Wall Street is still trying to ignore the obvious -- that our economic policy is under the control of someone who knows nothing about economics, and whose feel-good strategy of lashing out whenever anyone doesn't do what he wants is beginning to do serious damage to the economy.
It looks like the Chinese may be deciding that Trump is so unreliable and erratic that the best course might be to wait him out and deal with a new and more trustworthy President in 2021.
In this regard, Trump and Moscow Mitch might want to re-think their election security position. If China starts meddling the way Russia did in 2016, we are going to have chaos in 2020 -- and that's just one of the many things China could do to make our lives miserable.
Meanwhile, the market seems to have caught on that the worst is yet to come, and stocks are falling out of bed. What the next months will bring, no one can say with any certainty.
6
Use surplus soybeans to feed the 65 million people in this country who are hungry.
Send food aid to the poor countries.
AOC wants us to eat soybeans instead of meat.
3
In the end it will be Trump's Trade War and Trump's Recession. With his senseless tweets, racist exhortations, bullying of allies, administration that is in disarray and leaderless, a recession will likely happen sooner rather than later. By the 2020 elections it will be time to get rid of America's most dangerous enemy.
5
It’s only a tax on Americans if (a) suppliers pass on the cost (many won’t) and (b) consumers choose to purchase. Many of these products are discretionary purchases and many can be bought from other countries.
Long term commercial disengagement must continue if China will not respect our interests and address our legitimate grievances. Patriotism is no anachronism.
2
No more boo hoo's,please, about higher prices due to Trump's China tariffs. I despise the man, but at least he has done one thing right: confront the predatory mercantile policies of China which has been "eating our lunch" ever since we mistakenly let them into the World Trade Organization 20 years ago.
Yes, there will be some pain and required readjustment in the US. But our supply chains can and must be re-oriented away from China, unless we are continually to feed the autocratic monster which threatens our security and world democratic ideology this century.
3
I guess that no one can get it through Trump’s thick skull that a tariff is paid by the importer/consumer, not the exporter
3
I just have to wonder, will Ivanka's business be effected? And what about the fact that trump still is in bed with many Chinese companies, including the state owned Chinese Bank.
3
if tariffs are a tax, wouldn't negative tariffs be a tax refund?
That China was unwilling to put into its laws what it was agreeing to, when it is a centrally managed economy, is a clear indication that China was NOT going to change its practices. The TPPA would have done more to move China towards a better trading relationship with us, but Trump is unable to comprehend anything that is not him versus them. His limited cognitive abilities limit what he considers. In truth, China is waging economic war against everyone else, the problem is complex, and tariffs are only one blunt weapon. We are shooting ourselves in the foot. With reciprocal tariffs are imposed, it will get worse. The business cycle always reasserts itself. Trump is hastening it.
8
Mr. Trump says: “Until such time as there is a deal, we’ll be taxing them." This is yet another flagrant lie, and accurate reporting would explicitly name it as such.
The tariffs imposed by Mr. Trump are out-and-out TAXES paid by consumers. Worse, they are are consumption taxes and therefore among the most REGRESSIVE taxes possible.
Those Americans who are already suffering in poverty pay the same TAX increase on virtually anything they buy as the uber wealthy. The poorest Americans therefore pay the HIGHEST tax rate for these new taxes.
So long as the mainstream media refuses to call out the actual reality of what Mr. Trump is doing, those who suffer the most will perpetuate their own pain through lack of information.
An accurate headline is "Trump says U.S. Will Raise Taxes On Chinese Goods".
8
I certainly hope NYT is looking in to the possible financial market manipulation of this president and his family and friends. While taxing the American middle class consumer with tariffs on the goods they buy. His apparent whip lashing of the market with his inconsistent “tweets” must be a great boost to not only his insatiable ego but also to his, his family’s and his friends bank accounts.
6
Could Trump’s trade policies be more destructive to our national interest? We need to see his tax records to see how much he is benefiting from his insider knowledge and ability to manipulate markets.
6
We can see how well Trump’s tariffs are working. How about an alternative? We can band together with 12 other nations (who control 40% of the world’s wealth), establish trade rules and then negotiate with China as a group. We can call the group the Trans-Pacific Partnership.........
8
"President Trump, frustrated by increasingly fruitless negotiations with China..."
Fruitless negotiations with foreign nations are Team Trump's stock in trade.
5
How about a tax on corporations that offshore our jobs?
11
We have a problem with China. A problem allowed to grow. If there is a reason for that and a blame, it is not just China. We too have a share in it.
When China opened its doors for business with the outside world, they offered two areas of incentives. Their cheap land and labor - two key components of factors of production. Our businesses, large and small, went into China to set up the manufacturing plants. Was this a prudent decision then, and how do we look at it today?
While our businesses have been greatly benefitted, China too has been benefited immensely, amassing much wealth, and to rank them the second largest economy, behind the US. China is now in a position to develop the country's infrastructure, military. Now expanding its influence, outside the country, and even seizing artificially created space in the South China Sea, to establish their military bases. China is found to have even stolen our artificial intelligence, and even manipulating the foreign exchange rate to benefit the country. This is all part of China's way of expanding themselves. What is China's exact motive in the long run?
We must not forget that China is the largest holder of US Treasury bonds (our creditor).
Mr. Trump is saying that China has taken us for a ride for too long. He may be right. But, our approach to correct that trend may not be the right one. We need a real Plan.
4
The Chinese drive to become the first worldwide economic power uses many unfair approaches - counterfeit, straight copy of forcing disclosure of proprietary engineering data. Western industries moved to China with the promise of winning the Chinese market while the products' technologies were stolen. Millions in Europe and US lost jobs. The process is the biggest transfer of wealth and technology from west to China.
THE SOLUTION: US government can provide direct and indirect incentives to the industries presently using China as a manufacturing base to manufacture in Central America. This could "kill more than two birds with one shot!" Cost of production would be at lower than in China and transportation cost and time would be winners. Two things would occur in parallel. The flux of migration would stop due to employment and earning opportunities. It would be safer and more secure to manufacture and truly own the production facilities in Central America than in China (where the Chinese government is partner). The other outcome from transferring production from China to Central America would be a weakening of China economy and forcing it to abide by WTO rules. If the process would be successful, Europe would follow and China threat to the economies of the west would fade. With less financial reserves, Chinese investment in Africa and Asia would become a trickle. These are much more efficient, although slower ways to settle the score with China!
6
@Peter
Your ideas are great in theory but....
Trump wants manufacturing to return to the USA.
He needs this chaos to get re-elected.
He will lead his "base" to the slaughter without them knowing it.
Wait 30 or 40 years for things to reverse the mess he's made.
6
A 17th century trade policy will get 17th century results. Thomas Mun's ideas were bad then and three hundred years of aging have not improved them. Aging vinegar will not produce wine.
Monetary policy will not bail out bad trade policy. Is there no one in the Administration that has at least read the Cliff Notes to The Wealth of Nations?
11
@e phillips
You are absolutely correct.
As a graduate in Scottish history from a Scottish university, I can safely say that most of the current mob who blithely cite Adam Smith and his great work, do not have a clue what he actually said because they have not actually read it. Too much work, even the Cliff notes. He was emphatic on two points; the proprietor’s first interest is to look after his workers, and the Invisible Hand, definitely needed some form of regulation.
1
Wars are wars and there is pain and suffering, but we were already IN A TRADE WAR with China. China has made huge structural barriers to US businesses, stolen intellectual property.
How would everyone feel if 100% of American Movies and TV were just straight up stolen, What if Chinese companies just copied everything our tech companies do. Now there are ways to fight but years of delays.
There is very little I like about Donald the Chump, but America being a world piggybank and world's policeman are two things we need to scale back.
Do we need China? Maybe my iPhone and Mac are both assembled there, but Malaysia used to be where much of Apple made much of it stuff.
But of course one major problem is Republicans admire how China suppresses its people.
5
That's just another lie. He isn't taxing China, he is taxing us.
Any tariff -- and certainly these -- are taxes on the American public. He knows we are not going to stop buying Chinese goods -- mainly for the reason that many of the things, if not most, are not made in the US any more. They have to come from China or some other Asian country. So, we will continue to buy them. Now, we are taxed for buying them -- probably to pay for his wall, or his giveaway to millionaires.
But the bottom line is, that this is just another Trump tax on the American people.
7
“Until such time as there is a deal, we’ll be taxing them,” Mr. Trump told reporters on the White House lawn."
Actually the American consumers will be paying that tax not China. China cheats but the fact is they provide cheap goods for Americans. We could be buying the same goods from the EU but at premium prices. Obviously President Xi knows he will be in office a long time, and he does not want to deal with an irritant President Trump. The irony is that all the racist stuff that Trump tweets, and all the division he created apparently won't take him down but his own foolish approach to trade with China will destroy him. China is in no hurry to budge. He's correct. Xi wants a Democrat in the White House while Russia wants Trump. Xi does not have to use social media tactics like the Russians do he will just stall trade talks which will heavily impact the U.S. economy. By the time we get to November 2020 the economy will be losing jobs (this morning in the news some financial companies already announced layoffs while outsourcing those jobs overseas -maybe to the Philippines?). As much as Trump's zombie supporters can see him doing no wrong and support all the nonsense he does once they begin getting hit hard in their pocketbooks they will abandon Trump, Then any of the 20 Democrats running will appear wiser.
5
The president and his cronies are playing the stock market for personal gain. The SEC should investigate — if not the SEC, then the House.
6
I disagree on tariffs but China has, and continues to try and cheat the economic system, wanting benefits and yet stealing proprietary knowledge in return.
China is not a victim country. It is not a country in need. It is the second largest economy in the world, soon to be the first. Greed isn't just something that happens in the United States, it is in China, it is world wide. That is why there are rules made, concepts for mutual benefit, such that trade wars and suffering do not happen.
I don't trust the Trump administration to navigate this correctly. And I also do not trust the Chinese government has the capacity to figure it out, either.
6
I don't pretend to fully understandthe intricacies of trade agreements, however I certainly can understand the frustration China must have dealing with Trump. Trump reminds me of when the character in "Hook" played by Robin Williams told his son "My word is my bond" his son replied "yeah, junk bonds".
5
Does it not seem like he deliberately waited to spring his latest assault with tariffs until right after the much ballyhooed rate cut by the Fed? When one looks at these kind of actions as direct manipulations of the economy isn't it quite possible that they are cause and effect moves to affect the market so certain people can make money in the short term? What say ye economists?
6
This is very disappointing. I have seen the tariffs levied first hand, and seen the checks and wire transfers that pay them. China does not pay the tariffs. Small and large businesses pay them, and ultimately we pay them when we buy products. The economy is fragile. It took a spike in gas prices and some fools in Wall Street to bring on the last recession. It won't take much to bring on the next one.
6
As strange as it may sound I take the view that the best way to win the trade war with China is for the US to balance its budget. When you consume more than you make, you have to make up the difference between the two by importing goods from elsewhere; i.e., China. If we then import less from China I think they will have to notice-and it won't have been done by tariffs. In this respect the Congress and Trump have both failed us. Personally, I find China's policy of forced transfer of technology of U.S. companies to Chinese companies & theft of intellectual property as unacceptable and I do my best to boycott products made in China.
3
So trump will need money to give to farmers( his base supporters) to make up for the ag products China is not buying. So trump will impose more tariffs on China to put money into the hands of those whom are suffering under the previous tariffs. Yes this man is a stable genius and the greatest businessman ever. How long before the dog finally catches its tail and the dog wags the tail which wags the dog. Yes-genius!
8
Impressions of the US are global.
Mr Trump is the face of America. including the reported fake Time Magazine cover.
Mr Trump today left another deal concerning non escalation of Russian missile increases, hard won.
Mr Trump down played three North Korean missile tests ranging Tokyo and Seoul although banned by the UN.
Mr Trump stated that US tariffs on Chinese goods would be paid by China not by US consumers.
Untrue.
Mr Trump via tweet today managed to lower the value of 451 pensions and lower stock markets when he suggested more tariffs.
Mr Trump shut down foreign criticism at diplomatic level exiting the competent UK ambassador, by tweet.
Americans can vote the rest of the world can't.
The US stock market today dropped 1.1 per cent, just a couple of tens of billions globally.
The base is becoming a feel good private club fed by banal platitudes resolving individuals of thinking and adulation of a mob that excludes what is happening on the stock market and world trade.
If I was an American which I am not I would be conflicted concerning who to vote for and exemplifies American values.
Bugs Bunny was direct cunning and had a great New York accent.
Daffy Duck was vain and indecisive seeking glory beyond his feathers.
The Road Runner was smart and resourceful.
Foreigners look at Trump and think of Daffy Duck.
He needs a hair cut like global markets are enduring.
5
We are both are retired, bought a small house so we could travel. Within last six years we have visited several west European countries. We started with the south: Italy, Spain and Greece through the central Europe and this year Scandinavia. We stayed with Airbnb which helps with my diet and makes our trips more affordable. What we have noticed that none of the countries that we visited was or is so dependable on China’s products as the US. All home appliances in the places that we stayed all made in Europe. In some way they can afford it. If someone asks a question “why?” because the Europeans know that Chinese products don’t last. They are not worth the money. All Americans know it too. If we continue being dependent on Chinese products we make our richest people wealthier and everybody else (90%) poorer. In addition we continue building up a regime that in future could dominate the world. Is President Trump right about the tariffs? He is not only right but he does something very difficult that his predecessors were too afraid to initiate.
5
Except tariffs are not going to get toasters built in the US....
The Corporations control this game; not the government. And surely not bozo the clown in the WH.
4
I am surprised you didn't get an ear full from the Europeans about what an idiot our president is because that has been my experience when speaking to non-Americans.
As for appliances - I have a made in America fridge, not hard to find but like Euro brands, it most likely has parts made in different countries around the world.
Us imports about half a trillion dollars worth of goods from China but that is small compared to our own output of 21 trillion dollars. Consumer spending makes up 68 percent of the economy and of that about 10 percent is durable goods. much of those durables are made in North America.
So what is the beef with China - not that we import too much but that they are an opaque country with a big consumer base but a poor one. US businesses want access to those consumers to get richer because the market at home is fully developed and doesn't grow at 6 or more percent like China's does.
1
Trumps trade tweet yesterday had an odd similarity to when he told Chuck and Nancy that he would take responsibility for the govt shut down. You knew the minute he said it that it would not work out well for him and us.
9
This most communist of American presidents continues his assault on American values. Not content with raising massive taxes on Americans via his underhanded tariffs, nor with the socialist practice of diverting tax funds to bail out those suffering from his economic incompetence, he also expects the Chinese state to dictate to the Chinese people what they will eat!
How, except by state dictate, does Trump expect the Chinese to buy more American farm products? If ordinary Chinese do not want to buy US products, whether because they are over-priced, of inferior quality, or some combination of the two, then there will be no demand for those products, unless the state interferes to force citizens to eat what the US president dictates that they must. Is the Donald next going to dictate what AMerican citizens may and may not eat? What clothes they may wear? How they travel around?
China is supposed to be the communist nation, not the US. We expect the Chinese premier to be a despotic dictator, not the US president.
10
Boris Johnson was headed for the title of Week's Most Financially Ruinous Head of State, but our man Trump pulled it out at the end. Maduro was a distant third.
15
At this rate the U.S. economy will look exactly like a bankrupt casino in no time. GET HIM OUT!
11
So much winning by the whiner ...
Defaulting on the Iran agreement has blossomed into so much peace with that country and there's unprecedented stability in the middle east region.
North Korea has backed away from nuclear testing and destroyed all their weapons.
NAFTA has been so greatly improved and speedily ratified by the house.
The tax cut for the 1% has been quite successful, so much so that the Fed has needed to cut interest rates for the 1st time in years.
Obamacare has been repealed and replaced. It's been so easy.
Up is down, black is white. (Putin is winning)
15
@Rebel in Disguise
Playing devil's advocate on the "glass is half empty" post.
* Iran has had to cut their support for terrorist groups like Hezbollah and Hamas
* North Korea is not testing any long range missiles like those tested during Obama Administration
* New South Korean trade deal has been agreed.
* New NAFTA has been agreed by Canada and Mexico.
* In the longest economic expansion in history with the high growth in manufacturing jobs and low unemployment.
How do you know all these things?
Just for the record our manufacturing index as a percent of GDP is the same it was under Obama.
4
Trump started the trade war for perceived business reasons such as protecting IP and addressing the trade imbalance, but there are better reasons for not trading with China:
* Oppression of democracy in Hong Kong,
* Constant military threats against Taiwan
* Subjugation of the Uyghurs,
* Oppression of Christianity and other minority religions
* Extensive build-up of offensive military capabilities and escalation in the South Pacific.
Smell the coffee (or tea in my case). Xi is determined to turn China into a hostile totalitarian state. The US and EU need to pivot their policy accordingly.
5
@Pat Capitalism is always about profit, the companies will still be willing to trade with China if they can maximize their profit.
3
The headline should read: “Trump hikes taxes on consumers”. That’s what tariffs do on imports.
18
Why can't Congress stop Trump from wrecking the US economy and that of the whole world?
7
The only president who could turn a week with an interest rate cut into a down week for the market. His ego always overtakes his competence.
17
“We thought we had a deal with China three months ago, but sadly, China decided to re-negotiate the deal prior to signing,” Mr. Trump said on Twitter.
As is often the case, the Tweet is inaccurate, misleading, a typical Trumpism.
First, Trump believed,not thought he had a deal (the first is merely a matter of convincing yourself, the second requires mental acumen.)
Second, why would anyone sign anything with Trump given his track record of abrogating signed deals (Climate, Iran) and not living up to other ones (stiffing contractors all his life)?
And, third, why should China care if Trump taxes the American consumer to partially refill the Treasury after his mammoth tax cut for the rich?
13
'Do sanctions work?' Search this question on your computer fora good history of sanctions. It appears they don't work very well, if at all.
4
"As always, Trump is far more interested in appearances he can sell to his base than about doing something meaningful to help make America great again."
America was great long before trump became our so-called president but trump made the United States a global pariah. It will take a strong, unified Democratic Party to make America great again.
10
Be careful Mr. President. All China has to do is wait until October 1st and declare that NO products will be shipped to the United States until the first of the year, thereby cancelling Christmas.
8
Pinocchio keeps saying the Chinese are paying these tariffs. It’s hard to tell if he is lying or just totally oblivious to the fact that this is essentially a tax on the American consumer.
10
Trade is a two way street.
However,China is a one street player.
Dumping goods into the US.
Tariffs may or may not effect China.
But it will bring much needed sense to the Consumers at home.
Discern & buy is the Mantra of President Trump.
If this tariff war continues,Consumers will become wiser.
The tariff war will end,but the wisdom garnered by the Consumers ain’t gonna go.
That Junk is bad for health & wealth.
2
Apparently the d weather is hurting my
internet reception.
It’s been an unusual dry summer, but rain is
forecast for the next several days.
Anyhow, whether our semi elderly potus believes that
climate changes are realities, it makes sense that
the flows of migrants from south to north are an effect
of extremely unusual hurtful weather a la warming
Earth.
What does climate change have to do with
international trade?
I’ll guess much.
So, playing chicken re negotiations perhaps if not
definitely, also has weather/climate trends implications.
Of course I am guessing, and do not know.
I am of the rumor/report of King Coal is
needed, and the media could be ignoring
the controversy.
If such includes the NYT, then semi terrific
that I am scooping a d coal rumor.
Rumor if not report: China needs our so-called
“cleaner anthracite,” and this fascinates and
saddens.
1
"Beijing and Washington harden their positions..."
Me: Trump negotiates by kicks to the head with hobnail boots, which worked very well with contractors.
"...to cement certain changes into Chinese law..."
Me: The PRC will change its laws for Trump soon as Trump will add amendments to the US Constitution to suit China's needs.
"... in the hopes that a Democrat would win the White House..."
Me: Nope, several flawed conclusions there. Fed is right to reduce benchmark rate.
"We thought we had a deal with China three months ago..."
Me: No deal until signed, sealed and delivered. Even then, Trump can declare a no deal, just ask the Iranians about the JCPOA deal.
"..Trump took to Twitter to berate China..."
Me: Pfft
"..demonstrated that he would not be deterred from using more tariffs as his negotiating tool of choice..."
Me: Yup, worked well with Mexico, Honduras, Nicaragua etc
3
How long will it take before the world has had enough and starts ignoring Trump, finding trade workarounds, like using cryptocurrencies. If Trump continues this unsinkable trade war, others will bypass him and us. Thanks, Trump!
7
Trump is trying to prove that he can tank the economy, retain his political support, and win the election. I don’t believe that shooting the country on 5th Avenue is going to work for him.
7
I think perhaps the SEC needs to look into what is being bought and sold by whom when Trump tweets. You can almost time the recent plunges to the minute.
11
Trump said that trade wars are easy to win but no one asked him his definition of "win."
It doesn't matter if the American consumer or farmer gets hurt or the economy tanks. As long as Trump gets to look tough and his cult gets to chant "send them back!" then he's won. That's all that matters.
7
Whatever the populism friven electoral compulsions Trump's repeated resort to tariff threats amid ongoing trade war with China, that too under the global economic slowdown, is a sure recipe for economic ruin back home, specially for the US agriculture, consumers, and the business.
4
China is betting the American people will turn on Trump. It is critical we beat China on trade. The have taken all 200 years of western technology in the last three decades and used it to counterfeit products and block their markets from the US. This is the most economic devastation the world has ever seen. Trump has not united our allies against China but are they joining are efforts to open China’s markets. It has been a one way street. Biden will have in a heartbeat. We need Sanders or Warren to turn corporate welfare against China and curtail consumerism. Consumerism and overpopulation are destroying the plant. A bankrupt US will help the planet survive. That is where we are heading thanks to China.
1
@Kristen Nope, wrong conclusion. PRC is not interested in whether Americans will turn on Trump b/c Americans channel Trump.
Many wrong conclusions here b/c Americans believe the US is the center of the universe for the PRC.
4
I just want to know how to get on Trump's friend list so I can go short in the market like he and all his friends and family are doing every time he torpedoes Wall Street with trade war talk and tariffs. Has anyone in Congress thought about looking into trades his family is making and how they coincide with Trump's shenanigans?
8
“Until such time as there’s a deal, we’ll be taxing them,” Trump says? We U.S. citizens are “them”. He’s taxing us more. We will have to pay more for just about everything thanks to our ‘for the people’ president. Does his base not understand this?
13
The result of Trump's tariffs on our economy will resemble the wreckage of a kindergartner given the keys to a bulldozer in rush-hour traffic.
The problem is that it will hit the areas of the country that voted for the world's worst negotiator hardest and as it should, but it will not leave the rest of us unscathed.
