Tzu art of war it is use your opponent weakness against him. What is ours is greed and greed will bring down the US and we will have no one to blame but ourselves.
20
I thought the steel and aluminum tariffs were aimed at China's cheap-steel market saturation (on national security grounds, no less - koff koff).
Oh, no, wait ... that was Canada and Mexico. Okay, I've got it now.
1
I meant, "the EARLIER steel and aluminum ...." Second verse, same as the first!
The roosters come home to roost. Heard an interview with a soybean farmer on the radio. Apparently, China buys a huge amount of our soybeans. Farmers, who this guy admits put Trump into office, are about to be put out of business. Apparently, South American farmers are ready, willing and able to take the soybean business. So there.
1
We recently completed a deal to sell rice to the Chinese. This was in the making since George W Bush days. Wonder if China would renege. Some red states are going to be angry.
This president and ultra conservative houses are playing dangerous games with tariffs on China and the rest of the world. Their zeal for instant profit is like their idea of fixing whats wrong in our economy by handing over 10.5 billion dollars to stupidly rich Americans. China has been at this for decades, and now suddenly it's an emergency! Tariffs, as Mr. Donohue said, are would wipe out over a third of of the savings American families receive from doubling of the standard tax deductions. So mission accomplished...
59
And in the mean time, they are relaxing regulations on our banks to help the instant gratification crowd even more.
1
The US response to China’s trade war against it is absolutely necessary but has to be well thought out and carefully executed. I don’t think this administration is anywhere near up to this task, and I fear they will make a big mess of it.
49
I am not so worried about the trade imbalances, although they have decimated our businesses. Now since we are weakened, the Chinese are now moving bodies into America and establishing colonies everywhere. Colonies tend to grow. America can not afford to become a country of two billion people. America can not afford to become China. The immigration is the most dangerous and the salient issue.
1
Nonsense - where did you pull that 2 billion number from? I'd guess the same place Trump gets his fake numbers. Total population of the US is currently 323 million. By 2060 it is projected to be 416 million.
3
Good luck with that!
The last dynasty, the Qing, actually endured the worst trade deals ever, forced upon them at cannon mouth by the West (including America) in the 19th century.
They caused the fall of the Qing and the subsequent 100 years of misery that China has recently risen out of like a phoenix.
Wong Fei-hung carries a machine gun now.
China will not be bullied again.
So we can either accept that and work with a competitive China that understands mutual growth is better than economic isolation, or learn the hard way that Trade Wars are not easy to win. Because China is ready for war this time.
7
"Because China is ready for war this time."
Yes, and the vast Chinese diaspora and the millions of "students" sometimes seem to support China more than their adoptive countries, helping out with information, money and contacts. Food for thought, don;t you think?
2
No one is bullying China (btw you forget how it behaves towards its neighbors) but calling it out for it's unfair trade practices, failure to open it's economy as promised years ago.
2
No one is bullying China. Yet. But Trump promised to for his entire campaign.
So my point is that Trump is a lousy negotiator and will try to bully China, thinking he's the biggest rooster on the block and can make Xi bend to his demands.
China knows what it has gotten away with. But it is fully aware of its history, too. We should be as well, but you can be sure Trump doesn't. And if he thinks he can dictate demands or else, he will end up finding that trade wars are not good.
Trade restrictions on China will be an unmitigated disaster for the US.
China competes with the US now not just in socks and neckties, cigarette lighters and electric plugs, but is now making a play for the high tech sector. Alibaba has a market cap rivaling Microsoft and Cisco.
Where does the US make its money? In high tech and in passenger planes. But since the tariffs on steel and aluminum were announced, the stock of Boeing has been dropping like a rock. Why? Because Chinas objective in any trade war will be to win a part of the aircraft industry, and they can do it, because while the US was winding down its space program, China put a rover on the moon.
Should be blame Trump? Yes, he is the worst president in history. But it was liberals who brought Trump to power by ignoring the pleas of Americas poor for universal health care and jobs. The poor voted for somebody who at least heard their pain.
Meanwhile, Hillary Clinton told donors that she believed in open borders ignoring the cries of the poor that immigration was taking away low-skilled jobs from the poor.
What did Clinton focus on? Gloria Allreds campaign to shame powerful men, often without a trial, thereby undercutting constitutional protections.
The Chinese have used the much hated men to build skyscrapers in Pudong that make Manhattans buildings look like tinkertoys. China has built 12000 miles of high speed rail connecting major cities while the US lets its bridges fail.
China is winning.
278
China wins because it employs slave labour and tortures those who oppose the Beijing line. Winning? Really? You clearly don't understand how things work in certain parts of Asia.
