Trump's China grudge match may be spinning out of control

Mar 2013
9,933
10,698
Middle Tennessee
#11

And as usual TNV has only posted HALF the story.

Washington last year imposed tariffs on $250 billion worth of goods imported from China, with Beijing hitting back with duties on $110 billion worth of American products. China initially targeted U.S. soybean exports, but later committed to buy more of the crop as trade negotiations proceeded.

RELATED COVERAGE
China is the world’s biggest buyer of soybeans. Economists said the latest flare-up of trade tensions could undercut soybean exports, which rose by $0.5 billion in March.

“In the near-term, trade frictions might arrest the recent ramp-up of soybean exports from the U.S. to China,” said Andrew Hollenhorst, an economist at Citigroup in New York. “This would be in addition to some expected softer demand from China as African swine fever has reduced feed requirements.”

If the trade war continues soy bean growers will get hit hard and will wipe out a significant portion reduction in trade deficit.
 
Apr 2013
38,084
26,093
La La Land North
#12
I was thinking of starting a new thread but this fits here just as well. First, and I'm not bothering with a link because it's unnamed sources, but they tell Axios that on tariffs, it isn't that Trump lies, it's that he honestly doesn't understand how tariffs work, as much as he loves them. Personally, I'm not sure that is better.

And:
President Trump dismissed the ongoing trade war, which kicked off in earnest this week, as "a little squabble with China" while speaking to reporters outside the White House on Tuesday.

The big picture: The effects of the trade war have been felt in industries across the country. Yesterday's announcement that China would seek to impose retaliatory tariffs against the U.S. set off Wall Street's worst day in months. And the bad news spread to Silicon Valley, where Uber's IPO lost billions in market value as it got caught up in the trade war storm, as well as America's heartland, where soybean farmers saw their prices — already sagging thanks to the ongoing trade dispute — sink to a 10-year low.
And just a small sampling of this morning's twitterstorm:

BTW, I can't figure out how this software posts tweets. Sometimes it give the following tweet, the second half of the message and sometimes it doesn't. To see the rest if you want, click on the blue twitter link.



Trump calls trade war "a little squabble with China"
 
May 2019
683
150
USA
#15
The dow rebounded over 300 points today. I do not know when is to much, but something had to be done about China. We could not continue on with this unfair trade going on. China does manipulate currency. Right now the economy is doing great. Seems to me if you are going to have a trade war to try to stop some of the unfair practices now would be the time to do it. Greed of consumerism is the largest factor in killing the American worker imo
 
Likes: imaginethat
Nov 2005
8,810
3,301
California
#16
The dow rebounded over 300 points today. I do not know when is to much, but something had to be done about China. We could not continue on with this unfair trade going on.
Can you elaborate on this vague claim of yours?
What exactly was China doing that we could not continue with?
What empirical and quantitative evidence do you have regarding that claim.


China does manipulate currency.
As does the U.S.


Right now the economy is doing great. Seems to me if you are going to have a trade war to try to stop some of the unfair practices now would be the time to do it. Greed of consumerism is the largest factor in killing the American worker imo
One of the reasons people claim "economy is doing great" is because Trump has put us back on increased deficit spending. It's like looking around your house and marveling at all the things that you've purchased, while ignoring the fact that you're INCREASING your credit card debt instead of lowering it.

Par for the course, the right habitually blames any Democratic sitting president for not eliminating the deficit, even though they are lowering the deficit.
Republican president after Republican president which increases the deficit gets ignored by the right...

If anything, we should be using a "strong economy" to lower the deficit and the amount of money we owe to China.
 
Apr 2013
38,084
26,093
La La Land North
#17
Can you elaborate on this vague claim of yours?
What exactly was China doing that we could not continue with?
What empirical and quantitative evidence do you have regarding that claim.



As does the U.S.



One of the reasons people claim "economy is doing great" is because Trump has put us back on increased deficit spending. It's like looking around your house and marveling at all the things that you've purchased, while ignoring the fact that you're INCREASING your credit card debt instead of lowering it.

Par for the course, the right habitually blames any Democratic sitting president for not eliminating the deficit, even though they are lowering the deficit.
Republican president after Republican president which increases the deficit gets ignored by the right...

If anything, we should be using a "strong economy" to lower the deficit and the amount of money we owe to China.
And he has also used unprecedented presidential pressure on the fed to lower interest rates and stop the quantitative tightening and in fact return to quantitative easing. This isn't having a short term effect because of the YUUUUGE deficit spending but alas, the end is nigh. And it will be ugly.
 
Likes: foundit66
May 2019
683
150
USA
#18
I looked up the DJIA, it rebounded today. The Chinese currency value is set by the Chinese owned bank, the renminbi currency is also called policy currency, because the Peoples bank of China decides its value, which is a arm of the Chinese Government unlike the US Dollar that has a value that rises and falls with the market. The Chinese government can raise and lower the value of their currency because their currency is not traded on the free market like the United States. Therefore, when you look at the low value of the renminbi compared to the US dollar it does appear to be manipulation. Since the Chinese government can decide the value of their currency, without having to sell it to buy US dollars, it makes it very difficult to tell if they are or they are not. So, the reason they get that label is basically because of their system of only allowing their currency to fluctuate within strict margins as decided by the Peoples bank of China. I do understand that monetary policy on a international scale can be confusing. Sweden and Germany have been manipulating as well, the difference is we do not have near the trade inbalance with them.

Another point of contention is the fact that China does not follow international law in regards to labor or the environment. That puts us at an unfair advantage in labor costs alone when it comes to trade. Exporting pollution and ignoring human rights abuses over cheap labor is greedy consumerism plain and simple. I think its time we make a stand against that. Wouldnt you agree with that?

Yes, the deficit is out of hand. I can not argue that. At the same time, the economy is booming right now. Now that the Democrats hold the House lets see what kind of deficit reducing budget they can come up with
 
Last edited:
May 2019
683
150
USA
#19
And he has also used unprecedented presidential pressure on the fed to lower interest rates and stop the quantitative tightening and in fact return to quantitative easing. This isn't having a short term effect because of the YUUUUGE deficit spending but alas, the end is nigh. And it will be ugly.
The fed has not lowered interest rates. It has for now decided to leave them in place without raising them. Only twice during the last administration ending, was the interest raised at all. I do not agree with President Trump about lowering interest rates, but at least he has held office while 7 out of the last 9 interest rates occured.
 
Nov 2012
40,781
11,759
Lebanon, TN
#20
And as usual TNV has only posted HALF the story.

Washington last year imposed tariffs on $250 billion worth of goods imported from China, with Beijing hitting back with duties on $110 billion worth of American products. China initially targeted U.S. soybean exports, but later committed to buy more of the crop as trade negotiations proceeded.

RELATED COVERAGE
China is the world’s biggest buyer of soybeans. Economists said the latest flare-up of trade tensions could undercut soybean exports, which rose by $0.5 billion in March.

“In the near-term, trade frictions might arrest the recent ramp-up of soybean exports from the U.S. to China,” said Andrew Hollenhorst, an economist at Citigroup in New York. “This would be in addition to some expected softer demand from China as African swine fever has reduced feed requirements.”

If the trade war continues soy bean growers will get hit hard and will wipe out a significant portion reduction in trade deficit.

Actually this may not be true for long, Local Soy Bean Farmers are getting contracts with India, Indonesia, Vietnam and SOKO replacing the China Contracts next year... And they are switching Crops to accommodate these new markets. YOu forget Farmers are not limited to ONE CROP.

once again as I said Trump has China Right where he wants them.
 

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