9
Had the American investors, business class and inventors and builders of computer and telecom equipment not literally rushed into China in the 90's, leaving factories and workers in the rest of the world to die from lack of bsiness, the Chinese would never have been in the enviable position of manufacturing all of the Wests desirable doodads inside their borders. One of the first demands I recall the eveil Han making was to demand of US aircraft manufacturers, that they give over special techniques for the manufacture and design of aircraft , which were previously closely held property of the West. By allowing the Chinese to make such demands-refusing to continue to let foreigners use China as a manufacturing haven without a quid pro quo-we might not be having such problem in which we try and get the eveil empire to give back what our billionaire class gave them frely, in the first plca. To prove the concept-I still have an almost ancient apple Mac that has a sign on the back, proudly declaring it was "Made IN the USA". The people to blame for all this are greedy Americans who preferred to stiff US workers rather then deny Chinese. A short term solution if ever there was one.
4
How about an article that clearly shows how and where common goods are made? Many Americans (including our president) clearly have no understanding of how international trade is like a gigantic ball of string with nations completely intertwined in each other's global supply lines.
For example, Crayola Crayons is proud to proclaim that their crayons, made in Pennsylvania, are an all-American product. But does the factory only buy paraffin wax and pigments that are also made in the USA? China is one of world's largest exporters of paraffin, and China makes many chemical pigments, so it wouldn't surprise me if Crayola purchased some of the ingredients for its crayons from China or another international source. What about the parts for the machines that make the crayons? Are those also made locally?
Almost any industry is likely to get some raw materials from China because China has built up an incredible infrastructure for obtaining and processing such material. Even if the bulk of a product is assembled here in the U.S., the basic elements often must get sourced from somewhere outside of our nation.
Let's see some graphics that vividly show the nature of today's global supply chain. Maybe that will help U.S. citizens make better voting decisions, and our leaders make better trade negotiations in the future.
13
This week, while his negotiating team was in Shanghai, negotiating a deal with China, Trump said that negotiations with China would be fruitless, because the Chinese could not be trusted to keep their word. He also said that the Chinese were waiting out his Presidency but said in the next sentence that they were dying to make a deal because they were hurting so much.
And so, I’m not surprised that the talks have failed.
8
Not being an economist, I don’t know why tariffs are not called what they essentially are, taxes. Trump is raising taxes on products Americans buy. Business will pass these taxes on to consumers by raising prices.
How do his supporters not understand this?
17
@T Herlinghetti You are right and many of us have said that Trump's tariffs are highly regressive, indirect taxes on consumers in the US.
Now we wait for the inflationary impact, and that's one good reason why the Fed lowered the benchmark rate prophylactically.
But hey, it's going to be interesting. Right?
3
@Arthur Y Chan
They may be indirect for consumers but they certainly are direct for any business that imports Chinese products like some of the components in this tablet, tools at Harbor Freight, or an enormous number of products at retailers like WalMart, Target, and so forth.
Are Trump ties still made in China? How about Ivanka’s line of products.? If so, are they subject to tariffs? And yes, please read that last sentence as dripping with sarcasm.
3
You can't help admiring Trump tactics, if you not thinking in terms of national interest, or global economy for that matter, that is. However this trade war ends or not, there is no scenario under which Trump can lose.
His tough stance on China energizes his political base. He can go to his MAGA rally and claim to have done everything he promised to do during his 2016 campaign.
If by some luck the Chinese concede, however small that concession might be, he could even pick up votes from some undecided voters for having stood up against unfair practices by the Chinese.
Along the way, his trade-related tweets move the market in predictable ways. Remember what happened during Brexit vote count when Nigel Farage prematurely "conceded" defeat? All it takes for someone to benefit personally now is to be able to time Trump's market moving tweets accurately. The only difference is that Nigel Farage could concede bogus defeat only once but Trump can keep on tweeting for as long as the trade war continues.
3
@Keyratee How clever. If the economy goes into recession, Trump wins! I don’t think so.
2
@Doug Lowenthal. Trump supporters WANT to believe him, and Trump will find an excuse to blame the Democrats for any downturns. Fox News will “independently” verify Trump’s story line, and the show will go on.
1
@Pete Trump’s base is not big enough to reelect him. With the economy headed towards or in recession come the election, all of those swing voters including farmers on the skids and people still waiting for their jobs to come back may not be so supportive.
1
I wonder if Trump dragged out the trade war knowing it is hurting his rural and urban middle and upper class base because he calculated an ongoing conflict with China is better for his chance. Sure it will costs him votes among the rural and investor class but American historically supports the president in time of conflict. By continuously playing the conflict with China game and have leftist media promotes anti-China sentiment, maybe he will gain more votes from the left than he lost from his base.
The leftist media have done a great job promoting anti-China sentiment among the left by running extremely biased stories. Maybe quite a few people that would vote for Dems will decide Trump is the only guy that can “put China in its place” and keep him in White House.
Anti-China sentiment usually rises during election years and Dems candidates will start taking jingoistic positions near primary. Trump can easily out jingoist any candidate if he have an ongoing conflict.
1
When I see Trump’s tweets roiling the markets I often wonder if any of his family members or friends are trading with prior knowledge. Advance knowledge of each tweet could be used to make tens of millions very easily.
16
Thus far 3 years of Trump tariffs have shown little change from China, and China's retaliation has made no difference to Trump. The tariffs so far are therefore small. May be large tariffs can do the trick, we can know that if Trump is there long enough.
2
Trump got himself in between a rock and a hard place. His two bases are rural communities and urban middle and upper class. China is not buying farm goods to pressure his rural and he is trying to retaliate but that’s hurting urban middle and upper class’ investment.
The market is at least 10-15% lower than if he didn’t started the trade war and that eats into many middle and upper class’ holding. For people that’s retiring, it literally means a 10-15% reduction of retirement income outside of Social Security.
This doesn’t even taking into account the possibility the trade war leads to a global recession. An entirely man-made and unnecessary recession. If that happened, it won’t just be farmers and investors hurting.
Trump should have just take the deal reached with the Chinese a few months back. He got like 80% what he asked for but no, he wanted a total and great victory. He tacked on a bunch of demands the Chinese couldn’t possibly agreed to for them violate China’s sovereignty and breaks from WTO rules.
10
Moscow Trump promised a gazillion new manufacturing jobs through his magical deal making & trade policies. The reality is just the opposite- Trump’s trade wars with all other countries have completely destabilized American manufacturers & farmers. Thank God Moscow Trump inherited a thriving economy from Obama.
12
There is no tariff level that will bring manufacturing back from China to the US. Tariffs on goods from China will cause supply chains to shift to other low cost countries.
China is winning in the agricultural commodities game by forcing US farmers to stockpile harvested crops, creating a global surplus and driving down prices.
But the mature US market is not really such a key long term play for China. The growth markets of Asia, Africa and South America are part of the longer term exchange for China, trading commodities for finished goods, transported on Chinese built infrastructure.
This would be an excellent time for building long term multinational trading systems to build next generation goods like electric vehicles, renewable energy production and storage, and other advanced manufacturing.
Just as these next generation decisions are being made, US based companies are viewing the US as a risky manufacturing location, because of uncertainties around tariffs, high wages and health care costs paid by employers and other disadvantages.
Unfortunately, the current US leader is enamored of a pre-WWI mercantilism Great Power world view. Some may remember how that worked out for the imperial powers of that time.
Business leaders have tried to make their case to the Trump Administration. Now they will move their factories.
12
I remember when those in charge didn't seem to be making the best decisions.
I remember being horrified about the wars.
I remember not agreeing with economic or social policy.
I don't remember thinking that the people pulling the strings and actually making things happen were the nadir of evil.
I just thought they were a bit evil, but could be somewhat contained by long standing institutions.
I think I was self deluded, because this is where we ended up, without even a modesty curtain.
Those were the good old days when we only had the 'moderately evil'.
1
Trump's usual MO - you are bad so I am going to be worse. If the point of the negotiations is to get China to buy more American products, he is going about it the wrong way. When I am in a store and the sales person begins giving me the hard sell, I leave.
By the way if Chinese companies start raising their prices, the result should the gov't of China stop controlling their currency, who benefits - Chinese companies. Who pays - importing countries and their consumers.
As to intellectual property - American companies would love to license their patented products. Trump is not going to change with his trade war what was already happening - China was beginning to understand the benefits of honoring patent law for their own innovations. Market forces take time to play out.
Meanwhile, Trump is doing nothing to build innovation, improve infrastructure, education, business opportunities or American prestige. All he does is play military dictator and rabble rouser draining America of positive emotional energy.
12
Canadians, by and large, don't warm up to President Trump too much, however, He is the anti-politico hero in many ways. He is getting some important stuff done in foreign relations, and I applaud his approach to China on trade issues. And he has
shown that the American Military is the top dog in global afairs.
Honestly, I see no serious contenders to the presidency in 2020
from the democrat side.
3
Read some posts on Twitter and the concensus seems to be that this is how he gets back at the Fed chairman for no lowering interest rates as much as Trump wanted. So he tanks the market and further slows the economy, forcing a further tax cut. It doesn't matter that it's not a sound economic policy or that people get hurt, it's all about showing everyone that he's in charge. Added bonus is that next year he can drop the tariffs, the market will go up and he can campaign on the fact that the economy is great. Who cares what the collateral damage is.
11
@Bill He’s not getting another tax cut with a Democratic House. Powell should realize that he can’t counter Trump’s disastrous trade wars with interest rate cuts and stop while he still has something to fight the impending recession.
2
@Doug Lowenthal Sorry, meant rate cut not tax cut. Powell actually said that the tariffs were damaging the economy, and then the orange clown did it again.
1
"We thought we had a deal with China three months ago, but sadly, China decided to re-negotiate the deal prior to signing,” Mr Trump said.
So unfair. Mr. Trump would never decide to re-negotiate a deal...would he?
Oh, wait..,
13
Wake up folks! Why would the market manipulator in chief drop this twitter tariff bombshell in the middle of the trading day during a rebound rally? To profit from it of course. Somewhere, somebody is going long or short the market in cahoots with Trump to make billions for his family. He's conditioned Wall Street to take these highly manipulative inside actions as background noise. No other President has ever been allowed to act this impulsively with information that causes the market to spike of fall with a thumb stroke. Remember, he thinks he's just being smart! Investigate!
22
If you really want effective trade results, you don't put tariffs on China. What you do is put traiffs on products that American companies ship to China for manufacture that they sell here.
Purpose: make it cheaper to produce it here.
Yes, I know -- there is a domestic workforce problem. But isn't that what you want to solve? If not, stop whistling Dixie.
7
Who knew winning trade wars could be so easy? When this victory lap is over what else would be easy? Maybe another endless war in the Middle East? Or a military takeover of Venezuela?
6
tax and spend Republican nationalists, with socialist market manipulation programs to reengineer the free market
you know what I think. let in immigrants and pay them low enough wages to compete the fair way
1
@julius
The average manufacturing employee, working in China, makes just under $600.00 a month. They work, on average, forty-seven hours a week.
Asking anyone in the U.S. to accept that kind of salary is inhumane. That’s not enough money to pay for basic expenses, and the hours of the work week would make it hard to get a second job.
Immigrants are not indentured servants, nor should they ever be.
2
Trump is merely displaying his bully tendencies which he used in business. He's too dumb to gasp that the world of trade and international relations and economics is different.
6
Why I am I so suspicious that all of this talk by Trump that a deal is near with China on one day and then off the next, is really not just a scheme to manipulate the market for personal gain? Obviously he can't be directly involved, but who is to say he doesn't send advance signals to a third party who makes kick backs to Trump via some elaborate scheme? After all, Donald has a past history of profiting from market manipulation, and the temptation as President to drive the market up and down for personal gain may be just too much for the man to resist.
8
A silver lining? Perhaps China will aim to interfere in our elections against Trump, and thus counteract Russia interference. In general, the Chinese are far more ambitious and intelligent than the Russians.
4
If we look at globalism and free trade the relationship with China has been a win win for both economies. It stands to reason that the tariffs will be a lose/lose but the USA will lose most bigly.
While both societies see huge growth in corruption and a consolidation of wealth and power China's middle class is not being hollowed out but seems to continue to grow.
2
Reality Check is glass half fulll or half empty. Trade between china an usa isnt helping our planet any for next generation . No reason either country cant make what it consumes an waste. Would solve alot problems with transporting it across oceans an would create millions of jobs in usa that by the way would pay taxs so our government wont have to borrow money.
@jerry lee
The problem is that corporations don't want to deal with the higher wages, benefits, and regulations of the US. So they will not come back to the US. They are going country by country to find the cheapest way to make their goods while selling at the largest profit.
It's why sneakers that cost a couple of dollars to make in china, sell for a couple hundred dollars in the US.
Profit is king.They are not going to bring back jobs to the US until the wages of the US are as low as elsewhere and all the regulations have been destroyed.
Which is why trump strikes down all the regulations and worker protections that he can. And why the republicans want to get rid of the min wage.
Do all that and have americans working for 2 $ a day and it will come back.
5
Are the US businesses and the consumers here at home, are not those at the receiving end of these so called Tariffs? As a result of the Tariffs, are we the consumers not paying for the price increase? However, Mr. Trump keeps saying, China has to pay for the increased Tariffs.
If we have a problem with China, why do we not switch our purchases to other locations? Similarly, why do we not seek substitute locations for our exports of the agricultural products? When do we bring back those manufacturing plants to US soil?
4
Perhaps Trump could be more polished in his approach to trade with the dictatorial, oppressive Chinese government that steals our technology, imprisons ethnic groups, wages war on its own populace, and is threatening its neighbors militarily. We already tried Bush’s approach (effete) and Obama’s approach (demure), and that only emboldened China’s leaders. Trump may be a loose cannon — a bull in a china shop — but his policies have been the only thing that has given China pause for eighteen years.
5
@NorthernVirginia
Really? it has not stopped the chinese at all. They have just switched to other markets. Soybeans that american farmers used to export are now coming from Brazil. Exports from china are going to europe.
They are still oppressing people, going after Hong Kong, etc and trump's policies only hurt american farmers and others.
3
@Skip Moreland wrote: "... it has not stopped the chinese at all."
Really?
China scrambles to stem manufacturing exodus as 50 companies leave
https://asia.nikkei.com/Economy/Trade-war/China-scrambles-to-stem-manufacturing-exodus-as-50-companies-leave
1
For any world leaders, opinion writers and commentators who cheer Trump in bashing China, remember this. If somehow Trump wins this trade war on China with its huge economy, think what will happen when he triumphantly turn his eyes on you with your smaller economy.
Whatever excuse you may have to think that China deserves to be clobbered, remember also that Hitler, too, had his excuses when he went after one nation after another at the start of WW2.
Think carefully who you cheer.
7
The Chinese will ride a trade war out Even if the US were to ban trade with China. Given that such prospect is unlikely, Americans will pay more for Chinese products.
Chinese have manpower and productivity. These two strengths are competitive advantages because neither can be countered overnight or in a decade. Their leadership invest the gains from such advantages into nation building efforts. They also have become ambitious about their role in the world affairs.
I think the Chinese may have had a hand in dragging US into a trade war with a strategy to prolong it. It is simply a war they can afford to get into and win while weakening US.
Chinese are playing a long game.
I witnessed a graduation ceremony at the University of Melbourne last week. More than 90% of the post graduate degrees awarded on that day were Asians. Three years ago, it was the same story at UNSW. In fact, University of Melbourne has a linguist at the ceremony to ensure that the Asian names are called out correctly and highlights that fact. This trend is nothing new. Chinese students have been educated in the premier institutions of the western world for decades. Let’s think for a minute about sources of funds for such education came from. The Chinese continue to invest in another competitive factor , i.e. literacy.
Manpower, Productivity and Literacy are components of Chinese strategy.
Tariff is US’s counter strategy to ensure its place as superpower?
Doesn’t make sense.
15
The FOMC should be ashamed, they have been reduced to bus boys cleaning up Trump's mess. The real economic toll of Trump's incompetence is being masked by the Fed's warrantless rate cut.
4
Didn’t Trump just manipulate our currency by threatening the chairmen of the federal reserve? The tariffs are taxes, Trump tax Trump tax Trump tax. Lock him up.
10
Trumps sticks it to the lower and middle class once again which include his supporters.
Evidence that their attraction to Trump is about his white supremacist, racist and bigoted values more than him vacuuming out their wallets.
The top 1% laughing all the way to the bank.
12
The Trans-Pacific Partnership would have been capable of applying maximum multi-national pressure on China to clean up its act. But the TPP had Obama's fingerprints on it, so of course Trump had to kill it.
7
@Richard Schumacher I was depressed when we dropped our trump card against China, the TPP.
2
But, but, but... I just read that he is going to end AIDS and cure childhood cancer “very shortly”. C’mon... give credit where credit is due.
7
Did Steve Bannon have any short positions that benefited from this latest Trump slump? Bannon's planned alt-right gladiator school recently lost its lease in Italy and could probably use a cash infusion.
2
Socialist factories along your border – tax incentives for manufacturing as long as necessities are provided to inmates, who could be foreign migrants allowed to live and work in these industrial areas as well as entertainment (on perhaps the lines of a military base), might be considered of interest – The workers would have local residential status; be unable to be employed elsewhere; and may request citizenship after a period. Might just be a movie for H
Why is it possible for one person to unilaterally impose something as momentous as a tariff? And why is this ludicrous power entrusted to a clown with notoriously bad judgment and numerous conflicts of interest?
15
I don't understand this insane distortion of power either, but am sure the Republicans will strain to correct it once they are out of power.
6
Trump is a LOSER!
He's also a welfare queen, because he's got huge numbers of American farmers receiving $ Billions in regular welfare payments!
Trump handed Pacific trade to China by pulling the US out of the TPP (China was not a signatory to the TPP and the US would have become THE dominant trade partner in the entire Pacific.)
Trump made this HUGE gift to China, showed America and the world what a fool he is, and he's continuing to act in irresponsible and extremely foolish ways. Petty jealously of President Obama is the reason for much of it.
The Chinese know that Trump will be DESPERATE for a deal before the 2020 election. They can hold out and watch Trump embrace a deal that's bad for America just so he improve his election chances, or they can even hold out until a Democrat takes over the White House in 2021.
Trump will cut a bad deal with Chia before the election if he can, and then declare victory. He's such a huge liar anyway, so he'll have no trouble making a terrible deal for American and then claiming victory over the Chinese. He'll even wax passionate about what a wonderful negotiator he is. It will be absolutely disgusting -- as he always is.
America will NEVER get back all of China's business. They've already moved on to other suppliers and will not come back. Why should China reward America after what it's currently putting the Chinese people through once they're established new relationships with suppliers in other countries?
9
Oh come on....the Chinese are just playing the stupid Trump like everyone else does....to the detriment of the American people, as per usual....
7
Trump took Canada through the wringer during a negotiation that yielded NAFTA 2. It is essentially the same as the original NAFTA.
Looking back, it seems to have been a whole lot of theatrics. Still, as a Canadian who followed closely the negotiations, I found it to be very consuming.
I think some Trump supporters, will soon come to the same realization: Trump is very consuming for hardly anything in return!
7
"China decided to re-negotiate the deal prior to signing". Our President is complaining in front of the entire world. About what? This Tweet-plaining is about him getting 'Trumped' a couple of months ago.
The relevant "Sadly"? Our President thinks that another Tweet-outing-of-China as bogeyman is still a genius negotiation move. He thinks that the Republican businesses and families caught in the middle are emotionally made whole by his Tweet-splanations. Undoubtedly, he also thinks that he's helping negotiations by inserting his personal touch: his in-Tweet-pretation of China Trade War Defcon 3.
Can't wait for tomorrow and for Larry Kudlow of Sycophants United to begin Round One of translations.
And in a day or so, America will blessed with more genius by way of the extremely presidential Tweet-double down.
2
The Chinese want to stall till the next election, however Trump needs a big win before the next election. This is a recipe for disaster, as we get closer to November 2020 Trump will get more and more desperate. I think a 25% tariff is extremely likely, Trump's ego will not allow him to back down no matter what the cost. Buckle up America, there's a bumpy ride ahead.
5
I'd love to watch the mental gymnastics the Trumplicans will jump through to explain how they rationalize free markets with tariffs.
5
Trump is hurting America with these steps. Our ports rely on these imports. Each port in America earns money from the ships and volume of imports. As the volume and containers go down, we literally lose jobs. While a port may have 100 government workers running it, the companies that use the ports, pay fees, and bring in items range in the tens of thousands. With less imports, unemployment increases among those private sector jobs,
4
Why are they so good to factories? I think labor may be cheap? The greatest nation on earth – your US – can make good use of migrant laborers who are non-American?
Can you, Mr. Trump, stimulate Americans to make cheap products in the United States of America? Perhaps create special industrisl zones along the Southern border where inexpensive migrant labor would be utilized (but prevented from moving out of the zone into America proper), providing tax incentives.
1
*industrial zones – an s?
This could be a sort of economic 'slavery,' in no way improper.
1
They would be 'special' – in that they would be located in United States territory but their inmates (or temporary laborers with annual contracts potentially renewable) would be no citizens with no political rights as regards the United States – but the respective cultures (subject to American standards of pluralism) shall be shown respect.
1
Sigh! Said it before. I’ll say it again — certifiably insane.
7
I'm beginning to understand why Trump filed bankruptcy so many times. He is out of his league and stupid to boot. This will hurt consumers but apparently he doesn't care. Does he just like to get his name in the newspapers. This will not end well. The Electoral College will have to be demolished before we end up with a Supreme Leader. I wish he would work for us for a change. But that seems impossible for him. This will not end well. Doesn't he have anyone intelligent to advise him? Apparently not.
7
@Sharon Conway Well, Conway, Ivanka, Miller and Jared.
It is sooooooo disturbing.
2
@Sharon Conway
Why would a stable genius need someone intelligent to advise him? I mean, they're merely intelligent. He’s a genius. The smartest genius ever. No one (except, maybe, Mr. Ed) has a brain biglier than his. It’s yuge. The biggest brain you’ve ever seen.
3
China is not backing down here. The Chinese economy will suffer, but Xi can refer back to the century of humiliation and say "not on my watch".
7
Well, so much for the salutary effects of the Fed’s rate cut. That didn’t last long.
5
Great —. More (indirect) taxes on American consumers.
Thank you Mr President
5
Trump is unilaterally raising the national sales/VAT tax (aka tariff). Raising taxes requires an act of congress.
How is this being allowed?
8
Today a whole lot of other countries are approaching China to fill the markets out products currently do.
Suicide.
7
@Jay your essay should be required reading. History without histrionics.
4
@Newfie yeah but Americans want that fifth TV cheap.
1
Trump tweets something stupid and the market goes down. Trump will soon tweet something else stupid and the market will go up. Think the honorable Mr. Trump has an outside guy handling his money? A guy who Trump tells beforehand what his tweets will be and when? Oh yeah, I'm sure Trump is making loads of cash while tweeting about the markets and trade. Above the law, again. What a scam artist. And yet he still finds time in his busy schedule to tweet racist stuff. What a wonderful human being.
6
@Matt we need more people like you who understand macroeconomics.
No, we need more Americans who understand that China is at war with us, with the full intention of colonizing the entire world.
6
If that is the case, we have the wrong person leading us in battle..
4
That may be, but if you have a knowledge base to draw on, please use it to help in some way.
Complaining about every single thing that is wrong with this administration is important, I agree, but so is acknowledging that China fully intends to take over the world and that they consider this economic warfare, and WWIII.
