This just in fuckers. Looks like trade talks are going swimmingly.
NEW: “The United States is set to ramp up the pressure on China if a trade deal is not agreed soon, a key White House adviser said .. ‘These are low level tariffs that could go to 50 per cent or 100 per cent,’” he added
(via @scmpeconomy)https://t.co/2tt9aMJ29k
— Carl Quintanilla (@carlquintanilla) September 19, 2019
And for the Chinese side.
Both China and the US should cherish the current talks. Many US officials easily misread China's goodwill, think it shows Beijing's weakness. China doesn't like talking tough before the negotiations, but I know China is not as anxious to reach a deal as the US side thought.
— Hu Xijin ??? (@HuXijin_GT) September 19, 2019
DEVELOPING…
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The orange fella (soon to be grey) threw the first punch. Good luck and all that. I suppose not getting 8 years will be a huge insult to be avoided at any cost.
Hi Fly, Not sure why no one understands…China doesn’t want a Deal, they need to slow their economy and no Deal increases the chance of no Trump. Win/Win for China. Yes, they might agree to buy more Pork cuz of their Swine Flu Deaths. But they are just smiling when USA talks “tough” cuz they will just use that as Propaganda to blame USA when China slows..again win/win. Bottomline, since 2009 it’s been China Stimulus buying Copper, Companies, etc that has Grown this Bubble, QE around the world helped, but when China leaves the Cocaine Party…the Party is over.
It’s all about the battle for hearts and minds…however, If anyone believes China would survive a 100% tariff unscathed they are just kidding themselves. That would effectively be a boycott and I wouldn’t put it past Trump to do it despite the repercussions to the US economy.
The USA will not survive that trade war you described.
Care to explain?
It seems to me that we have plenty of magin.
What would cause the collapse? Paying more for toys and other plastic junk?
The US can easily “survive with zero trade with any single country in the world, because of our unique blessings of large, diverse population, excellent natural resoruces, and isolation from hot-spots (as shown in WW II).
That being said, many US companies rely on Chinese imports, as do American consumers. A 100% tariff on Chinese goods if enacted (not just threathened) within the next 6 months, would cause massive inflation in the US leading to a Depression. In China, it may lead to an overthrow of their governement as their population starves (there’s a reason they dropped the tariff on prok and it has *nothing* to do with goodwill).
Currently, the tariffs aren’t brining back jobs to the US. Howver, they *are* bringing jobs to Mexico, which is literally the next best thing
1) More/better payign job in Mexico -> Less immigration -> morejobs avaialble for Americans
2) Lower trasnportations costs and less environmental impact
3) Improving Mexican market for US exports.
However, this is a gradual trasnsition, and tariffs above 50% would be couterproductive, as manufacturing in North America (or elsewhere) could not ramp up fast enough. Trump may be stupid enopugh to *want* to do that if China bruises his fragile ego, but he will get too much push back from all sides for any tariff that high to actualyl go into effect.
ievery country in the