Trump suggesting China will 'take down' its trade barriers

Share
Trump suggesting China will 'take down' its trade barriers

Dr Alice de Jonge, senior lecturer in Asian business law at Monash University, said the move was a recognition by China that engaging in any trade war would be "shooting itself in the foot".

The trade situation remains tense after US President Donald Trump threatened China with another $100bn (€81bn) of tariffs but also predicted Beijing will make concessions.

For a long time, China stayed on the lower end of the global value chain, resulting in limited actual gains from the trade process in spite of huge trade figures.

As seen in the chart below from Westpac Bank, China's trade surplus with the United States has ballooned over the past decade as exports to the USA grew substantially faster than imports heading in the other direction. China responded in kind last week, imposing a 25 percent tariff on 106 American products, including soybeans, airplanes and cars.

President Trump, whose plan to hit hundreds of Chinese products with duties have stoked fears of a trade war, has yet to react.

Two rounds of high-level talks between Chinese and United States officials aimed at defusing bilateral trade tensions earlier this year failed to produce any result.

He said China will take measures to liberalise automobile investment, reduce tariffs on cars this year and protect intellectual property - all areas that have been high on the list of demands by Washington.

"It's not an equal basis", Chang said. Xi said that China was eager to increase its imports and would be "significantly" lowering its tariffs on imported vehicles and other products.

At a regular press conference, Foreign Ministry spokesman Geng Shuang confirmed that negotiations over trade were not taking place amid the escalating tariff threats, and hinted that talks would not be restarted without a USA compromise. The two nations had already proposed $50 billion in tariffs on imports, but none of that has taken effect yet.

The administration appears to be betting that China will back down because it has more to lose. "It will defend its interests and the multilateral trade regime". It also included medical devices and flat-screen TVs.

On Wednesday, China unveiled a list of 106 USA goods including soybeans, whiskey, frozen beef and aircraft targeted for tariffs, just hours after the Trump administration proposed duties on some 1,300 Chinese industrial, technology, transport and medical products.

"Any attempt to stop imports into China would only hurt Chinese industry", she told The New Daily.

Agriculture is Missouri's largest industry, producing over $88 billion for Missouri's economy. Rather than waiting weeks for the USA tariffs to be implemented, Trump backed a plan by Robert Lighthizer, his trade representative, to seek the enhanced tariffs.

Jake Parker, the vice president for China of the U.S. The administration will hold a public hearing for US businesses on May 15th.

US stocks also were affected this past Monday by Trump's new verbal attack on giant online retailer Amazon. The Dow Jones industrial average rose 46.34 points, or 0.2 percent, to 23,979.10.

"And I don't blame China". If the Chinese earn fewer dollars selling into the USA market, they will have fewer dollars to buy U.S. exports; both imports and exports will then fall.

"This is a problem caused by China, not a problem caused by President Trump", Kudlow said on "Fox News Sunday". "However China will not link the North Korea issue to the trade issue".

"Farmers in countries like Australia, Brazil, Argentina, Canada and Europe would now find it hard to compete with newly subsidized US agriculture", said Chad Bown, senior fellow at the Peterson Institute for International Economics.

"We want to be a partner, to work with each other", he said.

Share

Advertisement

Related Posts

The Undertaker Returns At Wrestlemania 34 To Answer John Cena's Challenge
But Lesnar destroyed Reigns' resistance with six F-5s - including one through an announce table - leaving him battered and broken. Worth mentioning is that this WWE Universal Championship match is still favored by -2000 to go on last as the main event .

Lewis Hamilton handed five-place grid penalty for gearbox change
Vettel's win pushed him up to 50 points in the drivers' standings, 17 ahead of Hamilton, with Bottas third on 22 points. The team subsequently tweeted that he had been transported to a nearby hospital for further treatment.

Jose Mourinho: Man United 'are not as bad as people think'
Vincent Kompany opened the scoring for his side followed by Gundogan as City were already 2-0 up by the 30th-minute mark. An opening half-hour of few chances produced two goals within five minutes and the title celebrations began - too early.

Lessons from derby day defeat
We had a lot of quality and goals in the first half but you have to defend a little better from set-pieces. What sparked all the controversy was when his agent Mino Raiola lashed out against Pep Guardiola.

After Cambridge Analytica row, Facebook to now verify advertiser's identity
While Facebook has revealed that it is indeed working on the "Unsend" feature , it has not described how would the feature work. However, the timing of the announcement only comes after the company was caught deleting messages sent by CEO Mark Zuckerberg .

Rory McIlroy makes eventful start to final round of the Masters
Finau was being talked about as a contender early on, and even though that didn't last long, he still had a Masters to remember. All of his approaches were picture flawless , and it ultimately showed throughout the round (and in his final score).

Mourinho: We believed we could win
We saw the absolute worst of the former Juventus man during the opening 45 minutes, when he was lazy, disinterested and careless. He did that, and then some. "It's hard to make this run in a two, because you have to stay and you have to control".

Beijing to fight United States tariffs 'at any cost' after Trump threat
The President added that he instructed to the USTR also to "identify the products upon which to impose" the additional tariffs. US officials have sought to downplay the threat of a broader trade dispute, saying a negotiated outcome is still possible.

Max Holloway deemed medically unfit, pulled from UFC 223 main event
Holloway, victor of 12 straight UFC fights, earned some respect from UFC fans for accepting the fight on short notice. His last name is a bit of a tongue-twister (Nurm-a-go-med-ov) which it makes it easier for fans to chant "Khabib".

Facebook suspends AggregateIQ over data scandal
Facebook also admits that it should not have given executives the delete feature before offering its to all Messenger users. Facebook CEO Mark Zuckerberg is set to testify in the House next week to answer questions about data security.

© 2015 Stocks News Daily. All Rights reserved.