Disentanglement is imperative.
2
When will congress (house) take back their authority regarding tariffs ? The President is only allowed to lay tariffs in matters of national security . Congressional reps. have to challenge Trump's usurpation of their powers , the executive's use of tariffs is restricted by law to matters of national security .
6
Trump: " Until such time as there is a deal, we will be taxing them."
Them is us!
7
Why is the sale of fentanyl to the United States by China up to negotiation?
5
Tell a lie. Pick a fight. Blame the other guy. Deny. Tell a lie. Pick a fight. Blame the other guy. Tell a lie. Pick a fight. Blame the other
guy. Tell a lie. Pick a fight. Blame the other guy. Deny.................
11
@Mark
Yep. Keep myself the lead cable news story ... keep myself on the front page.
4
Tariffs are taxes.
12
Yes. Paid by the US consumer. Each and every time.
3
President Trump always talks a lot, doesn't do much, and changes his focus on various subjects fast. Tomorrow he probably will twitter on another subject or country. It is like watching daily soap opera with unpredictability, surprise, and drama. It certainly keeps the news media busy but with no benefit to this country. I wonder what has happened to the plan of a one trillion dollars infrastructure fund now?
13
@Usok It transmuted into 1 trillion dollar deficit.
9
Obviously, Trump is a pathetic poker player.
Fact: China is a one-party serial dictatorship.
Fact: Trump is running for re-election.
Fact: For the moment, China has less to lose than the U.S. and would love to see Trump out of office.
Result I: China can do whatever they want, and that does not include yielding to Trump.
Result II: Midwest farmers finally recognize Trump for the consummate idiot he is and leave him in droves, thereby electing Joe Biden.
9
Are you sure the Chinese or any of our enemies want to see Trump out of office? He’s wrecking our country..
2
@Jgrauw
China cannot afford a ruined U.S. economy. We will both go down together.
1
Trump will bludgeon us all with his stupid tariffs through the winter. Come spring, he will declare a thaw in the negotiations, announce a victory, and lift his stupid tariffs in time to give the economy a pre-election boost. This is his game. Create a problem, then appear to solve it. Seems obvious, but people keep buying it. Not so stupid, huh?
12
It’s appalling that the article relies entirely on
Trump’s words about the trade dispute. Trump is a flagrant liar who fabricates whatever makes him look good. NYT has documented his numerous lies and delusions. It is therefore horrific for the NYT to parrot his words, and those of his supporters. China has a different explanation of the failed talks. You owe it to the readers to present the Chinese side.
18
The only silver lining of a potential pre-election recession would be to help tank Trump.
8
At least until Americans break free from the blinding narrative that China is anything but a brutal, vile dictatorship.
3
Higher tariffs = higher inflation = Fed lowers rates
Simple as that. And who benefits from lower rates? Businesses that are over their heads in debt.
And we wonder why he won’t release his tax returns.
5
@JM
"Businesses that are over their heads in debt"...
Like Trump, for example.
2
Interesting Trump is using Tariffs without rebuke from the Republicans. This is a Democrat move. It shows they have no backbone anymore.
4
@John
There appears to be bipartisan support to counter Chinese trade malevolence.
5
We pay the tariffs!
We pay the tariffs!
We pay the tariffs!
Keep repeating this until you find any reason for the tariffs - that benefits America.
You will be repeating this for a long time...
12
When one’s country is at war, sacrifices must be made and one’s countrymen must be galvanized to remove the vulnerabilities that have been accumulating whilst one was not paying attention... to what’s behind the veil of PR.
3
Everything was fine when Clinton left and W took over. W assaulted the economy needlessly for years until it collapsed into the totally unnecessary Great Recession. Everything was fine when Obama left office and Trimp took over. Trimp began disrupting ties with all major trading partners needlessly, using, among other things the astonishingly boorish and retrograde tool of tariffs, and if this Trimp nonsense continues much longer the economy will collapse from it. Then a Dem will hopefully save us again, only to be repaid by the ingratitude of fools who will elect yet another clueless, entitled rich boy to mess everything up again.
16
Is everyone enjoying the voyage with Captain Queeg at the helm ?
25
6 times bankrupt eh?
Stocks are down I see...
Shall we make it double or nothing?
15
Like all matters of dispute, both sides are at fault. While pundits and ordinary people can't stop offering their various solutions, what we need to take into account is the real possibility that some politicians are taking advantage of this chaos at our expense. Never let politicians fool you by their splash speeches. In other words, another four-year term by Trump is very likely if Americans continue to believe in Trump's message. On the Chinese side, hoping the Chinese to give up on the communism regime is a far-fetched dream in the short term. What all this leaves us is a protracted long period of slow growth in the next five years at the minimum. Keep your money in safe places.
4
So that was what Powell's rate cut was all about - softening the anticipated blow of Trump's new tariffs on the stock market. Independent FOMC my foot!
14
China needs to be forced to open up their economy and purchase more US goods and services. Unless they are cornered into making concessions, they will keep accumulating wealth and use it to increase their military power, with the sole aim of challenging US military supremacy.
11
Finally.
Someone else gets it.
8
No one should be forced to buy anyone’s products. Supposedly, in capitalism, customers WANT to buy the best products from the best of the competing sellers.
Though I remember a relative from the USSR coming to visit us back in the late 1980s. What amazed him most about our local mall and grocery store was equally the quality and amount of consumer goods, AND the fact that you were not forced to buy anything. You could choose what to buy, and if to buy anything at all.
9
Oh my. Force China to do what suits the US?
Keep on dreaming my friend, while you betray the very instinct you will stridently deny if it should be pointed out to you.
China is nobody's pushover.
We will see who blinks first. Perhaps neither will. I await the implosion.
14
“Until such time as there is a deal, we’ll be taxing them,” Mr. Trump told reporters on the White House lawn.
No, the Chinese will simply raise the price of their goods by whatever amount they're taxed. You'll be taxing the American consumer. What a joke this guy is. He's out of his league.
15
We shouldn't worry about Impeachment. Trump will bring about his end. Racism, high tariffs, recession, etc. He is going to be his own end.
10
But we pay the price.
7
There are other issues that need looking at as well. This article is well worth a read and straight from a USA Admirals mouth at a forum on Chinese military build up. The article is titled: How the U.S. Could Lose a War With China (by Kathy Gilsinan)
https://www.theatlantic.com/politics/archive/2019/07/china-us-war/594793/?utm_source=msn
2
"The United States has been pushing China to open its markets to American businesses, respect American intellectual property, buy more American agricultural products and stop manipulating its currency."
---
And what is Trump offering in exchange? He is basically telling them that if they do the things listed above, he will stop taxing Americans (because that's what his tariffs are).
There won't be a deal.
7
Thank you for fixing the headline to say Trump will hit China with more tariffs, not the U.S.
Saying "U.S." makes it sound like there is even a majority consensus with this stupid trade war.
6
"Trade wars are easy to win"....everybody knows that.
4
I read an article that said that when Britian exits Brexit it is looking for a free trade agreement with the USA and that, plus signing a trade deal with New Zealand will be their first priority. Nothing stays the same and new trade deals are formed. China is doing more trade deals with Russia and has stopped importing from NZ and is getting all it's logs from Russia now. Logs used to be NZ's third biggest export earnings. When Britian exits Brexit they won't be under the control of the Germans who've profited emensely from the EU.
5
@CK They'll be under control of Russians.
They already have their major media, real estate, luxury goods, antiques markets, football clubs and more dominated or owned by Russian Oligarchy. Enjoy Trump's clone, the Brexit Architect PM with Russian name and roots.
A no deal Brexit will wreck their economy and this “genius” leading the US will eventually do the same. Are Russian logs cheaper than New Zealand logs? Welcome to capitalism!
1
Trump escalates belligerence, ignorance, and USA, USA, USA!
What game is this? Trade, immigration, politics?
Whateva.
2
This is going to hammer Christmas orders pretty hard; thus, it will have an outsized reaction as compared to previous tariffs. Once the current administration has left office, I expect the US will rejoin the TPP as a more rational means of combatting Chinese influence.
2
And give foreign corporations the power to sue the US government?
Do we know everything about the failed TPP yet?
4
@Lily
Just an FYI: It’s not the ”failed” TPP, it's the TPP from which Trump removed the U.S.
Sort of like, it’s not the ”failing” New York Times, it's the New York Times Trump doesn't like.
But these days, I suppose, it's permissible to use the word fail (or a variant thereof) to describe anything with which you disagree or for which you hold contempt. Sort of like, he’s the failing Donald Trump.
2
The new Pan Pacific agreement sign by the original countries minus the US is doing fine and accomplishing what it was created for, fend off China. Trump terminated an agreement that opened markets for US exporters for the simple reason that it was Obama’s baby..
2
Does the tariff money go into the Treasury? Offset expenses? Is this a regressive tax on the poor and middle class? IMO if we have tariffs it is imperative that we bring back the 10% luxury tax which Bill Clinton got rid of. It won't hurt anyone if the super rich pay 1 million in tax on the 10 million dollar painting purchased at auction or 40 million on the 400 million yacht or plane. (woth much more than 100$ on a 500$ washing machine.
Fair is fair.
4
@AuntieMame
Maybe it will be returned to Social Security and Medicare...as long as we're dreaming.
3
Companies need to get out of China. trade with all communist countries should be minimal.
6
Willful ignorance is not a virtue.
5
@bruce Good idea. International Conglomerate called Trump Org should lead the way and show us how it's done.
1
@bruce. You MAGA hat is made in China. So are Trump ties etc. SMH
If this is market manipulation (and it sure looks, walks and quacks like a duck), the SEC needs to get involved.
They may not be able to indict a sitting president, but with everything else added, it’s got to be enough to start impeachment proceedings.
And whom did he call in the 24 hours between the Fed’s interest rate cut and his tariff tweets? They aren’t protected from prosecution.
9
Tough time to be a farmer ... unlike always.
1
The rural parts of my state enthusiastically voted for Trump. It's hard to have sympathy for the Iowa farmers who chose Trump and now have to suffer the consequences.
4
Let's be perfectly clear here--there is ZERO evidence to support the idea that when we impose a tariff on imported goods--no matter what nation made those goods--that the tariff is paid by the exporting nation--be it China, France or Younamestan.
The tariff is paid by the importer--and collected when the goods reach a U.S. port of entry--whether the cost is eaten by the original importer--or passed along down the distribution--doesn't alter the fact that the money is paid in U.S. dollars and comes out of American pockets.
If in Trump's ill-informed and often addled brain tells him that tariffs are "good" taxes--and that the "billions" in revenue the tariffs produce are helping the U.S. government's balance sheet--you would be wise to recognize that you and every other average Joe out there are helping erase the flood of red ink unleashed by Trump's Fat Cat Tax Act of 2017 unleashed--by paying somewhere between 10% and 25% more for your running shoes, laptop and cellphone.
5
China is getting involved in the infighting amongst university students in Auckland NZ as well. Some Hong Kongians were protesting peacefully at a Democratic university in Auckland and some guys got angry and started shouting over the protesters and pushed one girl to the ground. And in todays NZ newspaper I see that China has approved of what the Chinese students did and have said publicly they approve. (Official Chinese government approval)
China needs to butt out of what happens in a Democracy as people are allowed to protest. NZ is not Hong Kong.
5
China feels its natural place is to rule the entire world.
We must disentangle from this brutal dictatorship now. Our lives and our democracy depend on it.
5
Protests and counter protests in a freer country than the one that harbors Charlottesville.
State approval?
Charlottesville had presidential approval.
2
Then we agree we must replace our current president. That’s not necessarily the point made regarding this article though.
1
Great, here comes another two to three weeks at work utterly wasted while out team rolls out new tariffs to an already confused and exasperated customer base. You know what I won't be doing? My actual job. Productivity for the win!
8
So. Much. Winning.
He was right I'm soo tired of all this winning!
9
China is building up their military a greater rate than before in their history. The US President took billions from his military to build his wall. All we hear especially on the Fox News outlet how brilliant Trump is how the US is going "gangbusters" and things are going so well in the US. When I read a little while ago Trump said he would subsidy the soy farmers again while the tariffs are still in place my immediate thought is where is all this money coming from? Must be from interest free borrowings otherwise there is going to be a payback time that is growing a big daily rate. If there is a tariff on goods you must all be paying more for so many items which is fine for the people who don't have to count every dollar they spend but not everyone is that lucky. The flow on from what happens in the US will engulf the whole world and it is not looking good.
6
Our national debt is over 22 Trillion dollars and climbing..
1
Don't worry... they're easy to win.
6
"Both sides seem increasingly confident they can wait out the trade war indefinitely."
----
It's the "Art of War" versus "The Art of the Deal."
On the one hand you have highly intelligent engineers who have studied all of their options, and the other hand you have a five time bankrupt man-child who ignores his advisors and makes decisions by temper tantrum.
12
China is an international trade outlaw. They need us more than we need them. When it is a trade war, its a bit like a war. People are supposed to be willing to sacrifice at least a bit in wartime.
A 10 percent tariff is nothing. It is imposed on the wholesale bulk value of a commodity as the shipping container lands on the dock. Even if it were totally passed through, it might raise a retail price by under 5 percent.
6
Really? The increase in prices is passed onto the consumer which equates to a tax on us for which we can’t write off.
6
@RM The US and other western countries were priced out of the manufacturing industries by demands for higher wages and conditions. Working shorter hours for more money and all the conditions imposed on the companies priced goods beyond the reach of many. Goods are now mostly considered a throw away item for as long as they last all made overseas sometimes in a less than ideal situation for the workers but they are no longer made in our countries so there is no option but to buy imports mainly from China. If a container holds 100 washing machines the value of the container will be based on the 100 machines and the 10% tariff will be on each one and that is the cost that will be passed on plus transport and wage and other costs. Under 5% you are dreaming.
5
@Bev
What do you think the wholesale value is of a washing machine that retails for $700? Before mark ups of distributors, middle men, transporters and truckers, and retailers? suspect its about $300 per machine. Meaning a 10 percent tariff would add $30 to the retail price if it were 100 percent passed through. 30 divided by 700 equals 4.29 percent.
4
trump’s dopey proclamation resulting in China eventually declaring margin call, destroying U.S. Economy.
3
I shorted the S&P on Tuesday and am already up 50%. Somehow in my bones I knew that Trump was going to do something to tank the economy. He is nothing if not true to form. When you can make money by shorting the market, something is headed south. Sadly, there is no escape from Trump. I feel like the dog who chews off his own leg to get out of being chained up to this complete incompetent idiot.
12
@William O. Beeman
The next time you have that feeling in your bones, would you let the rest of us know?
I don't so much want to short the market as maybe get out of the market. (And get to the store to buy what I need before the taxes (oops-tariffs) go up again.
4
If what you're doing is failing - and flabbergasting corporations, small businesses and the Federal Reserve - just do more of it?
Is that all you got Mr. President?
3
Any one familiar with the reasons why Japan launched the sneak attack on Pearl Harbor?
4
@Billy P
Yes. It had to do with both desiring the same territory in the pacific. Japan and the US were trying to expand their empire in the same area for decades. It was a cold war where each tried to gain control of territories. It was a war that was inevitable. When the Japanese fleet went into hiding, the US knew they were going to attack. The US knew the Japanese were going to attack, but didn't know where.
Unlike Japan, China has areas like africa and s. america to expand into, which they have been doing. China is using economy to grow their empire. Their physical force is not as strong.
Of course all of that could change if they are pushed harder.
American consumers and business will pay this expense that is added to imports from China. Chinese product manufacturing will decline somewhat. But, China and Xi will not be humiliated before the world. If Xi bent over for Trump he would be weakened in the eyes of the Chinese Politburo and the CCCP. Xi will hold fast and wait for next year's election. Xi knows that China exports a greater % than it should to the U.S., and that eventually it had to be addressed anyway. The only possible winner from Trump's approach is Trump himself, so that he can brag to his base.
5
You need to go write this at Fox or Breitbart
His base will never read that here.
4
Congratulations to our President for his courage and will to challenge the status quo.
6
Is this Trump negotiation skill? Seems very unskillful.
13
You must be kidding. Bullies aren't courageous they just puff and strut. SOP for most adolescent men.
13
@Justice: Of course when everything you buy gets a lot more expensive, you will find a way to blame the Democrats.
15
Can someone please remove this man before he drives the US economy off the cliff. Unlike past administrations, this one has neither the ability or the competency to react to a global meltdown. This POTUS could very well end the US Dollar as the benchmark world currency and sink this nation into a banking and liquidity crisis that will exceed that of the Great Depression.
10
You’d almost think the person behind such decisions was a raging incompetent. That, or working for another paymaster.
23
Well sure he is. Now that "his" Fed decreased interest rates the hit won't be felt, least not by anyone that matters to (NYT apparently objects to calling the president names).
2
Did trump tell President Xi Jinping "you have to speak differently."
like he told a Chinese reporter with an accent who tries to ask him a question that "you have to speak differently."
3
But Trump tweeted "Trade wars are good, and easy to win!" so rest assured everything will be peachy.
6
“Until such time as there is a deal, we’ll be taxing them"
These tariffs are a TAX on Americans. Doesn't Trump even understand that? Does he think His Base is deceived by his lies? He has to go.
5
Dear Mr Trump, perhaps it's not the best idea to tax our tea?
4
I believe that Trump’s economic incompetence is leading the way to a US economic implosion and the next major recession before the end of next year.
10
President Stupid is not punishing China, he's punishing this country.
He thinks that putting tariffs on goods from China will be paid for by China, just like the wall will be paid for by Mexico.
If it wasn't for lawyers, Trump wouldn't even exist.
9
The tone of this article suggests the Americans should be fearful. Looks like the Chinese have the upper hand. Long live a president for life Xi Jinping.
2
@Pepperman China's 5000 years old.
And holds lots and lots of American debt.
Like Donald would say " trillions of billions of gazillions of American debt".
China couldn't care less about Donald's peacocking and cheek blowing.
10
@Pepperman
Many Americans already are fearful and have been for almost three years - just not of the Chinese.
2
Word on the web today was that Trump's sons, told by dad that this Chinese tariff thing was coming, shorted the market big time knowing there was be a major pullback coming and cleaning up handily. We will never know if it's true but it sure seems true to form.
18
@Independent Voter
The fix is in.
4
Terrible negotiator frustrated by lack of progress with his negotiations, threatens to take destructive action to make negotiations worse unless the negotiations get better.
In a nutshell, that’s our President. Good grief.
8
trump is playing with fire when he recklessly blacklists and imposes tariffs willy nilly. He is blind to the plain fact that pulling out of the TPP isolated the US and gave China an open field to play in. Any decline in China GDP due to trump ill-conceived shenanigans, they'll more than make up elsewhere. Playing "I'm a tough guy" reckless trading games like this with america’s largest debtor nation with considerable global financial clout is perilous stuff. Already Chinese investment in the US has plummeted by nearly 90 percent since trump took office (notice how FOX news ignores these things). As these developments mount a consequential disastrous effect on the economy at some point is imminent and will be well beyond the grasp of the stable genius to manage let alone control.
7
People are all concerned about our farmers being hurt. Fact: most farms are owned by big corporations with a small minority true family farms. No one has discussed this for years except of course the progressives but even so many years ago. now we have both the left and centrists worried about corporate farms. Well too bad. i have no sympathy whatsoever, for they have destroyed family farms these past 25-30 years. funny, all of a sudden the left forgets this... criticize Trump for whatever he does, not in this case.. let the corporate farms close down, then maybe real families will buy them at auction. the we can discuss things.
9
@lou andrews
Might I suggest you read the comments more carefully? The only farms and farmers the commenters are concerned for are the independent family farms. No one is crying in their milk for the corporations.
5
@lou andrews
The only farms that are in danger are the small farmers, not the corps. It isn't worry about the corps but the small farmers who go year by year trying to stay alive.
Corporate farms are not in any danger.
And no progressive is trying to protect corp farming at all. We are in fact against them because of their farming practices.
And yes the corporate farms have been destroying the small farmers for decades. Just like any corporation, small businesses suffer from them. It is why walmart and others have destroyed the mom and pop businesses in small towns and elsewhere.
It is the republicans who have been helping those corporations destroy the small business through tax cuts and laws.
We need to stop the subsidizing the corporations where they pay almost no taxes. Like Amazon who paid zero taxes. And that is just one example.
We’ve seen how Trump’s tough guy approach works. Now let’s examine an alternative where 12 countries, representing 40% of the world economy, band together and open negotiations with China. We could call the coalition the Trans-Pacific Partnership (TPP).......
9
Trump is the Manchurian Candidate. Make China great again.
4
So easy to win these trade wars! What a joke this guy is!
5
Xi is playing Trump like a fiddle. Trump can't get a trade deal and loses his cool and threatens China with tariffs. Xi sits back and provokes Trump with tariffs. Trump gets more frustrated and fires back with more tariffs and the downward spiral continues until Nov 2020 when the US is in a severe economic downturn and voters toss Trump out of office.
8
I don't think this has anything to do with trade, China, or trade with China. I think Trump is practicing. I think he is seeing just what impact he as the president can have on the market by tweeting.
Why is he doing this? So he can play the stock market (and the Fed) like a fiddle during the campaign. He's already giving apocalyptic warnings that if a Democrat wins, the economy will crash. I think he's trying to figure out how to make that happen, and I think he'll try to do it, just out of spite when he loses.
And make no mistake - in 2020, Trump is going to lose, and his loss will be big; really big.
5
What will it take for Americans to realize that WE -- not China -- are paying the tariff taxes through higher prices? Trump rhymes with Chump.
10
It's coming folks, another $16 billion bailout for farmers!!! So once again Blue States will have to bail out Red States for the decisions of a President elected by the Red States. Repeated bailouts like this are clear indicators that there's something amiss. It's enough that consumer prices are rising to pay for trump tariffs, but that taxpayers take a hit to pay for bailouts makes it now a triple-whammy.
22
And meanwhile Trump and Republicans complain about “socialism” and “government handouts”.
7
Trump’s punitive tariff-based approach to China is not grounded in a reasoned long-range assessment of how a trade war will ultimately affect the US. Rather, it is an angry unstatesmanlike reactive path based on half-truths. Unfortunately, in this damaging conflict, no help can be sought from members of Trump’s cabinet or family and friends since they are unable or unwilling to rein him in. As for Trump, he is incapable of executing any plan other than exhibiting a visceral reaction based on whatever he picks up from cable news and Fox and Friends and any tweets he receives from conspiracy theorists. This man cannot even function as a normal responsible citizen let alone act as a president. It is by now a cliché that he is a national disgrace. By the time he is finished he will have emptied the coffers of sympathy and goodwill that America’s friends had traditionally extended us. Yes, impeachment is the only option to prevent our being dragged down a catastrophic path insofar as it concerns the relationship between the US and most of the rest of the world.
7
If Trump had the wisdom to put TPP in place he would be in a much more favorable position with regard to negotiations with China.
