Trump slaps on $200 billion worth of tariffs (taxation) on Chinese goods with a threat.
China responds with just under $60 billion and they are carefully targeted to hurt America in it’s heartland, agriculture. Soybeans ($12.4 billion); Cereal ($1.3 billion); Fish and crustaceans ($1.2 billion); Beef, Pork, and other meats ($0.5 billion); Fruits and nuts ($0.5 billion); Dairy ($0.4 billion); and forage products ($0.4 billion).
That’s well canny them doing this.
To hurt a country hit the farmers and China have certainly done that.
So what happens now?
The last targeted attack saw Trump ‘buying’ support from those hit by paying them money to cover their loss in trade. Money from the ‘treasury’ that should have been used on more useful things. Money that just added to the US national debt.
Only once again , his weenies aren’t thinking this through.
Farmers can’t just turn a tap and lessen production, their goods need to be sold and, with the artificial hike in the Dollars worth, exporting the surplus isn’t a money earner anymore. Your product is just too expensive.
In the long term foreign buyers would have moved on to different more reasonable suppliers and, once established, won’t go back to buying US no matter what the discounts are.
The US government is getting a reputation of being too volatile to “deal with” and all the proof they need to make that assumption is in what is going to happen next.
Trump will have another melt down and slap on more tariffs only lets call them what they are, taxes on goods which will increase the cost of living in the US.
So now he’s hitting the little guy. Not that he gives a damn about them.
So who is the fool, Trump, the US, or China?
Ultimately, long term, the US business reputation is being hit and the US economy is heading for a crash. Why? Because if your currency gets too strong no one will buy your goods.
If other producers sell elsewhere and buy from others, what exactly is the point in you producing product in the first place when no one needs or can afford to buy it?
I predict lay offs, the cost of goods internally rising as internal producers just give up and you are FORCED to buy expensive imports.
Wages will have to rise for people to afford to life.
Demands for loans will sky rocket, and that is a short path to financial destruction.
America first it will be.
A big country with nothing anyone wants.
Least of all it’s “intervention” and it’s trading practices.
So those fools?
The US government and the idiots who believe Trump will win a global trade war.
Just my thoughts? Well actually some have already started to question what is going on.
The carefully glossed over results of his actions and plans. the things the US Gov DON’T want you to see.
WASHINGTON—President Donald Trump unveiled a $4.4 trillion budget for next year that heralds an era of $1 trillion-plus federal deficits and — unlike the plan he released last year — never comes close to promising a balanced ledger even after 10 years. (Source)
One of many articles, not exactly main stream, but all singing the same song.
The US is approaching bankruptcy and I guess faster than it can print new FIAT money.
Role on Global Thermonuclear War.
Because that’s what I think it will take to sort out the mess one man’s ego has created.