On the face of it, that doesn't seem like something that would stir a mass exodus of multinationals from China. If the cost of manufacturing in China is a fraction of what it is here, levying a 20 or 25% duty will just raise prices without creating American jobs.
We'll see, but this sure doesn't sound like the tough talk we heard from Peter Navarro and the trade hawks three weeks ago.
At a minimum, the tariff will be 10% plus what ever it is now.
Trump's 10 percent baseline tariffs are here to stay, Hassett says
The top of another hill on the roller coaster we’re riding. Don’t unbuckle just yet ;-)
I would have preferred scheduled, incremental rises to afford companies the opportunity to reshore. The opening salvo was enough to set things in motion. Some industries can be set up quickly. Others (chips, mining, autos) will take longer.
Maybe more carrot, less stick. Eliminate regulations and slash taxes here, make the USA irresistibly attractive for investment and production, and high tariffs become less necessary.
So did Trump blink, or China?
I get the impression that multiple people are speaking for the Trump administration on their tariff policy - the mixed messaging isn’t helpful. We should be hanging tough on China and equalizing trade with them - this impression of capitulation this morning is exactly the wrong message.
In some ways Trump is echoing FDR’s response to the Depression. People believe that the alphabet soup agencies were well thought out results of planning. In fact they were the result of throw it against the wall and see what sticks governance. The same seems to be true of Pres Trump’s tariff policy. He seems to be using Wall St reaction to determine what he does with tariffs. Also it appears both Ukraine and Iran are heading in the same direction as the direction of US policy seems to change weekly.
I’m sorry but when your enemy is down, you deal the killing blow or Coup de grâce.
china needs to pay
*sigh* i need anger management when it comes to china, i have dreams of volunteering to taiwan and killing as many ccp soldiers as i can with my customized sks.
4D Chess with glass boards, trust the plan, master negotiator, etc.
Need to hear if the Fair/No Traders are breaking up with MAGA.
I think it occurred tonight Trump if we want to import Chinese jobs we will need a bunch of those people we just cutoff and are kicking out. If we cannot get iPhone jobs are we going after hand made and painted clay pots? I’m sure there is big domestic market for union made clay pots.