7
Absolutely correct. He dug himself a huge hole right from the start with a moronic move that had no rational explanation. How have US consumers or business benefitted? They haven’t. Meanwhile, exporters lost access to big markets and we lost being part of a united front against Chinese mercantilism. The man is an imbecile
8
Schumer supports this. Why are we bothering to have an election?
1
We also thought you had a deal with North Korea.
Maybe you only have a deal with Russia?
12
Some of our voters elected a fool for president who thinks bullying works.
He won't stop.
He is the child and the Chinese are the wise old men. The latter not good but that is what we face.
Here comes a recession, for the fool will never think he is wrong.
9
If Trump's assets were in a blind trust where they belong, at least we could assume that this action and others like it, although seriously misguided, are done in good faith. However, we can't. He still has complete control over his holdings. Worse yet he will not release his tax returns. So, we have no idea where he's investing his money and what are the sources of his income. The idea he's manipulating the markets for personal gain doesn't seem so far fetched.
27
Manufacturing accounts for only 10% of employees in the US. This number will be even decreasing and it's totally impossible to stop importing goods. Fortunately, however, we pay only $20 to China for a $100 pair of Nike shoes. 10% of $20 is just $2. Don't worry.
4
Yes, something undeniably needs to be done about China's predatory trading practices. However, I don't understand Trump's adamancy about not going to the WTO to get a nationally recognized resolution.
7
"Trump Says U.S. Will Hit China With More Tariffs" Again the schoolyard bully (having all the big kids with baseball bats behind him) ventures forth with The Hitting.
7
Trump is a man interested in domination who thrives on instant gratification. The Chinese are interested in domination but have learned to delay gratification in order to win the long game.
8
Come on New York Times! He's not frustrated by "fruitless negotiations with China". He's frustrated because the media attention for the last two days has been on the Democratic debates. This narcissist child-man cannot survive a day without all attention being on him. That's the truth. We will never see a trade deal with China because that's not how a TV show, er, Trump presidency keeps going.
10
NONE OF THIS MATTERS TO HIM. The Presidency has truly become reality tv and all that matters is the president gets all the audience attention. The topics don't matter and certainly do not matter to him. He doe NOT CARE about China or tariffs, Iran's nuclear weapons, North Korean missile tests, and definitely not Russian interference in 50 states' elections. What matters to him is DISRUPTION for the sake of disruption and BEING THE CENTER OF ATTENTION. ..... It's just a game to him - - - entertainment. The ONLY THINGS THAT MATTER his sick obsession with President Obama. Tariffs? Just a tool in his "keep me on the front page" tool box.
14
US Pres manipulates markets so his friends can short sell and buy cheap. ?
13
Sad but necessary
1
The president is doing what should have been done ten years or more ago. It wasn’t done because we had a succession of corporate stooges in the White House: Clinton, Bush and Obama. All lovers of laissez faire economics and believers in the “invisible hand”. In the meantime, China taxed its own people (i.e. imposed tariffs on imports) to success. Apparently, those taxes didn’t keep it from raising millions out of poverty and growing at double-digit rates for decades. Meanwhile, millions of good jobs went to China where they created prosperity. What did Americans get? Millions of low-wage service sector jobs, stagnant wages, massive inequality, dried up towns and hulking, falling-down buildings. The cheap consumer goods we get do not make up for what we lost. Not by a long shot.
10
I agree that China is a bad actor. But who do you think is getting hurt at this point. If this is a war of attrition, it is mutually assured destruction
3
@Aaron James Browne
Yeah this but it was Nixon and Regan you have to thank for this so keep voting for the same kind of people who threw your state and your manufacturing sector under the bus in the first place.
4
Aaron James Browne sums it up.
1
"Trade wars are easy to win." Here's how:
(1) Slap tariffs on tons of items. Congress will do nothing to curtail this.
(2) Fail to negotiate with any real strategy.
(3) Promise not to impose more tariffs until earnest efforts are made toward an agreement: "Mr. Trump had agreed in June not to impose more tariffs after meeting with the Chinese president, Xi Jinping..."
(4) Renege on said promise. Call tariffs on imports a "tax on China."
(5) Hold MAGA rallies in red states, brag about said tariffs, and blame the problem on Hillary Clinton, Obama, and "liberals."
(6) Savor audience approval as a "win."
9
Trump continues to tell the Big Lie that China pays these tariffs. Sorry, Donald, your base of true believers may buy that nonsense but American importers and businesses pay tariffs at port of entry that eventually get passed along to American consumers.
Our President appears hellbent on slowing the world and U.S. economies prior to the 2020 election. That suits me fine if it helps show Donald Trump the door.
6
You want to hurt Americans economically to punish China.
1
In his comments while departing the White House, Trump even went so far as to say, “For many years, China has been taking money out by the hundreds of billions of dollars a year. We have rebuilt China. So now it's time that we change things around. If they don't want to trade with us anymore, that would be fine with me. We'd save a lot of money.”
That’s on tape. How about that, Trump-supporting farmers? Your guy is fine with never trading with China, ever. Are you fine with that?
18
Don't trade with China at all. They invaded Tibet and forcibly assimilated the population. They incarcerated one million people in re-education camps in Xinjiang. They threaten to invade Taiwan and annex it. They claim the entire South China Sea as their sovereign territory and build military bases there. They operate an all pervasive surveillance system to monitor the personal life of millions of people. There is no free speech. There is no free press. The internet is censored. Dissidents are kidnapped from foreign countries and disappear. China is reminiscent of 1930s Nazi Germany. The West should be boycotting China not trading with it.
6
@Newfie
But the west or anyone else is not going to boycott china. They need the cheap imports and that large market to sell to. So does the US who is getting hurt by the tariffs.
China is not getting hurt, they found new markets already, new importers for what they need.
Trump has alienated the west and other countries with his insults and rhetoric. He has told our allies that they are not needed by him. So he has no way to form a union to oppose china.
What you say is true. It is also true of russia whom trump praises. But trump doesn't play well with others for the most part except for the dictators.
Until we get someone who can be an adult and deal with reality, we will be isolated from the world.
If you thought they weren't offended before then oh my.
I have no love for the Chinese and their theft of our intellectual property and manipulative trade tactics, but they will as they say "take the long march" and a communist country can force it population to hold the line and even starve if needed to "save face" and if Trump treated me like that I hold the line too frankly.
They'll wait, I suggest the farmers wanting to actually sell crops, and stop being welfare queens, look elsewhere.
10
Stable Genius, The Great Deal Maker, and the North Koreans are still firing missiles.
How much of this tariff increase will the Chinese be paying?
"None", you say! But that's not what Donald says.
And those huge agricultural purchases by China?
"...Larry Kudlow, a chief White House economic adviser, said the United States expected China to begin making purchases of soybeans, wheat and potentially energy products, but acknowledged they had yet to materialize." (NYT July10)
The Chinese and the North Koreans are playing Trump like a cheap violin.
13
The Prez is doing a fantastic job with the trade deals together with his handpicked Navarro and Lighthizer. Till now they seem to have a very determined approach , very focused, which seems very sane. I feel this will help the common man the most. With this approach he will hopefully be reelected multiple times.
Market manipulation is a security fraud and Trump is doing it day in and day out and who is making the dole?
12
I’m surprised how far the GOP has come since those silly pledges to Grover Norquist. The Republicans are now willing to raise taxes on nearly everything voters purchase. Raising prices on most of the stuff we buy and eliminating China as the 2nd largest buyer of US agricultural products. All while trashing the investments in everyone’s 401k. Brilliant! Voters in the Midwest love what Trump has done for them! Re-Elect the Don if you really want to see how deep he’ll dig in your pockets & ruin us like his casinos & buildings.
13
Ready. Fire. Aim.
3
@Tom
Took me a second to get it.
Hilarious
The man - our president - is out of his depth. He understands only simple me-you interactions. He fails to understand either the layers of issues that face the Chinese, or the layers that face us.
Yet a significant minority of Americans will vote for this madman again.
9
This amounts to yet another national sales tax increase [aka a 10 percent tariff] on those who can afford it the least. Trump is hitting not just China, but all Americans with these price increases we must pay due to tariffs on Chinese products. Consumers can now afford to buy less and we all know what that means (Hmm, I guess not all). So we have rate cuts for the wealthy and tax increases for the rest of us. That's been the Trump economic policy from real tax cuts for the wealthy with real tax increases for the middle- and lower-class. Just what you'd expect from the Oligarch-in-Chief.
14
This is a no brainer. If there's one thing I've learned buying stuff, it's that there are always middlemen before you get a product. China will just route their finished products through other tariff tax free nations to ship here.
I want American Manufacturing back here on our soil.
Except your “middleman” at Apple has moved its manufacturing to Vietnam. Nike was already there. This has very little to do with the evil chinese. Your beef is with American corporations who hate all workers.
15
Trump's latest China tariff will make him feel good but it spells the death of the American family farm, already reeling as a result of the President's earlier tarriffs.
He will enrich big agro-business which intends to buy up for a song every family farm which ordinary American farmers can no longer sustain because their Chinese market has been cut off. I hope, but can't be sure, that citizen farmers who once voted for Trump will recognize they have been sacrificed on the altar of his ego and vote their interests in 2020.
The true winners, big agro, will join the plutocrats and investment bankers who have raked up after Trump's tax cuts for the rich, as members of America's new class who are enjoying the fruits of Trump's Socialism for the Rich.
From each according to his objections, to each according to his greed.
7
President Trump said trade wars are easy to win. Clearly they are not. A few years of pain to a culture that is thousands of years old is meaningless. They have dynasties that have lasted longer than the USA. The President finally understands that no clear deal will come before the election. You cannot negotiate as a real estate magnate because you cannot walk away, millions of people are depending on him.
The fact is China is cheating us out of technology but tariffs are a no win gambit. China will endure the pain while buyers of American goods will look elsewhere. This will doom the President, inflate prices for people who cannot afford it and crush our retirement accounts.
2
This is a multi phase war. We are at level 1.
US still has a lot of weapons which they haven’t even brought out in open - stopping visas of students, stopping immigration, removing university cooperation, withdrawing from WTO, aligning with allies to do all these which I have mentioned. And if anyone looks close enough, China has no real allies of any clout. If UK, Europe, Saudi, Israel, India, Japan, South Korea, Brazil or Vietnam are forced to chose between the two, who do you think will they pick? China will have North Korea, Central Asia and maybe Russia.
US can win this if people ignore it is being done by Trump and his style. Remember the policies have inputs from experts and bureaucrats who have been engaged in these things for a long time.
So please stop putting China on pedestal with talks about their 2000 year civilization. History has seen many civilizations of equal or more greatness. (Ottoman, Indian, Roman, Persian). They claim to have superior systems and criticize the West but then go back and steal the very ideas and creativity which the Western systems produce. They have a $12 trillion economy and I am yet to see any singular contribution from them in any faculty, which the world can be proud of. All they have done is self aggrandizement at cost of all other countries. So once again please stop being afraid. The world can eventually live without them.
5
Same with the US at a mere 245 years. I’m pretty sure the Chinese would be happy to see Trump destroy this Country with his amateur economic policies.
3
What is Trumps end game? To punish China? Tariffs will go to 25% since China is not going to
negotiate anytime soon. China can suffer more pain than the US so they will most likely win. The end game is not looking good for the US. Global recession is coming.
9
Get your calendar out. August 1, 2019, marks the beginning of the Great Trump Recession.
7
Not to worry,"trade wars are easy"
2
So it's been a few hours that another Trump sadistic instigation meant to control the weekend news cycle has been broadcast on the Thursday before. It used to be the news molding announcements were on Fridays but that changed after it was noted several times.
We are all Trump chumps for focusing on his malicious mischief all afternoon, myself included.
4
“The president said that China also did not fulfill its commitment to stop the sale of fentanyl into the United States.”
Come on. This info should have been in the first paragraph of the story. People are dying here because of Chinese Fentanyl.
4
@Conservative Democrat . I don't understand why Trump cannot stop fentanyl coming into the US. He stopped Huawei from doing business in the US with an executive order. Why can't he do that with fentanyl? Maybe Trump should also do that with cocaine and heroin producing countries. Tariff man Trump will rescue us from all evils.
3
Fed Reserve has used all the tools in it's bag and Trump consumed whatever gains for the economy on more Tariffs. No more wiggly room.
3
I'm usually not much about conspiracy theories, but it might
be nice for some news organization or Gov't agency to check if he or his family trades currencies, commodity futures or stocks prior to these announcements.
He does after all do most things only for his benefit.
32
Solar panels from China will be pricier.
There’s always Malaysia.
But Trump doesn’t believe in climate change, so why would he care which of those countries we import more from?
2
Regarding Trump, It was pointed out long ago "A legion of worms cannot alter the tip of the spiral, and obstacles merely intensify the ray of light."
New Era Community #58
This is all about setting up re-election. He will huff and puff, and then reverse himself and claim credit for improving the economic damage, which his bluster caused (As in, “ever since I stopped feeding my spouse arsenic, s/he feels so much better”) but he will blame Obama, the media, the Fake News operatives, etc for it, and the Faux News Network will trumpet the economic resurgence.
8
If the path to a post-trump future leads through the poorhouse, so be it. We have to get back on track as a society.
7
Everyone forgot the cardinal rule: Trump only cares about himself and his finances. Lower interest rates benefit him and his real estate developments. He did not like that the fed reduced rates by only .25. Someone told him that is he raised tariffs on China, the fed would continue to reduce interest rates, so.....
8
@Gayle F Exactly, even his immigration policies
benefit his golf resorts since he hires illegal immigrants to staff them. He does not want to stop the flow of cheap labor.
3
And how are things going with Trump's other "in love with" pal, Kim Jong Un? That buddy has been busy testing short range missiles and building more nuclear weapons. Trump is being spurned by China and North Korea, so he turns to Russia and Saudi Arabia, which are gleefully stripping us of our nuclear powers, Russia with the ability to rebuild their nuclear arsenal and Saudi Arabia receiving our nuclear technology so they can start building their own arsenal. It may dawn on Trump, some day, that his buddies are just like him - full of empty promises to him while they build their own empires.
8
Hello? "Trade wars are fun!" "Trade wars are so easy to win!"
Gee, who was it that said that? Oh yeah, the man who claims to be a "stable genius."
We need help, friends. We need leadership.
4
am i the only one who has been paying more for just about everything? if only i were a billionaire i would not notice because of course i would not be paying my bills , nor shopping or buying gas ~
little stuff like that . food has jumped in price. this tariff business is a total MESS AND gutting our farmers abilitly to sell. this is a MESS. guess the pressie is doing what he has always done. fail at business.
3
econ 101 Food prices drop when demand drops.
It’s a small world Brazil is China’s main supplier of soy beans. Trump will reevaluate tariffs when the economic impact losses rather than gains votes as he sees it. His ‘policy advisers’ are in a bash China pact with little economic content and China knows it.
2
Why nobody is asking Mr. Trump about his brave declarations:
1. I am the "Tariff Man".
2. "Trade wars are good, and easy to win".
3. "I know nothing"!
2
Rex was right.
9
Remember, everyone: "trade wars are easy to win."
6
On Monday trade talks were "going good!". Today, further tariffs paid by American companies that import the taxed Chinese goods. In turn those costs are passed on to the consumer.
You ever get the feeling Mr. Trump's ego compels him to tweet these things just to watch the markets move? For someone that likes to talk about how great the economy and markets are doing under his watch Mr. Trump sure doesn't do much to back those statements up.
6
@Joe Taxpayer
Incompetence manifests itself in a variety of ways.
3
@Ia Rd Hog
Agreed. When you've never been a manufacturer I guess it's hard to make the connection between tariffs, tangible goods and the consumer. Real estate is a different business and we can only imagine this trade war Mr. Trump thinks he is winning would have never have happened if tariffs were levied against his real estate holdings.
2
"Trump Says U.S. Will Hit China With More Tariffs"
should be
Trump Says U.S. Will Hit Consumers With More Tariffs on Chinese Goods
There, fixed it.
16
@Joe From Boston so what? All democrats favor this too. Are you to the right of Trump? How do you recommend negotiating with China? Give them all our money and jobs? Tried that.
2
@rjs7777 . The TPP - Obama's idea would have been a better negotiating tool that tariffs. Manufacturing competes in a global environment where the low cost producer is the winner. What makes anyone think that manufacturing will return to the US?
5
This is just politics for Trump’s election ads. Even if he adds 30% where else will people get their stuff?! They’ll buy the same stuff from China and it’s Americans who will pay. No company is going to upend their supply chains and factory arrangements for a demagogue in his last year who may not win re-election. And even if he wins, four years isn’t enough for companies to disrupt their production.
And even if he wins, one of the main reasons companies do business in China is because it’s the largest and most promising market!! Being in China means they’re right there to serve that market.
6
China's game plan is clear. China will not have any meaningful discussions until the 2020 Presidential Election is over. If Trump gets re-elected then China will start serious talks. Otherwise, it will be new ball game for them.
If Trump wants results now, he should increase tariff on all China made goods to 100%. That may do the work.
2
@sKrishna And you're STILL thinking that China will pay these tariffs?
8
@sKrishna
Sure - why not make it 1,000%? Or a billion%? Or a bigly bigly billion percent?
China and the rest of the world know knows Trump is a lying, bigmouthed idiot. Nothing's going to change and no deals will be made as long as he's in office.
6
Yea, that’ll show’em. You realize WE pay the tariffs. China will retaliate, and you can kiss good bye the second biggest market in the world. Brilliant.
8
Looking forward to 'Trump's Recession' arriving just before the 2020 election.
Brilliant Donnie, just brilliant!
12
Wouldn't it have made more sense to work with the WTO and our allies to combat China's unfair business practices? Oh, that's right, Trump's allies are Saudi Arabia and Russia. Too bad for our farmers, the middle class, working poor etc. If only there was a solution? Vote in 2020!
11
better to just stop all US business with China. they are a Human Rights disaster, and worse then all the other regimes we've overthrown for being ruthless
2
@mike
Saudi Arabia is as worse “Human Rights” disaster than China, but Trump loves them. It was Saudi Arabians that attacked us in 2001. Saudi Arabia is helping to slaughter thousands of Yemenis. Saudi Arabia is funding ISIS that terrorizing the Middle East.
2
Trump is a madman in his obsession with tariffs.
He will hurt the economy tremendously as he imposes his ridiculous taxes on the American people.
He will not achieve a rebirth of the manufacturing sector in America since there is no way that monopolistic capitalism will depart from its model to outsource manufacturing to those nations that pay labor the lowest wages possible and thus maximizes their profit. Instead his policy will eventually lead to an economic slowdown and a recession without achieving his poorly conceived objectives!
9
Why does he keep sticking his nose in this trade deal? If I were his negotiators I would be ready to tie his hands together so he couldn’t tweet. He is killing a good economy and certainly is not helping the people who unfortunately put him in the White House.
14
This is what you get with a stable genius in the white house. Were better off with a real stable genius. Where is Mr. Ed when you need him
13
I suspect the real point of trump’s tariff war is to manipulate the markets for his personal profit! Foreknowledge of his tweets would give anyone the opportunity to make a killing in the markets. Of course that would be illegal, but this is trump...!
26
I suspect the real point of trump’s tariff war is to manipulate the markets for his personal profit! Foreknowledge of his tweets would give anyone the opportunity to make a killing in the markets. Of course that would be illegal, but this is trump.
4
The appointed Secretary of defense has a noteworthy name; Mark T. Esper.
I'm "T."
I was marked by the Mafia over thirty five years ago.
My abilities are not "ESP". The military has been transmitting into my skull all those years.
And I'm not going to an "er".
Trump has tried to kill me. He threatened me covertly during his January Immigration speech.
Three weeks ago on a Friday/Saturday night I was radiated with concurrent pain on the entire right side of my head for approximately one minute at which time the pain disappeared immediately. I was looking east sitting before this computer.
Trump is Mafia and may have taken part in the theft of my coal combustion process invention I had apprised a Democrat Congressman of long before.
The C.I.A. killed my father after two Mafia figures threatened my family's lives forcing me into a state of terror. He was my witness of signature for my invention and he also communicated with the FTC about an invention marketing company in NY. long ago. I invented the process in February 1977 after the government appealed for new ideas to wean us off oil following the Arab Oil Embargo of 1973.
The Mafia is the greatest terrorist threat to our nation. They are right here with us. Trump is their King from Queens County.
Americans have flooded with cheap foreign made junk built with no environmental or labor controls while American jobs go overseas for years. No presidents made in progress in decades, Trump tries and Americans whine.
3
@Craig
Yea - he's got it all under control. Mexico will pay the tariffs after they've built the wall,
6
so much easier to whine than think of a solution.
I'm counting on President Trump to crash the economy.
I'm ready to buy in at the bottom. That would be 2021.
6
Question: Does Trump's inept, erratic, and aggressive trade negotiations run the risk of provoking China's nuclear option of dumping trillions of US bonds on the world market? Big orange mess.
6
This is how Idiocracy, The Reality Series starts.
10
Two things. Again Trump does not seem to be aware of who pays the tariffs.
When he makes this announcement in the middle of the day, he knows the markets will sell off. Has he let some people know so they can short the market? His not too bright sons for instance.
How is this not market manipulation?
Of course even if it could be proven that some profited by advance knowledge, the spineless Republicans would just hide their eyes. As they do with many things.
11
@S. Bliss
Watch tomorrow for a tweet or a casual exchange with a reporter. He will say something trying to reverse today's market sell off. Guess who will be making another killing.
4
The economy is not great nor is the stock market which is losing millions by the minute. How are the farmers and automakers doing? They are in crisis. It's not hard to see how he lost over $100 million a year for over a decade.
13
Tonight on the ABC news a midwestern farmer in America said he is prepared for the worst scenario. Trump and the GOP must be paying them in big dollars to not want to ever work again . Trump and the GOP /Republicans are buying votes by giving the farmers all that money help. Rand Paul is opposed to the tariff war he wants the farmers to make their own money. Very sad all this money going to the wealthy .
11
Trump still doesn't know how tariffs work. We're not "taxing them [China]", it's a tax on American consumers.
10
@William James
He won’t show his taxes so maybe he is not as rich as he’s says he is. Romney said not long ago he is a phony. I believe him.
2
Let’s call a spade a spade. Stop calling tariffs. These are federal taxes on imported goods. It’s passed on to consumers and it’s hidden in the price of the goods, unlike state and local sales taxes which is transparent. Worse yet, it is the most regressive tax - sales tax - and hits every American regardless of income. Pretty soon inflation will rise, and it will do so with a slowing economy.
We are in for a recession that can be worse than the one in 2007-2008, perhaps as bad as the Great Depression.
11
Hmm, interesting move indeed. The tariff will kick up inflation and threaten to slow down the economy worldwide. One calls for a higher interest rate, the other to lower, which way the Fed will choose to go? Powell should resign because this is just an impossible job.
5
Does anyone really think Trump and his incompetent economic advisers will succeed in getting a trade deal advantageous to the US.? Ridiculous! Our Economy is 70% consumption. That means the cheaper all goods are, the more we all will buy. Hike prices and demand will fall. Tariffs are really destructive to our Economy and will eventually be felt by all. Chinese IP courts are hearing more cases and are expanding. There are other ways to challenge Chinese trade than tariffs. The TPP was designed as a start.