25
Rover on the moon? The US put rovers on Mars how long ago? Liberals ignored poor as to health care? Who passed Obamacare and what did the Conservatives offer other than to end Obamacare and put how many off healthcare? Constitutional protections are there and nobody can take them away as long as the court doors are open. The Duke Lacrosse team allegations were found to be false as was the U of VA fraternity allegations from Rolling Stone. Many powerful men have been found to abuse women. That's why so many have left the stage of celebrity status and not fought the charges. Yes Weinstein did do it. Yes the Senator from MN did do it. China is winning? Their GDP is only 61% of the US GDP. If they were even close they wouldn't have their population working in poverty making Apple phones for dollars a day. Yeah their rail system is building up but we hardly use our rail system other then some freight, most of which travels by truck still. Our rail system is way less important. Our population chooses to travel by car. The US has 795 cars per 1000 people, More than 1 car per adult legally able to drive. China has 154 cars per 1000 people with their people still dying of air pollution at higher rate that ours. High speed rail is hardly need in the US. How many people in the Us haven't been on a train in a long time? Most don't travel from major cities to major cities, but from small places to other smaller places. Most don't use a train to work, shopping or visiting.
7
We don't have slave labors but we have welfare slaves. We built many jails to keep our folks, inside and outside the jail safe.
“Tariffs of $30 billion a year would wipe out over a third of the savings American families received from the doubling of the standard deduction in tax reform.”
That $1.50 a week could end up only being a single buck.
4
There is no question; China cheats in every way possible. They 'peg' their currency far below market value as compared to the US Dollar to make their exports cheap and imports to China expensive.
They subsidize their industries to a great extent.
There are all kinds of import restrictions and regulations,
They hack and steal innovative technologies, ignore patent law.
Finally they use indentured 'slave' labor, taking away the workers' ID and right to even leave the industrial complex.
207
Now read up on their history and find out why.
Begin with the Opium War.
12
If the past is no excuse in the US or Europe, neither is it one in China. China could be emerging as a huge, democratic and well developing country with a healthy respect for human rights and the individual. Istead, the corrupt Communist Party is allowing the quiet looting of the country in exchange for maintaining power and personal wealth.
But...Where did you get this? From your personal experiences or just read it somewhere?
Honestly, it is not so simple to export so much by just "cheating". There is a reason to become 2nd GDP in the world.
4
If its aimed at China today it will be implemented against Europe and Canada by tomorrow.
Tariffs are not the way to respond to Chinese actions. The right actions would be:
1) The TPP was designed to create a multinational trade partnership to collectively defend against China's economic aggression. Join it and strengthen it.
2) More government investment in the areas that were defined in "Made in China 2025".
3) Legislation to require that intellectual property transfers be properly valued in both economic and national security terms. IPTs would be prohibited if there was not a commensurate exchange. IPTs to China would also allow the US government to require patent licensure to all other American firms at no cost - allowing one company in China to receive intellectual property is the same as allowing all companies in China to receive intellectual property.
4) Broader education in America about the 19th century Opium Wars and their lasting effect on the perspective of China's leaders on economic warfare.
(Short summary: trade imbalance between China and Great Britain resulted in substantial silver flowing to China from England. To counteract this, England stated to sell opium to Chinese smugglers. After the Guangzhou local government seized the opium and destroyed it, the British government used military force to defeat China. China had to allow opium imports. In the Chinese perspective, this lead to the decline of their nation from which they are still recovering. And seeking domination over the West as revenge.)
9
Is the legacy of the Opium Wars one reason China does little to stop the flow of fentanyl into the United States. Most of the worlds production of it is in China.
1
We have so many enemies now, it is hard to keep up. So much for free trade and free markets. Free lunch, $1.
3
In a sane world -- one with professional diplomats factoring in -- the USA would be busy enlisting China (and its economic and military power) to help us dealing with Russia and North Korea!
But in the Trump Bizarro world, you insult and antagonize China -- along with Canada, Australia, and the Euros -- and the somehow wonder why the USA is isolated and is the ONE regarded as a rogue nation.
9
The communist party in China has absolutely zero intention to help US defeat Russia and North Korea. They only want to take economic advantage of US as long and as much as they can.
I'd rather we just hacked into China's infrastructure. No reason why I should have to pay more for the next Chinese made tool or computer I buy. On the other hand, three of my computers in the last couple of months have suddenly died and I'm seriously considering learning to go without them anymore, so maybe tariffs on China are okay too.
1
I'm shocked, shocked to think China might be cheating on trade. They cheat their own people, so why not us? They've not played in the rules for a long time but the Davos set has told us as they get richer the'll get more democratic. Perhaps Xi will appoint the Dali Lama as domestic tranquility minister.
