China Trade Deal Progress
A pair of Tweets explains exactly where we are.
CNBC, noting the difference between "were" and "are" now says Trump says a US-China trade deal is possible, but he’s ‘happy where we are now’
- President Trump says he wants to make a trade deal with China but he is “very happy with where we are now.”
- Should the deal not happen and the U.S. decides to put tariffs on the remaining Chinese imports, he said the levy could be 10% rather than the 25% on the $250 billion worth of goods now subject to the duties.
The president, in an interview with Fox Business, said he is “very happy with where we are now. We’re taking in a fortune, and frankly [it’s] not a very good thing for China, but it is a good thing for us.”
Fortune on Tariffs
The US is not making a fortune on tariffs. Businesses are suffering, especially farmers.
But if we were making a fortune, Trump's next line would make little sense: In the next phase, which could see 10% tariffs, “which people can absolutely handle,” instead of 25%.
With that, trump backed down from previous escalation statements.
Questions of the Day
- Are we "making a fortune" that people can't handle?
- Can people only handle making 10% more, not 25% more?
- Are people making any more at all?
- Precisely who is collecting this fortune and at what expense?
Progress Not Needed
These questions are clearly moot because "Trump is happy either way".
So, who cares? Progress is not needed.
Mike "Mish" Shedlock