6
Trump only knows a few moves from his 'successful' business career. He can threaten bankruptcy. He can declare bankruptcy. He can refuse to pay contractors what they're due. He can launder money from mobsters or Russians. He can extract the maximum from his father's estate without paying appropriate taxes (maybe the main source of his wealth). He can plant unfavorable stories about opponents in the tabloids. And he can always threaten legal action (or bodily injury, if Ms Daniels' account is true).
So, how does Trump manage international trade? He certainly won't study the issues and get input from reputable experts inside and outside government. (And no, Hannity and Carlson are nobody's idea of wonks.)
Instead, like the failed businessman and wannabe gangster that he is, Trump will threaten to blow everything up if he doesn't get his way. He can be even bolder because he's playing with house money. But, unfortunately, this time his daddy won't be there to bail us out when he blows it.
7
The United States has already won the trade war with China.
The real disaster that the president has addressed is 350 billion and trade deficit and millions of American jobs exported overseas .
Most companies are already looking at returning their business to the United States or at least going to a different country such as Vietnam 4 their sources.
Of course the Chinese Communist don't want to change the current system that has been used as a sucker deal for the United States .The current trade deal is a disaster and no deal is much better but China will come around very shortly probably by September ..This is already another win for the president's policies and can only get better.
To the Trump haters who would rather see the Chincoms continue to rip off America and working American families... see what happens in the near future and pluck a crow when you have to eat your words.
6
I am as horrified by this administration as everyone else, but on this, even if it’s by mistake, we simply must disentangle from the lawless, brutal dictatorship of China.
The patriotic thing to do is galvanize to make this painful period of transition as effective as possible.
3
While I agree that Chinese businesses have repeatedly violated patent and intellectual property protocols ..... I'm not seeing how any foreign government entity can dictate to China how to govern it's purchases or economy. We have to remember that China's GDP is above 6% and has spent the past two years forging new trade alliances while Trump has been spending eight hours per day watching television.
8
@PeterH
I am a patent attorney.
You can read about some aspects of US patent law on the USPTO web site, www.uspto.gov. The subject is quite complex, and I cannot cover it all here in 1500 characters.
In general terms:
US patents are only enforceable within the territory that is under the jurisdiction of the US. A patent gives the owner the right to prevent others from making, using, selling, offering for sale, or importing into the US whatever is covered by the claims of the patent, and only for the lifetime of the patent. Once a patent expires or is abandoned anyone may practice the technology described in the patent, which is then in the public domain.
One can sue by way of the US International Trade Commission to prevent imports that infringe a US patent from being imported into the US.
If you only file for and are granted a US patent, those rights do not protect you in Canada, in Mexico, in China, in any other country, or on the high seas (outside the jurisdiction of the US). If you do not understand what your US patent protects, and where it is effective, do not blame others.
Unless the US patent holder also owns a parallel patent in China, claims that China is ripping anyone off are often silly.
By the way, a PDF copy of any issued (and unclassified) US patent can be downloaded from the USPTO web site for free (no charge).
Once a patent issues, it is up to the patent owner to police the use of the patent and to deal with infringers.
3
Another republican recession coming. Another coming Democratic recovery. The cycle continues.
Bush was one of the worst presidents; Obama one of the best and now Trump.
We'll need the next president to have the financial acumen to manage the next recovery....aka Warren.
13
So tell me, how many Americans, Trump voters in particular, understand these tariffs are taxes, imposed on American consumers, by executive fiat? Surely no one buys the flagrant lie that China is paying the tariffs and sending billions to the U.S. Treasury?
11
Fuel remains relatively cheap. Smart phone and it providers remain competitive. Renewable energy continues to grow. Coal is at the brink of extinction despite this dude roll backs. Donald's tariff exhausts the premise of logic to futility. It is malarkey to barrow Biden's term.
3
Can someone please explain to me why we can’t regulate the PURCHASING of fentanyl within the United States? Though I’m not totally privy to either process, it would just seem a whole lot more effective to regulate an industry within one’s own country.
2
Actually asking a question here I would love a response.
@Vernie You can't really be serious with that question. Just like "we can't regulate the purchasing" of heroin or cocaine or crystal meth.
1
"Trade wars are easy to win" Donald J Trump
12
Let's not forget. The real efforts and goal of this administration is to bring this government/democracy to its knees. He, Bannon and his other criminal cronies have made their intentions very clear. We should not be surprised.
13
'You catch more files with honey than you do vinegar.' Sadly, DJT only knows how to bully and threaten. Vote all of the Trumpublicans out in 2020...Trump, Moscow Mitch, Graham to name a few.
19
@KB
You know Trump doesn’t use honey, but did you know he doesn’t use vinegar, either? He uses gasoline. Next to coal, it’s his favorite fuel.
Come on America. Get real about Trump. He is setting the table for when the Blue Tsunami sweeps the popular vote and he will say that China rigged the election because they wanted to help the Dems. This is his excuse not to give up power when he loses. There is no limit to what this behemoth will do. He has destroyed the GOP and he is working on destroying all of America- all on the altar of his Titanic ego- deckchairs and all. Watch put. It is a clear case of a neo fascist takeover with a dose of GPI. General Paralysis of the Insane.
13
Can’t wait to have Apaprel made in the USA again. Buy/wear American made clothing.
8
@Brett Stern Are you willing to work on the sweatshops to make the apparels?
6
@BrettStern
If you don’t want to work in a sweat shop to get this fabulous Made in America clothing, as was suggested by BWCA, are you willing to pay about four times more than you pay now for the same item?
This guy is a walking, rolling, blundering disaster.
He can't keep his mouth or fingers quiet, and he can't negotiate his way out of a paper sack.
So all he has left in his bag of tricks is the uusal Trump chaos.
Only now.. instead of just driving his own companies into bankruptcy multiple times over the years.. he now is working hard to send the US and it's citizens into bankruptcy, and world wide ridicule.
16
recession! recession! recession! go republicans!
13
Look at me! Look at me!
7
The tariffs being paid by US companies are not enough to cover the cost of the farmers bailout as a result of the tariffs in the first place. Trump was bailing out soybean farmers, now cotton and corn growers have been added. More will be coming soon. Wouldn't this be considered socialism?
13
It seems three things have led to Trump’s most recent hissy fit:
1. Through their actions, the Chinese government is indicating they believe Trump will not be re-elected. (Are they playing in Vlad’s dollhouse now? Not only do we have to look out for Russian trolls, now we need to be concerned about election interference by the Chinese, as well? Or, conversely, they just believe Trump has had his day?)
2. Trump is annoyed with the Democrats for suggesting they might undo his undoing of membership in the TPP, if elected. Therefore, he’s decided to double down with the Chinese.
3. Jerome Powell and the Fed didn't reduce the interest rate as much as Trump wanted, nor did Powell indicate if and when another reduction would come.
The Chinese do hold a significant portion of our debt. They have made egregious use of U.S. I.P. We should have an improved arrangement with them, but U.S. citizens shouldn't have to pay for a mess caused by a bumbling chief negotiator who clearly doesn't understand the meaning of the word tariff.
4
If the cost to ensure that Trump will not see a second term is an economic crisis, is that too big a price to pay? Not where I come from.
5
Trump's trade policy is haphazard and reckless. He seems to make it up as he goes.
That said, I agree with Bernie Sanders that we need fair trade, not unfettered free trade.
There are numerous legitimate grievances with China including intellectual property rights, currency manipulation, environmental standards, and worker wages and treatment.
Comparative advantage theory says that free trade helps both nations. It does not say that those benefits are equally shared. In wealthy nations, free trade can benefit capital at the expense of labor; Wall Street has always loved free trade. Our trade policies have hurt American workers. Democrats abandoning union workers is part of our problem in Michigan, Pennsylvania, and Wisconsin.
We desperately need a President like Sanders or Warren who can restructure our trade policy in a logical, coherent way that protects American workers and deals with legitimate grievances with China, while preserving trade relations with our allies.
7
“We thought we had a deal with China three months ago, but sadly, China decided to re-negotiate the deal prior to signing,” Mr. Trump said on Twitter. “More recently, China agreed to buy agricultural product from the U.S. in large quantities, but did not do so.”
This is EXACTLY how Donald Trump ran his business. He made ‘agreements’ and didn’t abide by them, refused to pay invoices, threatened to sue, sued or were sued. There were over 3,500 legal cases in U.S. federal courts and state court involving Trump Organization over the past 3 decades.
Perhaps the Chinese read Art of the Deal.
12
When will people realize that Trump's and other nationalists' anti-globalism actions will end in economic disaster. The US's globalism since the Marshall Plan, assisted by most developed countries as soon as they could, has help grow the global economy to extraordinary levels and raised billions from abject poverty. Even poor people in the US live decent lives when compared to prior times. Sure, Trump may stem the movement of some economic activity away from the US to preserve the US's relative standing among nations, but it will be a greater percentage of much smaller pie. It will be a pyrrhic victory with a significantly lower standard of living. You cannot fix macro-economic ignorance.
7
China will be the number one economy in the world. We gave them the leverage they need to rule supreme in the seventies.
They own our debt. They own our most successful companies. We are intertwined in such a way that it is absurd to think otherwise. Rather than tearing down and corrupting our foreign policy under Mnuchin and Pompeo, let’s elect adults who can actually hold a room.
5
The total tariff comes to $92.50 bn. ($250 @ 25 % + $300 @ 10%). When you spilt the difference, the additional cost comes to $46.5 bn. – not much for China (GDP $14.5 tr.) and US (GDP $21.5 tr.). So markets are over-reacting to this news.
1
You can’t win a trade war against un-elected communist politicians. There is no consequence for the pain endured by the population. Unlike the US, where Trump has another 2 years.
2
@Larry China's GDP is currently around 6%
1
I suspect, actually know, that millions and millions of Americans are willing to absorb additional economic pain and stressful uncertainty if this leads to the removal of the Worst President Ever from office. His entire universe is only devoted to himself and to disproportionately striking back in the most incoherent and thoughtless manner to perceived slights. He is truly a dangerous psychological mess and we're paying the price folks. Dump The Donald!
6
@John Grillo Americans shouldn’t have to suffer? There’s no reason for it.
Impeachment, now!
1
China has a strong sense of trump's weakness. The tariffs have hurt both China and the U.S., but China's GDP is still nearly triple Americas .
As our economy starts to slowdown the effect of those trump taxes will be magnified and trump will cave.
Another trump bankruptcy.
3
Anybody else noticing the stock market manipulations which T is doing with his Tariff’s On / Tarif’s Off announcements?
I’m sure his buddies know in advance of each announcement so they can Sell then Buy.
Classic Pump and Dump insider trading.
6
I find myself hoping he continues this nutty policy, which personally harms me and other Americans, in the hope that this country wakes up, before it's too late, and stops worrying about which Democratic is ideologically pure enough to run against him.
7
Trump will do to American farmers what he did for Trump Casino.
34
Not so fast, he and the conservative in name only senate is passing on the tariffs we are paying to their Midwest farm buddies to keep them on their side. What’s not to like about getting paid not to do anything. The new welfare kings.
2
Truly one ignorant guy. No need to be civil with this rather childish mentality. He needs some good tutoring in fundamental economics. Oh, I forgot, he's a genius, excuse me.
17
Maybe Putin has promised to make him Vice Czar of Russia's 50 American Colonies for life with Ivanka set to become Czarina upon her father's demise.
10
Trump still thinks the Chinese stole jobs from millions of American's. He forgets that people like himself hired the Chinese and other countries for the cheap slave labor they could get. He is such an awful excuse of a human being.
33
The US Constitution's Commerce clause states that on the US Congress shall have power "To regulate Commerce with foreign Nations, and among the several States, and with the Indian Tribes."
Donald Trump is, by far, the most profoundly ignorant person ever to have been elected President. He has a history of bankruptcies, tax scams and is accused of Russian money laundering.
How can this man be given the power of unconstitutionally destroying the US economy, by usurping the Commerce Clause and chaotically starting trade wars?
Are there no patriots left in Congress who will stand up to this 'stable genius" and take away the powers of foreign trade which our Constitution clearly states this man-child is usurping?
28
Not with McConnell driving the bus .
2
@Steveb
'Moscow Mitch' has Trump's back.
1
Are farmers calling their Senators and Representatives ?
17
@kagni
At least your farmers in the Midwest are getting bailed out by Trump, our farmers here are not
5
@K D none of the want to live this way, not to mention that the help is minimal andnnot lasting. They are all worried that Chinese market will be lost forever.
Wreck, like everything Trump ever touched.
3
We must disentangle from China.
Let’s pull together as a nation and make it happen... preferably before they send hired thugs over to indiscriminately beat us up for telling the truth about the unconscionably brutal totalitarian dictatorship that is China.
6
You go first. Stop buying anything.
5
lol. try telling that to CEOs from all our manufacturing companies. try finding something besides the My Pillow that's made in America anymore. tariffs are nothing but higher prices and taxes to us.
4
Oooh the Chinese are coming, the Chinese are coming. Where do you get this drivel, oh yea, Fox News.
1
If a reality show star sits in white house, one has to tolerate all this different kinds of nonsense everyday .
5
Instead of creating an unbeatable team with our European & Western allies to negotiate against China, Moscow Trump has antagonized all our allies so that America is on one leg negotiating against China. This but another example of Trump being an incompetent. All my business friends have said that Trump’s trade policies have hurt their businesses tremendously, without exception. With Moscow Trump, it’s amateur hour, 24/7/365!
9
Headline: Trump Says U.S. Will Hit China With More Tariffs
... Unless he doesn't. This announcement is brought to you by the Trump campaign to show you how the US is "winning."
As with everything else Trump, ignore.
4
POTUS wants 2 more interest rate cuts this year to 'goose' the DOW to 30,000 just-in-time for the 2020 elections (convincing the Fed to lower rates before an election is nothing new, Google Nixon Fed re-election). Powell did not signal more cuts in 2019 yesterday (“It’s not the beginning of a long series of rate cuts — I didn’t say it’s just one,”), and said yesterday's cut was “intended to ensure against downside risks from weak global growth and trade tensions.” -- so Trump today gave us more trade tensions to get his cuts.
11
Since it moves markets, do we need some kind of legislation that stuff like this doesn’t come out on Twitter? Isn’t there an official governmental platform to report information like this? I guess DJT would argue he’s throwing down the gauntlet to China; but some of us live here. This causes a person’s 401-K (among other things) to take a hit.
It just seems dangerous to me.
8
Voting for Trump puts more than your (and my) 401-k in danger.
5
Maxi,
Yeah, I realize that all too well. I guess I'm asking if announcing government business via Twitter is legal (obviously, I don't think it's wise).
I mean, theoretically what's to stop DJT from twittering to some out-of-favor country, 'Look up. We're sending some missiles your way.' Could you blame them if they put missiles up?
He's a loose cannon with U.S. information. In this case, it's economic. But it could just as well be fireworks. Not the Fourth of July kind.
5
Congress (meaning the House not the supine Senate) needs to move to pass legislation that strongly limits the president’s authority to set tariffs. It won’t become law because Moscow Mitch will block it, but the Dems should pass it anyway and beat Trump over the head with it during the campaign.
10
What is the end game? If Trump proves that you can use tariffs rather than the courts to arbitrate trade disputes then what have we gained?
How will we have any standing whatsoever to suggest that other countries use the rule of law when our basic instinct is to act out in our own, naked self-interests?
Are we encouraging all actors on the international stage to behave in that way , or is this some special place we think we're carving out for ourselves?
You can thumb your nose at the path that might bring you to justice because it is long and arduous and full of setbacks. You can do that and declare yourself free of such constraints but after you do you may never ask anyone to adhere to that other path ever again...
Or, as my elders use to say, what's sauce for the goose is sauce for the gander. Be careful what you wish for because you will surely get it...
6
The presidency has too much power. When one person can inflict so much pain on so many, it is hard to distinguish our democratic government from a kingdom. What's worse, Donald Trump is that king.....
7
There have been several comments accusing Trump et al of playing the stock market with his pronouncements as well as an adjoining article describing the decline in the S&P today following his tariffs proclamation.
It isn't so much playing the market as much as a market decline he generates will result in money going into more T-bills propping up the treasury to offset the tax cuts deficit that benefit the rich.
C'mon! The Trump Wall st White House is a criminal organization. They just brought Wall Street practices there.
1
Seems like Trump does not know how to get out of this mess he has created.
10
Remind me when trade wars are going to become "easy" to win.
8
Retailers placed their Xmas orders months ago. Now we are guaranteed that prices on goods coming from China will have tariffs on them in time for holiday shopping. Very good. I love it and hope the consumer remembers this come November of next year.
2
The 2020 election essentially comes down to this.
One party says, "Vote for me if you want to stop Trump and see him in jail."
The other says, "Vote for me if you want to stop China stealing our ideas and see a better future for our businesses."
Me says, "Go Trump!"
4
Except Trump is lying to you.
19
No true at all!
Vote Democrat for a future with access to health insurance, good schools, protection for environment, etc., - all the things most people want for themselves and their children.
Vote for Trump if you want more tax cuts for the wealthy, more lying, more partisanship, more racism, more picking fights with allies and more Putin interference in our elections, etc., all the things we’ve had for the past 2 1/2 years.
If Trump goes to jail, it’s only because he has done illegal things, like every other crook
8
@Bhaskar If your target mainly is "to stop China stealing our ideas " I will greatfully support you... This will not be the end result, sadly Trump will cave and not achieve anything subtancial. The TPP is the correct answer to rein in China's behavior; it is not too late to join in.The current way of reacting to China will bring down the world economy.
4
I believe that all US-Americans, if not people all around the world, ought to avoid buying anything made in China.
BOYCOTT CHINA AND THE STUFF MADE THERE REGARDLESS OF ITS DECEPTIVELY LOW SALES PRICE.
China does not need to be made more powerful and inevitably more arrogant in its view of itself.
6
There was a real plan to lessen China’s power and increase trade among other nations. It was called TPP and Trump dumped it for these tariffs.
7
@John ScotsRoss "Don't buy anything made in China." You mean don't buy clothing, a washing machine, children's toys, car parts, etc. etc.
1
@Maxi
Oooops. Unstable jenius at work.
1
Trump said our US consumers pay more money for goods.
1
Anyone have a vague recollection of a high school history class where the Smoot-Hawley Tariff Act of 1930 was discussed?
5
And along came the depression
4
The one thing that some argue was the actual cause of the Great Depression?
5
@Dave
Are you kidding? At my age I cannot remember to take my pills. Remind us.
3
I just read today that my job is likely to move to Canada, due to Trump’s incompetence. So, do not expect me to stay and suffer to benefit his cronies.
10
Trump has to be the worst economic leader in the world. He is losing the trade wars. He bullied the Fed into a rate cut. He got it and the market declined. A day later it was recovering when his big mouth and more tariffs wipe out more equity.
Stop this guy before we have Dow 9000.
13
Remember this a stock play Wait for another 500 drop then buy.
5
Trump couldn't get Mexico to pay for his wall but he is getting American taxpayers to pay for his tariffs.
20
How many of his investor friends does Trump tip off before he sends tweets like this that greatly affect stock market. He has done it again and again. There is nothing really about wanted to get a trade deal with China here. He is a con man and a scoundrel pure and simple.
25
We have no access to his tax records so we don’t know how what he does affects him financially.
4
Good. It's the one think of Trump's agenda that I support.
I've seen some really amazingly gratifying moves from the Roosevelt foundation in recognizing what I first proposed as the democratization of foreign investment. Hurray! I got a message through, and hurray for those on board!
This is the first glimps of hope I have for changing our global economic system. It is vital that we do it. I think a lot of people would be surprised at the influence this has had and continues to have over global and local politics.
I see hope!
3
"...increases the likelihood that the world’s two largest economies will be locked in a protracted trade dispute for months, if not years."
More likely days, weeks or maybe months. This is either an economic merry-go-round, seesaw, or tug-of-war (at one time an Olympic event). Take your pick. Place your bets.
While I am not a financier, I feel mixed about the tariffs with China. Free trade usually benefits all countries. Yet, China has helped themselves to some of our intellectual properties, and many goods made in China are not high quality, although some are. Building is becoming more expensive, and perhaps this will motivate our own country to find and create different materials and develop more American manufacturing. The farmers unfortunately lose out; we need to find ways to utilize and sell what they are growing, or encourage them to grow products more needed by this country and the free world.
7
Now, more than any time since Trump was elected, it is critically important for all real Americans to unite behind the duly elected President of the UNITED States. Even though no bullets have been fired, this trade war is a real war; but more importantly, this may be the last time the U.S. will be in a position to win this type of war with China.
Make no mistake, China is taking this trade war as serious as they would a nuclear war. It is their culture. If have not lived in China and understand their culture, Don’t doubt me on this.
The only reason we are in a position to win this trade war is because the U.S. economy is so strong. We could not have won a trade war in 2008 through 2014, because the cost would have been too great.
The people who don’t understand simple Economics are opposed to tariffs because they think the higher cost of foreign products is permanent, but what they don’t realize is if we lose the trade war to China, China will be able to charge whatever price they want.
The basic premise behind tariffs as part of Trump’s strategy, is “No Pain, No Gain.”
Before people start criticizing Trump just because they hate the man, they should think about what a famous democrat once said.
“Do Not Ask What Your Country Can Do For You. Ask What You Can Do For Your Country.”
Trust me when I tell you, you do not want
To lose a trade war with China. Tariffs are the only thing the Chinese people understand. Their culture does not honor trade deals.
7
@Jam77 - I read as far as your reference to "real" Americans. This alone invalidates any point you sought to make in your very long comment. Your president has imposed a tax on American consumers. I don't expect him to understand this.
7
@Jam77
Trump created this just like the now Iran crisis. Now we are all going to pay the price for this.
7
Nonsense- TPP was a vehicle to limit China’s influence WITHOUT a trade war. Did Trump know what it was/did before he pulled us out?
3
Dear Americans,
Just so you understand when we say "We will be taxing them" it means we will be taxing you because you will pay the tariff in the price of the product.
15
Trump was right in 2016 - I am getting "Tired of Winning".
Only in America can a multi-bankrupt NYC real estate developer be trusted with the keys to the nation's economy and world-standing. God help us all if he gets re-elected.
15
I would not put it past him to be playing the market, along with Jared and lord knows who else.
13
@Kiska - Someone would have to be playing the market on Donald's behalf since he clearly understands absolutely nothing about tariffs and trade.
2
@Kiska In fact, he has a "trustee" doing all that so it's not traceable to him.
And if he happens to speakto the trustee from time to time....well, you know what a friendly and chatty fella he is.
1
So our brilliant leader is going to impose tariffs on “products such as toys, electronics, sporting goods, household appliances, books and food “ in August.
Purchase Orders being issued to Chinese suppliers for Christmas merchandise to be shipped in September so that department stores can have them in the shelves in October are going to go up in price. Santa is going to be a miser this year.
4
Hmmm? So Trump is ripping us off to benefit the rich and their tax cuts.