31
Doesn't China own about 20% of the US debt?
1
Hun Quach is dead wrong. Americans have so much clothing that we could go on for years without having to buy another piece. Let's impose highest tariff allowed on all Chinese-made clothing and other products. We have to fight to end communism. They are not only illegitimate, they are cruel and inhumane.
16
There is virtually no chance that we will “end communism” any more than China will end capitalism.
Donald Trump has to be very careful about applying tariffs against China exports into the U.S.
These days, it’s likely China has much more influence over all the Asian markets and manufacturing than we do. They could apply sufficient pressure on low-cost manufacturing countries to the point they just might put Ivanka completely out of business, as well as shuttering some of Trump’s own businesses due to lack of cheap merchandise from overseas.
Where ever would Trump be able to get new Keep America Great caps for his campaign?
8
This doesn't look like a "strategy". It looks like a panicky move based on one sided shoddy analysis (in macroeconomic matters is there any other kind?) that could ultimately bring down the very international trade and investment system that has so benefited the US and China (not to mention the rest of the world) since WWII. Think long and hard about tearing things down out of fear of a new competitor who seems a bit too competitive/ambitious ("aim to dominate certain tech sectors" How dare they!) for this administration's tastes. It's not always all about the money. The post WWII stucture was not just set up to make money it was also set up to maintain peace in a world that had seen far too much war. Just as the European Union was designed to integrate Germany into the rest of Europe so that its economic integration with the continent would make it unthinkable for that country to yet again go to war with its European neighbours the international trading and investment system was designed to do the same on a global scale. And it pretty much succeeded. Peace is a necessary component of prosperity. Fearfully repeatedly treating China like an enemy will become a self-fulfilling policy. Good business for the military industrial complex but not so great for the rest of the world. China is a strategic competitor in some contexts and a necessary ally in many others including the environment and management of the global economy. Deal with China firmly on that basis.
23
But for the peace and prosperity framework to be effective long-term, all of the participants have to play by the rules for the most part. China is systematically gaming the system, and its government has and is engaging in cybercrime to steal intellectual property and technology. And there is something to be said for preventing them from gaining so much control over our economy that they could exert pressure militarily. I am no fan of Trump, and I'm highly dubious that he will do something smart, but I applaud the effort.
7
An ally in the "environment"? China has done far too little far too late in this area. The air in Bejing, (and other major cities) is toxic - and it does not just stay over Bejing. China still largely turns a blind eye to all industrial waste dumping. They shown no concern about the ocean, borders, or damage to native species. China continues to send money to the top of it's government using North Korean slave labor, and continue to send money to North Korea by using such labor (laborers are required to send their paychecks to Pyongyang/Kim regime). They have stolen every technology to which they gain access, (including constant pirating of films, and software). They have been rewarded for their bad behavior by more U.S. businesses setting up shop in China to take advantage of the lax environmental laws, and cheap labor. Just because a commerce structure was set in place 100 years ago - doesn't mean it needs to continue. I don't like Trump, but on this matter I agree - make the Chinese government accountable. Yes American consumers will pay more - tough - we should not be supporting the companies using China's slave labor anyway. We can buy less if necessary. I hope these tariffs are put in place finally, and quickly. All Americans should agree that the Chinese government is not a regime we want our dollars enriching. This is not a knock on the Chinese people, but on a government that largely gives those people no voice in any of these matters.
12
Too little too late. Wall Street made a ton off of the off shoring of American manufacturing. Today we would be fools to shut ourselves off from China's emerging consumer market.
China has been working hard to avoid confrontation. That has been its strategy through its rise. It has been keeping its head down but it looks like Trump is determined to confront her. Let's hope against hope that it is a well thought out plan with a fall back position and fail safe. I would be worried if am an exporter of Ag products because China can easily replace that. I would not worry that much if I am a company like Boeing
1
The US is NOT going to start a trade war with China. US companies of all sorts simply make too much money from buying "Made in China" merchandise. The consequences of any boycott or legislation America and the companies who are making gargantuan amounts of profits from buying Chinese would simply be disastrous.
5
With trump at the helm, you can guarantee it will be “disastrous.”
In general, I am no supporter of Donald Trump. But this is one of the best things (the only good thing) to come out of his presidency.
My fellow liberals, how could you not support sanctions against China? This is a country that has no free press. A country that steals American technology. A country that requires technology transfers for US companies to gain access to their markets.
For once, we are actually doing something about it.
136
Being liberal has nothing to do with this colossal mistake Trump engage in. Please read about China's history and it's subjections by the West and tell me that they will take this action passivly.