I had a smashing good idea just now; Let's all buy everything online from foreign nations free of tariffs.
It's not illegal.
6
@SHAKINSPEAR
Now watch who puts the kabash on that and you'll know who our enemies are.
I'm separating the wheat from the chaff.
3
Trump is increasing the tariffs and giving the money to the farmers, as the deficit and debt grows by leaps and bounds.
8
Albert Einstein is widely credited with saying, “The definition of insanity is doing the same thing over and over again, but expecting different results.” But then again, Trump is no Einstein. He's more what Tillerson said about him.
9
With raises on toys and smart phones just before the Xmas season. Will do wonder for retail. And who was talking about the war on Xmas again?
8
Is anybody monitoring to see if Donald Trump or his inner circle is playing the stock market off his tweets? By 1:25 today, the Dow was up around 300 points and then once Trump tweeted about the new tariffs, the Dow fell over 500 points to close around 250 points lower for the day. If someone knows Trump's tweets in advance, they could be making a lot of money. Another reason to be checking his tax returns.
52
I wonder what it takes for our Republican Senators to step in and keep a rogue President under control. Is there a better word than spineless?
14
Yes -criminal
Subpoenas
Jail time
Finally:
fire them for cause for not doing their jobs ( next election )
6
"Trade wars are easy to win." So much lying. So much winning.
The Dems should go to farm states promising open market instead welfare. Throw the bum out.
18
More accurately:
" ... Hits US businesses and Consumers With Higher Taxes"
10
I can't take all this winning. Make it stop!!!!
I recently purchased some pressure gauges for a client. About $350. Included a $75 tariff surcharge. Guess who paid the surcharge ? This baloney Trump is spouting about the US making money on the tariffs is nonsense. Why don't any of his advisors explain to him how the tariffs work ? I guess since he knows everything about everything no one dares to correct the 5 year old.
23
Do all you can to have Dems win big in Wisconsin !
That is what you can do!
4
These tariffs have nothing to do with China or the trade war. They are about the Federal Reserve and Jerome Powell bending to Voldemort's will. He's got the Justice Department bought and paid for, the17 National Intelligence divisions are about to be owned by Trump, and the next stop on the 'This is my world and only my world" tour is the Federal Reserve.
This guy wasn't even satisfied with bad economic news that may have, in fact, forced Powell's hand anyway. Nope. He will continue these trade wars throughout his office. If he wins, he'll continue them for 4 more years. They will not end until The Fed screams , outloud, and for everyone to hear, "UNCLE"!!!!
1
Donald, you did say trade wars are easy to win, so what's taking you so long? You are going nowhere.
9
Maybe in 2020 the Chinese will back the Dems, while Russia sticks with Trump. China has more real power, but Russia is slimier. Should be quite a race!
8
This is what I was thinking. Remember those proxy wars where Russia backed one side and the US backed the other? Now the US is the third world country for the proxy war between Russia and China.
3
Trump is a master of bankruptcy.
No wonder he hides his tax returns.
Now he's wrecking the US: massive deficits, trade wars, and illegal intervention in the Fed.
The sooner he is impeached, the safer we--and democracy--will be.
14
I'm a bit confused. I know prices on
Chinese goods will go up > therefore tax revenue will go up. So, where does that $ go? I have a hunch a lot of it goes into the federal treasury in order to shore up the deficit that accumulated due to the tax cut that vastly benefitted corporations and m/billionaires . And the losers? Mirror, mirror on the wall...
12
The September 1st date gives Trump 8 weeks to back down.
He walked out of the Kim talks and he crawled on his belly through the DMZ to restart talks.
He blew up the China talks in the US and called and begged XI for a meeting during the conference in Japan.
He knows this round of tariffs will hit US consumers directly during the holiday buying season. US consumer spending is the only part of the economy that's holding up. This round of tariffs may well set off a recession. He knows it everyone knows it who advises him.
Today's action was a throw away line to look tough instead of like the liar he is when he said they had an agreement on farm purchases before any new negotiations took place.
7
China produces and sells to the world ,the entire world.The United States sell only to well heeled nations able to buy such indispensable products like Jack Daniels, Harley ,Gibson guitars and F-35 jets. Boeing has not been that productive lately.
China is a natural buyer of food products ,unfortunately the president is making sure that China loses any interest by doing something Chinese people consider an absolute red flag: inflicting public humiliation on its leadership.
It takes years for China to assess a prospective business partner , and only a couple of minutes for the president to fume and change his mind. Big mismatch, bigger future damage.
6
I guess trade wars might not be so easy to win after all.
7
Trump said that China also did not fulfill its commitment to stop the sale of fentanyl into the United States.
How many Americans know that USA was the #2 peddler of opium to China after Britain during the Ching dynasty?
James Bradley, author of "Flags of Our Fathers" wrote the book "The China Mirage" in 2014 which documented American Opium trade to China. Prominent Americans--including FDR's grandfather, Warren Delano, -- made their fortunes in the China opium trade in the 1800s .
Funny how karma boomerangs.
10
Fentanyl Is a synthetic narcotic widely used as a surgical anesthetic. It’s a legitimate medical agent. It is subject to abuse, but that is not the fault of China
.
Trump seems to be insinuating that China is a drug dealer preying on Americans, which is blatantly false. It’s the same game he’s tried to play vis-à-vis Mexico. The man is slow down.
1
Are there any Republicans left to stop this mess?
8
Wow! Imagine Trump being offended by someone trying to renegotiate a deal after an agreement is reached! Maybe the Chinese read "Art of the Deal."
8
The simple fact is, trump went into this without a plan, the Chinese and really the rest of the world know this, hence why it isn't working.
If he had a plan, it would have included bringing manufacturing back to America, and increasing wages for the working class so that we can buy all those widgets and doodads that we have grown accustomed to.
Henry Ford said it best, “The owner, the employees, and the buying public are all one and the same, and unless an industry can so manage itself as to keep wages high and prices low it destroys itself, for otherwise it limits the number of its customers. One’s own employees ought to be one’s own best customers.” We have forgotten this lesson.
5
Last week, China launched the Science & Technology Innovation Board at the Shanghai Stock Exchange. Of the 25 companies listing on day 1, at least one was a semiconductor manufacturer and one, an innovator of prcoess equipment used to build semiconductors. The equipment company competes head to head with US giants Applied Materials and Lam Research, as well as Tokyo Electronics.
Like any company listing on a US exchange, they may or may not succeed. The point is that as the world's largest consumer of semiconductors, China is shrewdly creating its own supply chain to end its dependence on US companies. Guess who the China-based semiconductor manufacturer will turn to for its process equipment? The Chinese company, of course.
Meanwhile, as Trump bumbles along with his 1980s mindset, ignorance of China, and no knowledge of how international trade works, China is shrewdly powering forward.
But the US semiconductor industry -- the jewel in the crown of American science-based technology, is reeling from the uncertainty -- with its largest and fastest-growing market opportunity shrinking by the minute.
Killing businesses is Trump's special talent. He's already put US soybean farmers out of business. Who will save the US semiconductor industry ?
8
Trump is done. These tariffs will ultimately do him in politically.
7
Dems go to farm states and play this up NOW
1
“We thought we had a deal with China three months ago, but sadly, China decided to re-negotiate the deal prior to signing,” Mr. Trump said on Twitter. “More recently, China agreed to buy agricultural product from the U.S. in large quantities, but did not do so.”
China can't be expected to keep its promises with a character like Trump whose own promises, over and over again, have proved not to be worth the tweets they're written in.
12
Our American farmers are taking handouts, the small family farms are suffering the most. The coal workers in KY are standing on the train tracks so the trains full of coal cannot move. This is what Trump is doing to our country. Now he has stated that he is putting more tariffs on China. How many of our companies need to go down before the GOP will say enough is enough? The stock market has not gone up any great amount since Trump took office. Unemployment rate has gone down, what? One percent or so? All that thanks to Obama.
Now we have North Korea firing off missiles every other day and Trump says he isn’t worried about it because they are small.
How much more do we Americans have to put up with?
11
@Lyndsey
Don’t criticize Trump.
Coal doesn’t mean a thing. This old polluting technologies.
Soybeans are gene manipulated.
North Corea won because nuclear warheads are a real thread to the south with LG, SAMSUNG and other out off a military dictatorships fostered economy.
The stock market buys and sells anything, even nothing to make profits . It doesn’t matter to them.
I fear that the President will just keep digging in to preserve his need for a win, while using all of us as collateral. The Chinese play a long game and are obviously turning him down at every juncture (read no soybeans) knowing his very many weaknesses. The President thinks he can bully them into submission, but is clearly out of his league here.
6
So the US enacted legislation in 2000 that resulted in permanent normalization of trade relations with China. Most business lobbies supported the proposal.
Providing China with a marketplace for its goods, the US has helped fuel China's economic growth. In turn, China has provided the US with inexpensive goods, thereby, satisfying the demands of US consumers and kept inflation in check.
China's large US treasury bond holdings are a source of leverage in its dealing with the US. Should China decide to reduce its holdings, the US would be forced to pay a higher interest rate to get other countries to buy its bonds. This would raise the cost of borrowing and add to US debt.
As John Maynard Keynes said, in the long run we're all dead.
7
And tell me again who pays these tariffs? Oh yeah, We the People.
So much winning.
35
The tariff money goes to the federal government which is a trillion short this year. Not a bad thing!
2
The tariffs are paid by the American consumers one way or another.
6
@Anne
This is a tax on the American consumer. Who do you think this is gonna affect the most? Middle class and less well off Americans. Do you think that the 1% will even notice that the price of an iPhone increased by $50.00? That their Christmas toy shopping bill was $100-$200 more this December? That those athletic shoes, apparel, sporting equipment is 10-15-20% more than it was a few months ago. The soy bean farmers in the mid-west are sitting on a mountain of soybeans with no one to buy them. How are they gonna afford equipment and other items come Spring? How are they gonna feed their families? Not loose the farms?
7
Should we suppose that Trump understands that the Chinese understand that our consuming citizens will be outraged by the tariff-induced inflation of the price goods? Maybe his "base" doesn't buy anything made in China? Maybe, like Trump, they're all stable geniuses.
11
Guess who's playing the Grinch this year?
"Your kids will be so lucky -- they'll get these authentic souvenirs from our great American coal industry. And it's clean!"
8
Amen.
The Christmas goods from China will start shipping soon, September, in order to be on the shelves in the department stores in October... more expensive than last year.
So much winning.
2
The tariffs are essentially Republican import taxes paid by the importer, and later passed on to American consumers in the form of higher prices. China doesn't pay these import taxes, and unless Americans have a another comparable supplier in terms of quality and price, they have no choice but to pay these hidden Trump taxes. Another Trump con aided by "Moscow Mitch" McConnell in their drive to continue sinking our nation even further.
8
Along with millions of my fellow Americans I want to thank Donald Trump and the Republican Party for ruining my retirement. I and my cohorts will remember at the polls in November 2020. And we also won't forget as odious as he is Trump is but the symptom; Republicans are the DISEASE.
35
Here we go again. What are the odds that Trump and his friends shorted the market right before that tweet? I would not be surprised at all if he let his cronies know right before he tanked the market today. Drain the swamp? I doubt that.
34
MAGA will turn into Make America Grow Air for many American farmers.
Those hoping China to resume buying their crops as if nothing happens while they participated in the racist Yellow Peril red-scare can wait. Then wait some more. Too proud & republican to accept government handout? Free tax-money?
Do not forget it is the "vile racist" (as Professor Krugman called him) who started this "trade-war" against China, egged on by China-hater "economist" Peter Navarro and other xenophobic China hawks like Michael Pillsbury around him. And Trump still insists China is "paying for the tariff." That's from someone who went bankrupt running a supposedly money-printing casino.
This is not a trade war. It is a racist tribal war declared by the white supremacist. In China the memory of the Hundred Years of Humiliation is still fresh. There will be no deal.
Just like Vietnam and Iraq, American politicians love to start wars that they cannot win. Lessons never learned. Winning trade wars is easy? Sure. Try China. And regret it.
11
@Observer
The "farmers" will be given our tax dollars instead
Redistribution of wealth, also known as "Socialism", done without the consent of Congress
Conservatives are livid with the "tax & redistribute to my donors" routine being pulled, which is why he will lose in 2020
8
@Observer
Too proud & republican to accept government handout?
The farmers are grabbing at the handouts.
1
I think it’s the game of egos. President Trump thinks he can make anyone bend in this world but Chinese are tough guys. They are not giving any leverage.
Do sanctions on China hit them badly ? That’s what the President thinks so. China doesn’t keep quiet but hits back. America doesn’t manufacture all the products required by its citizens. Chinese goods are found everywhere in America. Who is going to suffer most and at what cost ?
Global family seems to have broken into pieces on account of ego. What right America will have when it demands plenty of trade concessions from other countries ? How long this futile trade war will continue and to what extent ?
7
So when Xi Jinpingg calls up Mnuchin and asks him if there's a special line to stand in to redeem $1,000,000,000,000 in Treasury obligations...What's the game plan...
14
Better to owe than be owed.
2
@E. Nuff
Sounds like Republicans should start pitching that as their new motto.
Good -- stock market will go down... prices for the middle and lower class will go up (and maybe they'll be more careful in their purchases). Local taxes will probably go up....
#Environment improves for Democrat win in 2020
11
Forget "tariffs." Think "TAX."
8
Nothing like adding more fuel to the rapidly-spreading pyre of an economic melt-down, caused largely by Trump's nonsensical, egomaniacal, trade war with most of the rest of the world!
Who ever let the likes of Trump play with matches in a room full of dry kindling and highly flammable economies?
11
Trump's received numerous "Trump" trademark approvals from China since becoming president.
Do any of these Trump-owned intellectual property interests in China - including clubs, good sold at Trump-owned retail shops, restaurants, bars, accessories, apparel, etc. and so forth - any tariffs?
BTW, these trademarks were obtained without congressional approval, even though some of his family employees are still running the DTTM Operations LLC and are running around the White House acting as if they're his royal court.
Also, what about tariffs on include his campaign banners made in his China sweatshop?
And to the Republican party, just call yourselves what you now are. THE KNOW-NOTHING party. Your mascot is no longer an elephant. It's Sergeant Schultz from Hogan's Heroes.
7
This will not hit the people who matter, since French food and Italian designer goods are not covered, and little Debbie snack cakes sold at the Walmart are made in Tennessee.
5
Seen from abroad the approach might be crude but still an effective way to put pressure on China for having fair trade practices. Something that many Europeans also see is needed.
Companies that are sourcing from other markets will soon have a minimum 10% advantage over companies sourcing from China. Therefore it makes sense for importing companies to search for alternative suppliers and move business out from China. The pain on American consumers will be on high value supply chains like Apples and less on toys and low end electronics that can be made elsewhere.
For China’s part the low end products still create an impact as less workers are required in mnfg jobs. For american companies with a high amount of sales in China I think they will suffer the worst as Chine consumers shift to alternatives and have less to spend overall.
4
It might make some sense if the goods that are subject to the tariffs were targeted and if the added import fees applied to most or all countries exporting those items to the US. As it stands now, manufacturers just need to move their production to another low wage, low regulation country.
7
”Trade Wars are good , because they are easy to win”
7
Forget China—
This man, who calls himself Trump, is deranged and erratic and a clear and present danger to the United States.
12
By titling the article “US Will Hit China”, the NYT is using Trump’s language, helping him spread his message. Since tariffs are all paid by use companies and primarily by consumers, I think a better title would be “Additional Tariffs on Chinese Goods will increase Consumer Prices in the US”.
20
Oil dropped 7% after the tariff announcement. Surely Moscow Mitch and the Republican brain trust will step up to protect the oil wealth of Mother Russia!
25
China never opened up their market to the world yet our greedy companies whored themselves at the expense of their customers (us) to increase their profits and then our governments give them tax breaks while we lose our jobs or have to pay more for the very goods they sell us.
China is a wealthy superpower now because of us (collectively). We want our stuff cheap and our companies want a higher profit margin. China gives us both at a high long term cost.
Trump is just a symptom. We are the disease but none of us seem to want to take the medicine necessary to cure us of what ails us.
9
Trump will destroy this country with his petulant tariffs! The headline should read: "Trump hits US consumers with more tariffs!"
22
The stable genius just raised taxes on Americans AGAIN.
37
“Until such time as there is a deal, we’ll be taxing them,” Mr. Trump said in remarks at the White House.----- He still does not seem to know who pays the tariffs!!
14
Yes there will be some pain on the USA's behalf associated with such measures, but it is necessary chemotherapy to rid ourselves of the cancer that is China.
3
@Mark And just what makes you think we will be rid of China and its cheap goods (like antifreeze in toothpaste and pieces of metal in dog food)?
2
The tariffs, as they’re structured, will cause some pain in China as manufacturers relocate production but it will not benefit US workers by bringing manufacturing back to these shores. In the end, third party countries will gain low wage factory and assembly jobs and IS citizens will encounter higher taxes hidden in the cost of products we buy.
1
Trump and Schumer are in the same camp on China. Harris for political points favors China.
This announcement must have come around 1:00 pm. The DOW was trying to recover from yesterday, but took a nose dive and lost 550 points.
Nice going Donald. Who else can we slap a tariff on? Norway?
17
FYI if you didn't see this.
Note the repetition, just in case you didn't get the message the first time that it ain't Trump's fault, no sireebob!
Market Facilitation Program
Are you a farmer or rancher whose commodities have been directly impacted by unjustified foreign retaliatory tariffs, resulting in the loss of traditional export markets? The Market Facilitation Program was created for producers just like you.
Agriculture Secretary Sonny Perdue announced May 23, 2019 that USDA would again provide aid to assist farmers hurt by trade disruptions prompted by unjustified foreign retaliatory tariffs on their products through MFP. President Trump authorized USDA to provide up to $14.5 billion in direct payments through MFP for 2019 to assist impacted producers, which is in line with the estimated impacts of the retaliatory tariffs on – and non-tariff barriers to exports of – U.S. agricultural goods.
7
@David
$12 billion in 2018
https://www.nytimes.com/2018/11/19/us/politics/farming-trump-trade-war.html
@Andy in SoCal
Yep, and this now makes it over 26 billion and counting, all the way to November 2020. BTW, this was from the official USDA announcement and application form.
Just keep in mind what Tillerson said about Trump.
26
@ron
Trump couldn’t hold on to an oil executive who had the keys to the geopolitical landscape. It’s like giving heroin to a heroin addict, and the addict refuses the heroine because the dealer is too insufferable.
1
If a Democratic President had imposed new tariffs the day after a Fed rate cut, supposedly taken to prevent a recession, the GOP Senate would have excoriated the President for acting irrationally. Why isn't Moscow Mitch explaining to Trump how foolish he's being? Or did Putin warn him not to?
13
Good News, all around
1. Vietnam biggest winner from first year of the US-China trade war as supply chains shift, report shows
South China Morning Post , June 5, 2019
The supply chain was shifting anyway (that's from 2018)
Apple assembler Foxconn considering iPhone factory in Vietnam
Reuters 12/4/201
2, Good News for our military allies in the region
"Australian navy pilots hit with lasers during South China Sea military exercise"
Guardian, May, 2019
China deserves a lesson.
3. Good News for US consumers
Vietnam wages ( $ 2.78/hr ) are half that of China ($ 5.78 hr)
Unless US pockets the difference, you will get a cheaper products
6
You mean those manufacturing jobs now in China won't be repatriated to the US as a result of US tariffs? What a shock! Will Trump slap new tariffs on Vietnam to offset its increasing trade advantage over the US, shifted from China? And where, if at all, will this musical chairs game stop?
3
Why can one unqualified and very possibly mentally unstable person make these decisions that impact the entire world without Congressional approval?? Something is terribly wrong.
28
@Countryboy
Because of Moscow Mitch. He’s allowing it through holding the senate hostage. Basically he has given a green light to legislate through the executive branch because republicans don’t do bipartisan legislation. They only care about bipartisanship when out of power.
2
I rue the day Trump was elected, and recognize that these tariffs are something of a tax on American consumers. But where I differ from the majority of NYT readers is that it is a tax I'm happy to have, and wish was larger. My reasoning, partly based on living there recently, is that the China under Xi has turned into what is in essence a police state, with every aspect of life under the control of the communist party. Additionally, you have to look no further than recent reporting coming out of Hong Kong to see evidence of the communist party not doing what the promise, even when it involves international treaties. We need to stop doing business with these thugs and criminals, and I hope the increased prices from the tariffs discourages people in the US from buyin "made in China" products.
5
@Dan S. Wishful thinking at best as American business is hooked on cheap labor. Vietnam is the next exporting location as wages had already begun to rise in China. After Vietnam businesses are also looking ahead at portions of English speaking Africa. The moving target knows how to keep moving to maximize profits.
4
@Dan S. Right. People who still buy Chinese products are financing our own government a bit more, money that flows back to us. No big deal.
It’s amazing how today’s stock prices, Trump hating, etc. matter more to people than the frightening prospect of this China becoming the most powerful country on earth.
3
That makes absolutely zero sense?
Here are some realities for you.
Trumps trade war has cost America over 22 billion prior to this, not counting the farmer bailouts, which will double that figure. And this was before the last increase. We still haven't seen the full impact from the last round, and trump is proposing another one. And those figures come from independent market analysis groups.
And, if you are saying that this is slow China's growth, then why is trump and his family still investing in China? Seriously, if we are supposed to be scared and tariffs are supposed to slow Chinas growth, the why is our US President and his family so heavily invested in China?
I would recommend that you actually start educating yourself on what's really happening.
1
Good, I'm glad Trump did this, but for a different reason. In the long run the additional 10% on $300B tariff will prove beneficial for America, as our economy is inflated, overstated, overpriced, and allows excess and false profits for businesses and Wall Street. It will bring our economy down, more toward par or normal, not inflated, not a government controlled, influenced economy that results in gov't excessive spending, and business as well as individuals profiting from overstated prices on products everyday Americans have to pay. It is like our Dems candidates so called debates: they tell you what I just said, but they don't give you answers to why this is allow, why the gov't allows Trump to continue supporting only the wealthy, and having American working class taxpayers pay the bills.
"We'll be taxing them."
Does he still not get that the effect of tariffs is to tax us?
10
@Curbside But it doesn't tax the country clubbers he used to play golf with, so it's quite all right.
Good, I'm glad Trump did this, but for a different reason. In the long run the additional 10% on $300B tariff will prove beneficial for America, as our economy is inflated, overstated, overpriced, and allows excess and false profits for businesses and Wall Street. It will bring our economy down, more toward par or normal, not inflated, not a government controlled, influenced economy that results in gov't excessive spending, and business as well as individuals profiting from overstated prices on products everyday Americans have to pay. It is like our Dems candidates so called debates: they tell you what I just said, but they don't give you answers to why this is allow, why the gov't allows Trump to continue supporting only the wealthy, and having American working class taxpayers pay the bills.
Sadly, you expect this from Dirty Don the Con.
Scary thing is the rumblings of protectionism emanating from the democratic contenders. I really hope they don’t follow along a Trumpian path, not even slightly.
From an everyday standpoint, these tariffs are horrendous. But I think on a grand scale, they are having the intended effects. There is great uncertainty in China, and multiple American and European companies have moved a significant portion of their operations out of the country. This has and will continue to slow China’s economic growth. It will also remove a part of China’s source of intellectual property.
Both countries are getting hurt, but China has a much faster growing economy. The effects of the tariffs are much more impactful in China.
I see China as the biggest geopolitical threat to the United States. And one of its greatest weapons is its economic leverage. I have not heard any other proposals for dealing with this opponent. I loathe this administration, but Trump is the first to reign in China since its modern rise to power.
2
@John
What I find amazing is libertarians and republicans version of capitalism. It’s not free trade if you only do it when it benefits you in a one sided manner.
High tariffs are seen as tyranny of the state against trade. The individuals and companies have their ethical, monetarily and moral duty to remove themselves from China if they believe there is a problem. That’s called capitalism and free trade. It’s also called freedom. We didn’t force them to go there. They chose it and had no problem blocking unions and democratic institutions entering China to keep capitals profits up.
If they don’t like it, leave China.
3
@John Wait ! It's a contest? All about who gets hurt the most and the fastest?
And that's now our definition of economics and diplomacy?
Only someone who is "like a very smart man" could have come up with that one.
Who is this good for? I am not a China fan at all but this seems more likely to hurt most Americans rather than help.Trump will be gone before we know it. XI will still be in office and we will be broke. What then
10
@Morris Lee Trump will never be gone. His tax cuts for the SuperRich will hang oveer the heads of us "little people" for generations.
1
So now Trump is penalizing other nations for not buying American goods? Did the Chinese sign a binding document that forces them to buy American goods? Sorry but we can't let this man continue to come up with these Woodstock bad acid type economic decrees by twitter that are speeding up the arrival of the next world recession...
3
Chinese made goods are an important component of the purchases of American lower and middle class people. No matter how uninformed or misinformed this President is and what lies he says, this move is a significant tax increase for them. Yes, the President is unilaterally increasing taxes on lower and middle income Americans hoping it won't be noticed.
Sorry, Mr. T. we noticed.
8
Ok, let's pretend we henceforth by nothing whatsoever from China. There's maybe 165 other countries who could sell us stuff and more importantly PRODUCE stuff we think of as American goods: Nike shoes, iPhones, etc. What is the point of this trade war? Even if we "win", nothing about this process forces the production of goods back into American mainland factories. Walmart will just source their plastic consumer junk from Vietnam & Malaysia. The source is irrelevant, it is always in the end "Made in Somewhere Other Than America"
1
As much as i despise Trump, he's right on this one and his approach to China. Critics are blinded by their hatred of Trump, they can't see clearly, nor do they want to, they love to criticize Trump for everything he does, and except on this important issue so do I. It is interesting though, those who promoted the China trade policy since the early 1990's are the diehard Trump supporters: Wall St and the big corporations. They are the ones responsible for the mess we are in now, now its come back to bite them in the... Another thing, people are saying how this hurts the farmers. Well i have news for you, most farms are owned by big corpoations, the myth of the old school family farm is just that: a myth, with a few exceptions. So, i say to Trump; Good work! In fact we need to start penalizing the corporations who got us to this point. The inconvenient truth.
3
@lou andrews Lou, you've said that every day this
week. I can't imagine how strongly you might support the guy if you owned up to liking him.
Someone needs to seriously start investigating Trump's manipulation of the stock market. As the market goes up today on Fed lowering the interest rate, Trump drops this bit of news, sending it crashing down - and sending the inverse EFTs spiking upwards. This is not the first time he has done this, it's a pattern.
7
For someone claiming to want to put America first, he has a funny habit of destroying our economic, social, national security and environmental well being all at the same time. If Trump and his insane policy decisions get pulverized in this election cycle, we might have a chance to restablize the global economy before there is a complete melt down. Repairing our trade partnerships and our democracy, national security and environmental postures will take time. But four more years of this will be our downfall, if it isn't already too late.
2
The few people talking about the tariffs hurting the Chinese economy have not taken a good look at China lately. Years ago pictures of China showed the average person riding a bicycle. Now the middle class living standard that used to exist in the US is in China (no bicycles in sight just loads of cars and plenty of smog). The Chinese have been creating and stealing to the point where they can just focus on delivering goods and services to their own economy and do just fine (like the US used to do). They have even enhanced their infrastructure with things like bullet trains, well made roads, and bridges that rival any first world country.
And those farmers are right that in the long term they have lost markets as I read an article yesterday the Chinese are now in talks with places like Argentina for grain and soybeans. He who has the gold makes the rules comes to mind.
And all Trump can think to do is increase tariffs that only raise prices for the American consumer. God I hate how the Chinese are being hurt!!! (said with a large dose of sarcasm)
10
@Cherrie McKenzie
"I read an article yesterday the Chinese are now in talks with places like Argentina for grain and soybeans."
https://wits.worldbank.org/CountryProfile/en/Country/ARG/Year/LTST/TradeFlow/EXPIMP/Partner/by-country
I WOULDN'T WORRY TOO MUCH.
1
I hope the media will not neglect to call Trump out for falsely declaring victory in the trade war several months ago (just as Trump falsely declared victory over North Korea disarmament.) The press so often seems unprepared to press Trump on his falsehoods, exaggerations, and downright lies.
11
China may consider unleashing it's hacker army against Trump and exposing his private holdings to the world.
They will blame their attack dog North Korea for the breach.
Kim will be glad to increase his rep.
With four times the GDP of Russia and the leading supplier of electronics on the planet, how might that play out?
There are so many nations that stand to gain with Trump outed, it is a matter of when, and not if.
9
@Lawrence
1. not 4 times, new update is 10 times of Russia and 65% of US. Russia is like 1.2 trillion now, less than Korea.
2. N Korea was attack dog of Russia for 70 years, and still is for now.
@Lawrence "....so many nations that stand to gain with Trump outed," THE QUESTION IS, MIGHT WE BE ONE OF THOSE "GAINERS"?
1
Trump loves conflict. He has picked fights with a dizzying assortment of adversaries. It's hard to see the benefit of America's bullying behavior, which does little but isolate the US from the rest of the global community.
One thing that is clear however, is the determination of his handpicked adversaries not to hand him a victory. Like all bullies, our fearless leader is playing for bragging rights to "wins", but will be quick to blame others when he becomes the victim of his own ill-advised actions.
5
Trump to China; "If you don't do it my way I'll tax U.S. citizens another 10%."
34
Anyone want to guess if he'll change his mind 5 times before the "deadline" ?
11
Mr. Powell, the Federal Reserve Chairman sees the writing on the wall.
I predict a new Fed Chief before this year is out.
Nobody stands in the way of a dictator, Period.
4
Others have probably noted this already but Trump no doubt felt emboldened by the recent Fed cut and the expectation of more if needed.
The Fed’s job should not be to prop up an incompetent president and his looney trade policies, but they do have to react to economic realities.
So, just like his repeated bankruptcies where he walked away and stiffed banks and contractors, Trump can wreck international trading relationships, and leave everyone else worse off. Plus the Fed has less room to respond the next time the economy goes into recession, which by the way it seems to do with regularity as Republican presidents are leaving office.
6
Trump ratchets up his bullying trade war and then expects taxpayers with subsidies and Powell with lower rates to rescue him. I thought you guys believed in the free market, not a king's version of a free market.When is America going to be America again?
10
Well, now China that is fixed, Trump can now unit North and Souther Korea and fix Brexit. Then after lunch, he can turn to Venezuela, the Philippines, and Poland. I am just so tired of winning.
10
President Pinocchio is used to using his wealth as leverage to intimidate and subjugate opponents through bullying. He has no concept of how to work with people as peers. He never had to do so his entire life.
I’m also recommended the Times research Moscow Mitch and his wife in the administration for sweet heart deals and underhanded favored treatment during this process.
6
From Trump's Twitter account @2:50am on 3/2/18...
When a country (USA) is losing many billions of dollars on trade with virtually every country it does business with, trade wars are good, and easy to win. Example, when we are down $100 billion with a certain country and they get cute, don’t trade anymore-we win big. It’s easy!
Easy to win, eh? Are we winning yest, Donnie?
7
@The Arizonan
It just astonishes me how absolutely ignorant he is about the most basic things. "Losing many billions of dollars"... also known as spending money and getting goods in return *rolls eyes*
2
There are collateral damages during any war. These tariffs on Chinese goods are just that. If, companies don't want to pay those tariffs they can move their production out of China. As reported in the New York times, that's what most companies are doing now. Yes in a long run, China is losing the trade war. Those companies will never move back to China.
Yes, Americans are paying for those tariffs now. But this is a temporary situation. 2 to 3 years from now most goods coming to the US will be coming from outside of China. I'm happy to pay an extra $50 if that would thwart the communist party from controlling the world.
A reminder for those commenting on this board, if you were in China, you would not have the right to say what you are saying about Trump. So if you don't think that's a right worth fighting for, well 50 years from now, I'm sure your grand-children would be thankful to you for giving control of the world to the communist party of China because you were more interested in having the latest iPhone than protecting freedom. Ask people in Hong Kong or the millions of Muslims imprisoned by China for that's the world we'll be living.
Besides, how many Chinese trolls are on this board voting up comments that are anti Trump?
5
@Chaks I can't stand Trump. I liked Obama. Everything Obama did, no matter how good, came under attack from the right, and it always made me cringe. Reading this comments section makes me think that 1) the left is not much different, 2) the American people don't have much of an idea how the communist party uses lies, fear, and coercion to rule China, and 3) they also don't understand that Xi's goal is to greatly expand China's dictatorial powers over Asia, and anywhere else it can.
3
One does not have to be Chinese, to dislike Trump's trade war with China.
3
@Chaks
"If, companies don't want to pay those tariffs they can move their production out of China."
They're not paying those tariffs. We are. You said so yourself in your own comment.
China has markets all over the world. If we're not buying the products, someone else will. And when Trump is out of office, whether that's in 2021 or 2025, the US will go back to normal trade relations. They know this. They know that all they need to do is wait him out. Or they could just wait for him to change his mind, like he always does.
Whether or not I would have the right to say anything has absolutely nothing to do with whether or not this is good trade policy, and trading with China won't take that away.
"Protecting freedom"... yeah, the last time I heard that, my fiance, father, and brother were sent to fight in Iraq. Spare me your sound bites.
1
Trump would give them Yosemite and throw in the Washington Monument if they promised him a Trump Tower in Beijing.
12
Trump needs to halt immigration from China. They don't respect us, so we shouldn't let them come here.
1
Trump needs more leverage to get those Macau gambling licenses.
4
How many trillions of dollars of US Treasuries do the chinese hold?
2
We have elected a yo-yo as our president in many more ways than one. It's costing us and it's going to cost us a lot more. Diplomacy by tantrum tweet is a losing dead-end.
6
North Korea does missile testing which can perceived as a military threat in Asia and Trump shortly afterwards issues new Tariffs against China! This is the third time this has happened! I cannot believe that those in "the know" cannot make the connection: Asian Foreign Policy and Asian Trade Policy are intrinsically linked! This is no coincidence!
1
Based on the two plus years of non-stop disastrous decisions and blindingly incompetent policies, will the American people tell Mr. Trump in November of next year, that "you're fired?"
4
I don’t know why the Democrats don’t start calling the tariffs for what they are: a “Trump Tax.” See how easy that was? #TrumpTax for the Tweeters. You’re welcome, Dems.
23
Typical tRump inverted reasoning... make Americans pay more taxes (AKA tariffs) so he can sound like a big toughie. Wall Street understands..... that’s why it’s tanking.
6
My guess is that, whatever the hardship this tariff war visits on the Chinese, Xi will hold onto power and the populace will adapt and find other markets for their goods (India apparently is now the fastest growing economy in the world)
But I believe the U.S. population, where recent middle class gains are minimal, will not be so forgiving of this administration when prices rise and crops lose their largest global market.
3
I seriously doubt there will be any decline in trump’s support. His support is based in non-economic issues like racism.
1
Way to go Trump (For once)! Confronting China is long overdue and the tail end of this economic boom is an excellent time to do it.
While vested interests are shouting out loud and complaining, alternative suppliers will be ramping up production and hiring in the background. Apart from some specific niche business products, there is nothing we need from China. It’s better for our national security if cheap products come from small countries like Vietnam, as making the de facto dictatorship China the most powerful country on Earth is a bad idea for the West.
1
Brilliant
Tariffs tank the economy, forcing the Fed to again lower interest rates in September.
75 days before the 2020 election trump will manufacture a win with trade talks with China, lifting tariffs and boosting the economy.
Almost exactly one year from today everything will boom.
3
Like Trump said trade wars are easy to win. Look, the tariffs are nothing more than a tax that we Americans will have to pay for having genus Warton School graduate in office. I don't know about you but to have significant national policy introduced via twitter is just incredulous. I hope you folks realize that what Trump is doing he has done with most of his businesses-bankruptcy.
The tax cut that added a trillion dollars in debt, the hi cost to Americans as a result of an unnecessary trade war, the failure to employ competent people for cabinet positions, and a total failure to understand the nature of the American and world economy ,is driving this country to bankruptcy. The worst is yet to come- We have let loose a man running our country into the ground. And Moscow Mitch will also go down in history as the man who helped Trump bankrupt America.
3
Tariffs sound tough but they do no more than hurt people. We consumers will now pay more for not only Chinese goods but also many unrelated items. Manufacturers and resellers will use tariffs as their excuse to charge us more.
Trump's tariffs are a gimme for businesses and profits. They have nothing to do with China or trade and everything to do with making some folks more profitable.
We belong to a world community and trade is global. No matter how hard he tries, trump will never be able to isolate us and make us self-sufficient. The world community is too dependent on all its members.
3
Tariffs are an extreme form of socialism as they protect and encourage inefficiency in protected industries.Also military spending is a direct support from the State for selected industries.
Energy is subsidized directly and indirectly in the USA subsidies per capita more than other nation.
Our deficit and debt are growing faster than any other industrialized Nation.
Trump in the past has promoted a wealth tax, supported universal health care .
So Trump clearly has no time for true capitalism , the free movement of goods and services , he makes Sanders look like a Capitalist.
What we need to do is manufacture products the rest of the world wants a la Germany.
I have worked for both German and American Auto Companies , sadly when it comes to International demand , American Autos are not in the same league. Hence our biggest exporter of Autos is BMW.
China will retaliate stimulate its economy to compensate including military spending , we react only , they also react but have an underlying long term plan.
They are running ahead of us in Artificial Intelligence , infrastructure and pushing hard in the Aero Space segment .
We need disciplined , forward thinking Government, Trump lives in the past
2
When Trump began this trade war, farmers and Wall street voiced confidence, assuming the master dealmaker would resolve things soon. I have to imagine that confidence is waning by now, as Trump's assurances of an upcoming deal lack credibility.
Trump's impulsive tweets move markets. Wonder how long before his family and friends and takes advantage of the swing for personal profit. The holy grail for any day trader, to know beforehand which way the market will move.
3
The Democratic candidates for president are staying silent on Trump’s tariffs, because the truth is, they love his tariffs. Tariffs are taxes and Democrats love taxes. If we get a Democrat in the White House, these tariffs won’t go away. If anything, they’ll be increased to fund their socialist agenda.
Can we please start adding a 'Trump Tax' line item to receipts at all stores? I'd like to see in real dollars how much this is costing me and I think all Americans ought to be able to see too.
3
I remember the day in 2016 when I realized I knew more about economics than Donald Trump. (I've only completed Econ 101, BTW.) Trump was telling someone in an interview how he would handle the deficit and the national debt. He would call the U.S. govt's creditors into the Oval Office and tell them they simply had to accept a lesser amount for the debt they held. Ten cents for every dollar? Something that he did as a near-bankrupt businessman to force his creditors to take something instead of nothing. I thought to myself: Somebody has to whisper in this guy's ear, "Sir, we can't do that. We print the money."
3
Now will Jerome Powell cut interest rates another .25% so that Trump can escalate to a 25% tariff in September?
China announces that it will no longer buy U.S. debt.
And will sell the paper it holds at a steep discount.
Has anyone in power contemplated that scenario?
4
Trump tweets about tariffs again dragging the market down. I wonder who are Trump bear friends? I bet we can spot them from Alaska!
2
During last night's debate, how much did Steve Bullock say that Trump's tweets about tariffs in China cost farmers in Montana?
Let's count the "costs": 1. Undermining years of building markets for agricultural products in China, 2. Chinese investment in US manufacturing and real estate, 3. Supply line disruptions which send up the cost of manufactured goods, 4. Future access to what will be the largest consumer market in the world (and a market our producers need access to), 5. A good will between countries which is critical if the US is to have any influence in China (on human rights, for example).
The only ones "winning" here are Trump's cronies who are probably shorting the market.
7
More tarifs will finally push inflation towards the Fed's target. Mission accomplished?
The whole trade thing started three years ago when I and others here wrote of how manufacturing had to return to our soil for strategic reasons. That simple idea was taken for political gain by this fraud of a President to win the office and now that he is here, instead of bringing back manufacturing, he further incentivized the exodus by creating the foreign profits tax that was still less than even the reduced national corporate rate. It was another fraud by he and Congressional Republicans. Then still not returning, Trump started his trade war which is really on we consumers as we are taxed by Tariffs on goods we buy. The tariff money goes to the treasury to offset the fraudulent Tax cuts deficit. And now Trump is taxing us even more to fill the treasury to benefit his wealthy class's free ride on our backs. Still, manufacturing is not returning, instead moving to other foreign nations.
Trump is a fraud and that's the bottom line folks.
2
Doesn't Trump have a clue that the American consumer has to pay these tariffs and not the Chinese government? Great job by him today destroying the gains in the market and driving it way downward again!
1
Americans should consume more American agri products like soya and not depend on exports to help farmers. America's health will significantly improve if we consume more soya beans as a good protein source. Have you tried edamame boiled with red dry peppers and black pepercorns with your beer or other drinks? That iss what reminds of my stop in a Beijing outdoor restaurant.
2
hasn't anyone told this guy that those tariffs are tacked onto whatever we buy?
1
Trump's tariff timing, like his rationale, is kinda suspect. China is facing massive unrest and a global PR disaster over the problems in Hong Kong - which prompts the nagging question in Trump's 'yuuuuuge' brain - ' How can I make it worse?' Well, he's sure made it worse for US businesses and consumers who ultimately foot the tariff bill. What should have been a negotiable trade dispute has turned into a street brawl - with both sides being bloodied. That's not statesmanship - that's brinksmanship. America is way bigger than this and it's beyond sad that this President lacks the skills to finesse the nation's might into a smarter solution.
So, is the job of President of the United States the only job where you can be completely crazy without losing your job, or being placed under psychiatric observation? Trump rails against the Fed to lower interest rates, which they recently did and markets were seeing an upside this morning, before Trump goes off the rails against China, again. The stock market tanks after significant morning gains. I would bet my last dollar on the certainty that China and Russia are war-gaming scenarios for an American civil war.
2
Oh well , there’s always Bankruptcy as an option.
1
Meanwhile, China explores and opens new markets. Sorry, farmers, but you've been conned, and your market is not coming back. You'll still vote for Trump, of course.
2
There is no market anymore, it's just robots and algos trading on the latest Fed fad.
Trump knows he can move markets with announcements like this; people are saying that he or trusted friends are short-selling the market to make small fortunes. The SEC needs to do a thorough review of short-selling activity around these out-of-the -blue announcements.
The cover story that this is retribution for China not buying agricultural products presupposes that there was an actual agreement with dates and quantities, which almost certainly never happened.
8
1.Unconventional rate cut yesterday when economy is supposed to be great, while acknowledging that the trade war is dragging things down.
2. Market reacts negatively yesterday because they wanted a bigger cut. But a bigger cut would also imply things are worse.
3. Market is a bit positive this morning, in the hope of more cuts?
4. Trump tweets an unexpected escalation of the trade war, and the market reacts negatively. Would that make things worse and increase the likelihood of the cherished rate cut they so much want?
The mental gymnastics that are required at this point to convince oneself that things are great and will end great for everyone are astonishing.
A crash of epic proportions is coming and some people still think that someone will be in control to give us a smooth landing.
664
@Miguel sanchez . Yes, and I'm willing to wager that some of his cronies are tipped off and playing the market swings to perfection. He makes a lot of phone calls we'll never hear of.
175
@Miguel sanchez No one has been at the helm or 'in control' since 2016.............
98
@Miguel sanchez
...and if only the SEC looked into stock trading of Trump, his family and cronies around the time of his tweets with regard to tariffs over the past few months. This would include the Mexican tariff "hoax" and now this new announcement with regard to China. Trump didn't get his "great" Fed interest rate cut, so he goes ahead and gins up another round of Chinese tariffs to destabilize the markets, create great uncertainty, and force the Fed to do his bidding. Oh, yes, he also has adjustable rate loans to consider as well.
95
The year before the initial 10% tariff was imposed, I renovated half of a rental duplex. In the months after the 10% tariff, I renovated the other half of the duplex. The same materials, quantity of materials and vendors were used. The prices for most of the materials-countertops, cabinets, flooring, lighting and other items increased. According to the vendors, the increased prices were due to the tariffs. The National Association of Home Builders has said that 450 items commonly used in residential home building are subject to the tariffs. I was not pleased having to pay more for materials but at least my second project was undertaken before tariffs increased to 25%.
335
@PW And yet, one of the reasons cited by the Fed for cutting rates is insufficient inflation. Anecdotes are single data points without much relevance.
9
@PW
"According to the vendors, the increased prices were due to the tariffs."
You were possible, and probably ripped off by the vendors and contractors. The materials were probably already stored somewhere in this country long before your second half was done, and long before any tariffs were in place. My guess is your contractor added the mark up just because he (or she) could get away with it. Even if you were shown vendor invoices (which is doubtful as you say you took the vendors "word" for it, please understand that it is no problem fabricating them easier than fake I.D.'s used to be.
9
@Mark Shyres, I am not sure that is how the pricing game works. Don't oil prices and other commodities change prices based on futures? Any knowledgeable input on this is welcome.
13
If you needed confirmation that Trump can’t be trusted here it is. For as long as nothing is signed the Chinese will not start buying US agricultural goods. Why would they?
Just another proof that Trump is simply not a businessman, let alone a deal maker.
626
@UB
No, he's a film-flam man. A type deeply admired in the U.S.. Here in Florida we elected one to the governorship
for two terms and then elevated him to the position of U.S. senator. He is, of course a great admirer of President Trump.
52
@UB
One does get the notion that he has no idea of what he's doing
18
@UB Mr. Trump considers himself being a good businessman and as president he continues to act as the businessman he would like to be, not acknowledging that he is an awfully bad businessman.
8
Well, that will definitely bring those Chinese to heel. I really don't understand how Trump thinks that the window is still open. The Chinese can read the polls and may be looking at a different President and even a Democratic Senate in a matter of a year and a half. Why would you spend the next year hammering out a deal that might last only six months? Then, even if Trump somehow survives, the Chinese realize he is a lame duck as of his first day in office, with every Republican strategizing their next move. Bottom line, it makes more sense to dig in than to compromise.