3
Hi Michael Bitter, I’m glad you responded to my post, now we can have an actual discussion about this.
Of course China won’t take it passively, but the US has been passively taking forced technology transfers for the past 20 years. Now we are actually doing something about it.
In Germany you have strong labor unions, and other social safety nets. This is something trump should be making improvements on here in the US, but at least tariffs against Chinese goods is a first step.
Again, I’m no fan of trump, but overall, this is a good thing for the US as a whole.
1
@Michael Bitter
Agree with the importance of history.
Current events are also important, especially since you're in Berlin.
Please read this, from yesterday's NYT:
https://www.nytimes.com/2018/03/15/business/china-europe-canada-australi...®ion=rank&module=package&version=highlights&contentPlacement=13&pgtype=sectionfront
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Trump gave China a gift by withdrawing from TPP and now he wants to fix it with a trade war. Sounds like a winning strategy.
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The problem with the TPP is that it gives Corporations the power to sue nation states that limit their ability to make profit. It puts corporate supremacy above national sovereignty. It deserved to be jettisoned.
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Exactly, Chuck, not to mention the SOPA-style anti-internet parts of the vile TPP that don't penalize China so much as emulate them.
But "intellectual property" is far more of a sham than "covfefe" could ever hope Conor Lamb is, and "theft" of it *by* China is best countered by simply ignoring the same claims *from* China—mi public domain es su public domain.
If such a cultural-freedom cold war kills the anti-fair-use YouTube "ContentID" and the MPAA and RIAA, even better!
I can read the comments already - we're going to be unfair to China, we will start a trade war, etc. When countries like Russia or China engage in unfair practices against us, cyber crimes, threaten our infrastructure systems, elections, whatever, it's all the fault of an admittedly bumbling administration only in place for 14 months; yet when that same administration tries to do something about any of it they, of course, get pilloried by the same critics for it.
Damned if we do, damned if we don't; and enemy nations like China and Russia love to watch us.
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"Doing something" is not the same as the doing the smart thing, the effective thing, the useful thing, or the right thing. Combating China's trade practices would be a lot easier if the US were not simultaneously picking a fight with Canada, Mexico, EU, and assorted other long-time allies and economic partners. It would be a whole lot easier if Trump had looked to fix TPP instead of just wrecking it (and insulting a lot of allies while doing so.) All of these are things Trump could have and still can wise up about before stirring up more trouble.
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citybumpkin,
Your comments are spot. Everyone has known for years that China has been taking advantage. The problem was our stupid, greedy elite only saw dollar signs( think of fearless leader) and did nothing to manage this problem. It may be that we have been backed into a corner that will be hard to get out of without causing pain to America in general and to the consumer in particular. I believe the way forward is to re-look at the TPP. That also appeared to be written in a way that will cause pain to the middle class. All the benefits of trade should not be flowing only to the financial elite of this country. If we are going to do 'something', we better all be on the same page.
A trade war with China will hurt American consumers far more than it will the Chinese. While we are shoveling coal and "proptecting" American steel, they are merrily taking the lead in artificial intelligence, renewable energy and other jobs of the future.
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Mr. Kennedy compared China to a bully that had stolen America’s lunch money. "You want to teach them a lesson,” he said. “But it’s not as simple as going up in the playground and punching them on the nose.”
True, but it’s a good start.
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Chinese Barriers to US investment, closed off industries, forced transfer of Western intellectual property, suppressed labour, human and environmental rights, Untold licences, tests, and certificates required to trip up Western exporters at every step - meanwhile state backed Chinese firms go on spending spree buying up strategic companies and assets overseas... nothing to see here, it’s only Free Trade In Action according theoretical economists..... 65% of US families with no savings, US middle class shrinking....
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Including esteemed Times columnist Paul Krugman, whose from his rosy, ivy covered towers can't see the forest for the trees . .
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Replace the word "Trump" by "Obama" and see how you feel about the same actions and the comments of officials.
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Stupid is stupid. You don’t see Obama’s name in front of these policies because he’s not.....stupid. Smart would be getting back to TPP and removing these ridiculous metal tariffs. How much Chinese steel transits through Canada? Zero??
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Chinese can buy whatever they want in America, but in China an American cannot buy anything larger than a dolls handkerchief. This infinitely tall Chinese tariff applies to people too. There have been millions and millions of Chinese-Americans but 0 American-Chinese. According to Eric Liu of
Harvard, of 941 person born in America who were given Chinese citizenship, 941 had a Chinese born mother and Chinese born father. And any American doing business in China is forced to have a Chinese partner whose number 1 job is to steal everything from the Americans and kick them back to the States them ASAP.
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Gee, let's see how many more countries we can alienate!
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