521
@Steve The Chinese have been around for thousands of years, and they can wait another 18 months for this clown to leave office. In fact, they have no economic self-interest agreeing to a trade deal that actually helps Trump keep his job. They are not without fault in this conflict -- not by a long shot -- but they are not stupid.
234
@Steve Worse, they, the Chinese, might be ramping up a Russia like intersession in the 2020 election. Why gamble when you can cheat the system and win.
36
@Steve Everyone knew trading terms with China were lopsided: continued developing nation tariffs, IP theft, unfair market protection (forced JV, no access to Internet service market, ...), etc.
Why on Earth would 46 go back to those terms? Progress is being made but one needs to stop seeing Trump as a Hollywood villain who can do no good.
9
The tariffs are being imposed on the American people not China. These TAXES have not been approved through the legislative process, but by fiat, the twisting of National Defense provisions. TAXATION WITHOUT REPRESENTATION!
43
Trump's mentor, Roy Cohn, taught him "Never apologize, never admit a mistake, never back down" no matter what you may have done.
If you do any of apologize, admit or back down, you lose big points with the members of your cult of personality.
So Mr. "I went to Wharton (but did not get an MBA)" is doing his very best to prove that he is the "big dog" in the fight, even though his economic understanding is nil.
Unfortunately, rather than even frightening the other dog, he appears to have bitten his ostensible dog walker, instead.
14
As for his undergrad Wharton degree, he spent the first two years of college at Fordham, and got into Penn for the last two years only after significant efforts to use connections got him in. There a reason he won’t let his transcript be seen.
3
"Great! Burn it to the ground America! Anything that can disengage China from the US benefits Russia, and now I can play China against the US. Call it triangular diplomacy in honor of your President Nixon." - V. Putin (Spy, retired)
8
How do you like the “ art of the deal “ now?
10
Your headline is all Wrong! It should read, "Trump hits American consumers with more taxes in the form of tariffs"! I guess the blue states will be getting ready to bail out all those red state farmers for as long as the eye can see the way Don is going. We need Trump out of office yesterday!
20
Vote him out. The "Stable genious) is neither stable nor a genious. Protect our demcoracy. Get involved in throwing him out.
8
What is truly incredible is that 42.5% of the American people support this man (according to fivethiryeight.com).
18
@ScottC Why is that incredible? The economy is still booming, that heavily favors the incumbent.
@ScottC Trump's people are "the poorly educated" (Trump's words) who likely have no real grasp of economics. But they like their man because he appeals to their resentments and racism. It's easier for their small minds to accept the idea that the reason they've made little progress for the last few decades is "brown people" not corporate greed.
2
@Anne Not so fast! 2.1% growth last quarter, disappointing since 2.7% was expected by economists. Trump wanted 3%
Billions in bailouts to farmers paid by you and me
stagnant wages for the great majority of working Americans.
Over 22 Trillion national debt and climbing (America's credit card debt)
High levels of debt by consumers, low levels of savings.
reduction on interest rate by the Fed, an indication of trouble ahead..
1
I will keep hitting myself in the face and make believe it doesn't hurt until Russia gives up.
3
Trump and Moscow Mitch are Putin's puppets and China knows it. They will wait Trump out. Meanwhile middle class and lower Americans just received another tax hike.
15
So Americans will pay more for "made in China" goods--what isn't?
And US farmers will lose a huge buyer.
And taxpayers will have to subsidize US farmers.
Lose, lose lose.
How smart is that?
39
So, let me see if I have this straight. Yesterday, the Fed dropped its benchmark rate, after months and months of pressure from Trump and Wall Street, a quarter point in order to, in part, lessen, or avoid completely, the coming recession.
Today, Trump decides to escalate his trade war with China. There is a serious disconnect going on here.
It’s time to stop working at cross purposes here. Congress should revoke the president’s power to unilaterally impose taxes on the American people. Tariffs are nothing more than a tax, and China is not the one paying it, in spite of Mr. Trump’s delusional thinking.
18
This is one of the few issues where the president’s instincts are right. China is a bad actor. They steal shamelessly, bully our allies, manipulate their currency... this fight should have started two decades ago, were it not for the incompetent adventurism of Bush II and the milquetoast passivity of Obama.
Unfortunately, his execution so far has been ineffective. Imagine if Trump had marshaled the support of America’s allies to apply even more pressure on China. Imagine if he’d made Chinese cooperation on disarming North Korea a non-negotiable term of favorable trade relations with America. Imagine if the proceeds of his tariffs were pouring into green energy research, jumpstarting the next wave of technological innovation that will fuel America’s economy (both literally and figuratively) through the 21st century.
3
@Michael. Non Sense!! He's instincts are wrong, for the simple reason that Trump doesn't understand that world economies today, ours included, are global. If you penalize a huge economy like China's with tariffs, you penalize ours, and even worst, if you escalate the war we'll be much closer to another world recession.
@Michael
In other words, "imagine if he hadn't torn up the TPP," right?
1
Half the goods marked “made in Vietnam” are actually produced in China.
The cargo leaves China and the freight forwarders doctor the bills of lading.
It costs about $100 to doctor the documents.
I was in the contraband business for decades.
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@New World
Really? In Vietnam? Prove it, “New World.”
If this is an another example of The Art of the (mis)Deal, no wonder he went bankrupt 6 times. The self-proclaimed great negotiator just can't get it done right.
11
I ask everyone not to forget that Trump is just another symptom and not the disease. I attended high school in Los Angeles in the 1960's in a multi-cultural district; no one got shot at my school, no one got stabbed.
3
In Trump Tower on Fifth Avenue, a call comes in from D.C. to the Trump Organization. Yesterday: Sell. Today after the announcement, buy! It's not about Hong Kong or the Uighurs or Tibet. Donald doesn't know where Tibet is. He does know how to manipulate the markets.
14
What we are seeing here now is the last sting of the dying wasp. Our survival depends on us all recognising the reality of our interdependence. We are now too small a planet for any other way forward. If we survive, and I'm sure some of us will, we will look back at Trump and his ilk as the last of the grunting cavemen who believed might was right.
7
I'm curious after reading "the art of the deal"-How does the USA declare bankruptcy and what are the tax benefits thereof.
Asking for a friend: what are the recommended financial strategies when the Russians take over the USA without having to fire a shot?
4
We are all the poker chips in the great casino that is Trump's policy.
7
Trump: "Trade wars are good and easy to win".
Before forcing a unilateral trade war on the US and our trade partners, blowing up whole businesses and industries without a quick exit strategy, the foolish Trump Trade Doctrine never attempted to hammer out a deal.
Before tariffs, diplomacy should have negotiated a deal.
It takes a year or two but Trump has ADHD. He acts impatiently and impulsively with TV episodic drama.
The same bomb first, ask questions later, happened with the ACA repeals. Destroy without any plan to replace.
No Plan Sam Trump.
There are people that understand trade. None work for Trump. He wouldn't listen to them if they did.
7
Yawn.
What it should say is: Trump asks all Americans to pay tax surcharges on all goods made in China.
7
Does this dude understand "The enemy of my enemy is my friend" somebody needs to help him understand he is a place holder in our system of democracy and at the most "God forbids" he will only be in there eight years. We are not the only place to buy groceries, bombs, and bullets. Once you lose your customers, no matter how good your products are, they will shop somewhere else if they don't like the way you treated them when you were a customer. No man is an island and no island is a strong country. We are the United States because we are United and we've been able to build a Unified coalition around the world and because of that we are truly global badasses. Just my thoughts as a proud American.
2
He’ll change his mind tomorrow. Why even report on his tweets. September 1st is a lifetime away.
1
China is an evil empire. It's attacking Hong Kong, Tibet, the Uighurs, and the South China Sea. China has no Rule of Law is running a police state for its own citizens. Religion in China is forbidden.
My hat's off to Trump for having the fortitude to fight back against this evil. This is much better than a shooting war, but American must win.
14
And if it doesn't?
2
@Amy
Evil? Evil Empire? This reduces countries to slogans. This is not Star Wars.
4
@Amy Dear Amy, you really do not have a single clue of what you are talking about. China is not evil. It is not attacking HK, the protesters are doing a pretty good job doing that. China does have the rule of law. And the notion that religion banned in China is so ridiculous that I am speechless. Maybe you ought to tune off FOX and tune in the real world for a change. As for Trump the sooner he goes the better for this country and the rest of the world. Enjoy paying 10% more on all that good stuff you like, because your beloved Trump is making you. The rest of us are sitting back and laughing.
8
So Trump, in a tweet, says he will place a "small" tarrif on $300 billion, which by itself would be number 40 on the list of GDP's by country.
Something that is supposed to cost $30 billion.
ON A TWEET!!!
No one will trust the USA until Trump is gone.
73
@jhanzel Yes, and no one will trust the US after Trump is gone either.
4
Sadly, I don't believe the President of the USA.
33
Late one night drinking vodka in Moscow circa 1985 at a dingy bar at the "Mezz", (Built by Armand Hammer), a Russian businessman said to me that the West will never understand the Russian economy. Similarily, The Grand Bejing Hotel, circa 1986, simply rented hotel rooms for corporate headquarters as an unusual form of capitalism came to China and drinking moonshine late one night a Chinese businessman explained to me that both China and Russia learned to print money by copying the Western economies. Trump is taxing America consumers as China prints money, enjoys exchange rate controls and does trade everywhere. Trump is so far underwater doing exactly nothing but killing Farmers, left and right. Maybe, he can blackmail Powell for another rate cut by Friday.
17
And how many billions in "loans" does China hold on the US?
15
@susan: China holds about $1.11 *trillion* in US treasuries alone.
4
@susan As of March, there was just of $1T in US bonds. As for China's investment in the US, who knows?
4
@susan - Over a trillion, most of it bought during the George W. Bush Administration to finance the Iraq War. With a bank account like that the Chinese can kick back and relax, they don't have to work to pay the interest.
3
The Chinese read the same book Mitch used on Merrick Garland. Let’s wait till after the election and let the people decide.
18
And the focus turns away from the democratic contenders to something else.
And Moscow Mitch stays quiet.
15
"Trump Says U.S. Will Hit China With More Tariffs"
As much as I'm totally dedicated to the future and prosperity of this paper, I can't compute why you continue to put this largest of Trump lies in bold headlines.
We all know the tariffs are taxes on us. Why do you continue this practice? Why do you give precedence to accurately reporting quotes when you know they are outright lies?
This is really bothering me and others.
43
@SHAKINSPEAR 'Trump hits US business and Consumers with new taxes in trade dispute with China.'
4
The content of the articles has always emphasized that Americans bear the brunt of the cost, but the fact is Trump is imposing this tax on us by imposing a tariff on China. It would be utterly absurd and a distortion of the truth to ignore the fact that he uses protectionist devices to tax his own people, and for what? To once again emphasize that he's a liar? We already know this, thousands and thousands of times over!
2
I was just reading a transcript of Archer Daniel Midland's ($64B, Fortune #49, agricultural products processor) Q2 Earnings Call. Guess how many times China was mentioned, on a call that lasted for about an hour. 43 times. That averages out to about once every 90 seconds. Here's a quote from the CFO: "The major variable impacting our fourth quarter performance this year will be whether we will see significant purchases of U.S. agricultural products by China, particularly ethanol...if we don't see a resumption of significant agricultural trade with China, particularly ethanol, well before the end of the third quarter, it would be difficult to achieve adjusted earnings per share in 2019 similar to the 2018 as it would be near impossible for the ethanol margin environment to significantly improve from where we are right now." ADM is arguably one of those companies that serves as a global bellwether for economic activity. The longer this nonsense goes on, the worse things will be, not just for huge companies like ADM, but for all the people and businesses up and down their value chain. Trade wars, contrary to what the current occupant of the WH may think, are definitely not "good and easy to win".
28
@Elizabeth Ward - We can do without ethanol. Growing crops to turn into ethanol is an environmental disaster.
1
@Steve, I agree wholeheartedly. But neither your opinion nor mine is going to impact ADM's bottom line.
2
Is Trump bringing on a recession?
Are his words and actions destabilizing the economy?
Will Trump and the Republicans take responsibility for their actions or inactions that lead to a recession?
Can Congress DO anything to keep this from happening?
Will Congress DO anything to keep this from happening?
Can voters DO anything to keep this from happening?
Will voters DO anything to keep this from happening?
The answers are YES for all of the above, except for the will-do questions.
I don't know is the answer to the will-do questions.
6
@S Butler. Oh, I voters "will do" but it will come post the onset of the next recession when white middle and upper income voters are again on the brink of losing job, homes, and all savings.
2
It's as simple as Trump is obvious;
The economy slowed enough to require a fed rate cut so the present Tariff taxes on consumers are reducing prompting Trump to increase tariff taxes on Americans to offset the Tax Cuts deficit increase to his wealthy class. He's financing the tax cuts on our backs.
7
Sounds like he was unhappy with the 25bp cut. Fed citing trade tensions was a mistake ... now he can create tensions to get more rate cuts.
The Fed should hike to restore its independence (and prove they're data driven).
4
There is a history of Chinese governments falling when seen giving in to unequal treaties imposed by foreign governments. Trump’s tweets play into the hands of the hardliners in the Chinese government undermining any effort to conclude a trade treaty with China while he is President. The Chinese will simply wait as the clock ticks towards November 2020, fourteen months and a few days away. Trump is trying to bluff his way out of a poor hand and his tweets are the surest tell.
6
China needs to start bribing the Trump Administration if it want’s part of the play-for-pay scheme. Trump will do anything to help the Saudis now. Republicans don’t complain about Russian investments in Kentucky for Moscow Mitch either.
3
May I suggest a correction to the headline :
Trump Says U.S. Will Hit Itself With More Tariffs
Many of the goods coming from China do not have reasonably priced alternatives sold by US companies. Even if they do, US manufacturers will increase prices because they don’t need to keep them low to beat Chinese prices. All these tariffs do is push our prices up.
16
@daqman - That is a nice way of putting it. I like that.
2
Great -- more taxes on the American public. Trump just increased everyone's taxes by 10% again.
15
Another tax hike on the American consumer. No company will change its supply lines, given that they constantly are told that this will soon end in a deal. The Chinese companies know that and will refuse to lower prices to compensate for the tariffs. So the full cost of the tariffs are laying on the importer. In the short run they may decide to just eat that expense. However, a lot of them will not be able to do that for long - and we will soon see a lot of this tax transferred into higher prices for consumers. Price inflation is what the Fed want's; but Wall Street may panic.
9
The Fed lowered rates in large part due to economic risk from trade tensions – tensions entirely attributable to economic and diplomatic malpractice by Trump. The Fed tries to temper the ill effects of Trump’s policies and what does he do? Throw gasoline on the embers of the fire the Fed just tried to put out. One has to wonder if Trump is trying to push this country into a recession because I don’t know how else one judges the most likely result of his actions.
There isn’t even an intelligible policy or political end here. The only thing propping up Trump’s already abysmal approval ratings is the ‘good’ economy. The day his administration ushers in a recession his approval ratings go from the 40s to the 20s.
Meanwhile, the Republican Party has abdicated all previously held economic principles in favor of Trumpism. Apparently now free trade is bad and taxing consumers with tariffs is good.
8
In the interest of self preservation it's time to start impeachment proceedings. We are going to have a seriously crippled economy in another 18 months. Even the GOP should understand that now.
4
@Tim If the economy is crippled, the silver lining is that trump will be gone. No one will be able to blame the Democrats (well, they will blame the Democrats, but no one who is tuned in to Faux News 24x7 will believe the story).
1
Perhaps it would be more accurate to say that he is hitting Americans with more tariffs on Chinese products, since Americans will be the ones paying the tariffs.
8
Under a gold standard system, imports would draw down a nation’s gold bullion reserves. So, countries would try to balance trade to maintain their monetary base. US trade was well balanced until the early 1970’s when the gold standard no longer applied. President Trump behaves as if the Gold standard still existed and that importers are therefore losers.
Under the fiat system, a nation trades its own readily available currency for imports. Thus, exports are costs, as workers output benefits another nation. In what is called the “real terms of trade” the importer is the winner as its residents enjoy an improved standard of living.
3
Look at the photo; don't you get the joke?
Trump is taxing us to pay for the rich people's tax cuts and not China in reality all while Trump professes a trade war is occurring. Do you get it? Look at the photo again.
There is no trade war. It's just another made-for-v movie.
Trump can smile. He's getting his consumer taxes to make himself and his class richer. We are watching ourselves losing money on TV.
2
There is a twisted logic for the US hitting China with new tariffs.
Mr. Trump and his administration have been extremely angry with Germany and other European countries for their blunt refusal to assist the US in escorting tankers in the Persian Gulf. Indeed their unceremonious (some would say unusually undiplomatic) refusal has been humiliating for the US diplomatic corps.
This is the kind of news that Mr. Trump least afford to have on evening news, while preparing for the 2020 election. He knows that Democrats will exploit it to the fullest, indicating to the US public how divisive and chaotic US foreign policy has been during his time in the office.
So, how is he reacting to the situation? Simple! Being both spiteful and an expert in the art of diversion, he is going to his diversionary tactics list to pick two "moves" that are supposed to impact EU negatively and push the bad news to back pages.
1. He is sanctioning Javad Zarif, Iran's Foreign Minister, effectively killing all chances for a peaceful negotiation with Iran. This is a slap in EU's face which is still trying to salvage the US-Iran nuclear deal and has been pressuring the US to resolve its conflict with Iran through diplomacy; and,
2. He is imposing additional tariffs on Chinese products, to weaken Chinese economy, and further erode economies of the European countries indirectly. The US has been recently unhappy with Europeans for their weak Euro, which has caused US dollar to rise.
3
Trump speaks and markets fall. He just hurt millions of Americans. The price of almost every item at Walmart will increase due to the higher import tariffs paid by Walmart—not China. That’s the message Dems need to make clear.
2
Why does the NYTimes still keep calling these import taxes "tariffs"?
They are import TAXES that Americans pay.
They are taxes on the middle-class and less-privileged.
When I was running a business some of the things that went into my products came from overseas. So I had to write out checks to pay for the tariffs on those that had tariffs. I had to write out checks for the import taxes on those that had import taxes. And I simply passed those added costs along to my American customers.
We are finally calling Trump and GOP lies, "lies."
We still aren't calling GOP cheating "cheating."
The press is part of the problem in not calling a spade a spade.
While the GOP cut trillions in taxes to owners of corporate equity, they have significantly raised taxed on everyone else.
The Dollar Store will now be the Two-Dollar Store.
Tariffs are taxes and its the GOP and Trump who are raising them on us.
7
As a greedy capitalist investor, I love this news. Chinese stocks will tumble today and others like me can buy many equities for the long term in mind, because China is already years ahead and speeding down the economic growth highway, whether we throw a few burning tires in the road or not. Xi will win the game, he will be in charge of china much longer than Trump will be president and be able to fend off, ignore, or parry trump's attacks until trump is gone.
@W.N The mistake you are making is thinking that trump will be "gone". If trump wins in 2020, he and the Republicans will use gerrymandering, control of the courts, Russian hacking, and anything else they can get to lock in permanent control. trump will do what dictators usually do, have a puppet run as "president" in 2024 (say president Ivanka, don't laugh, it could happen), and just pull the strings behind the curtain. Eventually he can just eliminate the charade of having elections.
Yes, it can happen here. It IS happening here.
Since the popular opinion is the Fed cut rates because of Trump's trade war and Trump wanted a bigger cut, then of course Trump would just escalate the trade war to get a bigger rate cut.
1
We have to finally accept Trump is somehow innately driven to create bankruptcy scenarios. Not sure why, but somehow his genetics have become twisted to this cause.
1
It makes perfect sense that Putin would exercise his proxy to pull the rug out from under both China and the U.S. at the same time. Russia's economy is narcoleptic, and Putin is experiencing pressure from demonstrators to do something about it. The only solution would be to play his Trump card against the U.S., making the Russian oligarch look less bad by comparison.
Great. Finally we have a President standing up for the American people. We don't have to purchase their products. Use substitution for a another country of manufacture. Make your own Halloween outfit. It's more fun and much cheaper.
61
@Jon Galt
Additional tariffs would impact a lot more than Halloween outfits
144
@Jon Galt. In my book, making consumer goods more expensive, bankrupting farmers and other businesses and causing job losses isn't standing up for the American people. Go ahead; give yourself a headache trying to find certain items that aren't made in China.
186
@Jon Galt He "looks" like he is standing up for Americans but if he was competent he would have had a serious strategy in place. His "strategy' is screaming like a tantrum throwing 3yr old. Not going to work on adults like the Chinese.
As for buying elsewhere, good luck with that. Empty Walmart or any other retailer of Chinese goods and we will have a lot of potential bowling alleys.
163
The Fed states that there is no inflation. However, Mr. Trump keeps placing more tariffs on goods from China.
Every time a tariff is placed on those goods, the tariffs should be counted as inflation when the price of goods goes up.
With the Fed cutting rates, they are creating still more inflation.
7
What a bully! I'm beginning to wonder why any other countries even want to do business with the US. Trump cannot be trusted to make good on any promises he makes, about anything!
29
This guy is shorting the market!!!! We need to get serious about investigating Mr. Trump for securities fraud and tampering once he leaves office.
102
@Cat V
Thank you for finally catching on. It's pure market manipulation and he must be making multi-millions off trades in advance of his announcements. Let's hope the SEC has learned SOMETHING since Bernie Madoff!
11
@Cat V BINGO! We have a winner. Trump has been manipulating the market from day 1, and this is why he is still being supported by so many. The tax cut was one of the largest con jobs ever committed against America.
10
@Cat V Wake up, the whole Trump's gangsters are looting the investors
4
Please Proceed, Stable Genius. Even your ardent " fans " will catch on to the Con, eventually. Just blame Clinton, and Obama. As usual.
26
Wow, what a really great stable genius brain.
Trump should have the economy completely destroyed by October 2020.
And then he can check in to the tremendously luxurious Trump Penthouse Suite, in Florence Colorado.
14
Donald Trump reminds me of Vietnamese Buddhist monks who demonstrably conducted self-immolation as a form of protest. The Vietnamese monks had worlds' worth of greater courage and meaningful purpose - they were actually demonstrating for a principle. Not so Donald Trump.
Trump demonstrates his self-torching of the American economy, decimating our industrial and manufacturing base by artificially boosting costs, and levies a TAX across all of the consumers - including the very people who rabidly support him. In a word: chaos.
Nothing principled here. NO STRATEGIC forethought. Again, mere empty-headed stupid behavior designed to pander to nativists who feel they've been abused encouraged by a group (Kudlow, Lighthizer, Navarro, and Miller) within the Oval Office who REALLY wish to drive world economic stability and meaningful trade relations to a place where ALL lose - all except Vladimir Putin and China.
Trump is an idiot and his behavior - coupled with the sycophants who preen the Emperor's feathers and fragile ego daily - will drive the nation (and world) into a recession. The question: how deep and how long this time?
12