Archive for Globalization and Trade

China Loosens Foreign Auto Rules- in Potential Peace Offering to Trump – The New York Times

“SHANGHAI — Beijing and Washington have threatened each other with tariffs for weeks, raising the prospect of a trade war. But on Tuesday, China took a step to lower tensions, offering to make it easier for foreign automakers and aerospace manufacturers to own factories in the country.The Chinese authorities said that in the next five years they would ease rules that have long required carmakers like General Motors, Toyota and Volkswagen to link up with a local partner before building a factory in China.”

Source: China Loosens Foreign Auto Rules, in Potential Peace Offering to Trump – The New York Times

Posted in: China, Globalization and Trade

Leave a Comment (0) →

Trump Hits China With Trade Measures as White House Exempts Allies From Tariffs – The New York Times

“President Trump said he would impose about $60 billion worth of annual tariffs on Chinese imports on Thursday as the White House moved to punish China for what it says is a pattern of co-opting American technology and trade secrets and robbing companies of jobs and billions of dollars in revenue.

The measures come as the White House grants a long list of exemptions to American allies from steel and aluminum tariffs that go into effect on Friday, including the European Union, which has lobbied aggressively and publicly for relief from the trade action.

“The word that I want to use is reciprocal,” Mr. Trump said in announcing the tariffs in the Diplomatic Room of the White House. “If they charge us, we charge them the same thing.”

The China tariffs are his strongest trade action yet against a country he has branded an “economic enemy.” They fulfill one of his core campaign pledges, to demand more reciprocal deals with trading partners around the world.

But coupled with the administration’s decision to exempt the European Union, South Korea, Brazil, Canada, and Mexico from the tariffs on cheap metals, the action demonstrates how much Mr. Trump’s nationalist trade agenda is really targeted at a single country: China.”

Source: Trump Hits China With Trade Measures as White House Exempts Allies From Tariffs – The New York Times

David Lindsay Jr.

Hamden, CT 

“The tariffs, which the United States trade representative will publish within 15 days, will target 1,300 lines of Chinese goods — everything from shoes and clothing to electronics, administration officials said.” I understood the the argument for steel and aluminum, but what is the argument for these other 1,298 products? All the mainstream economists that I learn from, say that tariffs are toxic. The Chinese are famous for their intelligence, work ethic and pride. If they feel insulted, and have lost face, they will be forced to retaliate. Can Boeing stay on top without one of their biggest customers? Or did their stock price just drop almost 4% for no reason?

A five or ten percent tariff on just Chinese steel and aluminum might have been a more prudent test of the waters. Rejoining the TPP asap, would probably do more for the US economy and economic defense, than the steel tariff. The Chinese play like a people at war with the West, and they probably are, since they still have a score to settle over the bombardment and destruction of the Spring Palace, and its mulitude of treasure buildings and libraries, in the 1840’s, during the ugly opium war. The civilization that invented, paper, writing, gunpowder, history and literature, should be courted with carots as well as with sticks.

x

David Lindsay Jr. is the author of “The Tay Son Rebellion, Historical Fiction of Eighteenth-century Vietnam,” and blogs at here and InconvenientNewsWorldwide.wordpress.com

Posted in: China, David Lindsay, Foreign Trade Policy, Globalization and Trade

Leave a Comment (0) →

U.S. Allies Sign Sweeping Trade Deal in Challenge to Trump – The New York Times

SANTIAGO, Chile — A trade pact originally conceived by the United States to counter China’s growing economic might in Asia now has a new target: President Trump’s embrace of protectionism.

A group of 11 nations — including major United States allies like Japan, Canada and Australia — signed a broad trade deal on Thursday that challenges Mr. Trump’s view of trade as a zero-sum game filled with winners and losers.

Covering 500 million people on either side of the Pacific Ocean, the pact represents a new vision for global trade as the United States threatens to impose steel and aluminum tariffs on even its closest friends and neighbors.

Mr. Trump withdrew the United States from an earlier version of the agreement, then known as the Trans-Pacific Partnership, a year ago as one of his first acts in office. It will undeniably be weaker without the participation of the world’s biggest economy, but the resuscitated deal serves as a powerful sign of how countries that have previously counted on American leadership are now forging ahead without it.

“Only free trade will contribute to inclusive growth of the world economy,” Taro Kono, Japan’s foreign minister, told a group of ministers from Southeast Asian countries in Tokyo on Thursday. “Protectionism isn’t a solution.”

Source: U.S. Allies Sign Sweeping Trade Deal in Challenge to Trump – The New York Times

Here is a comment I endorsed at the NYT.

Rich G

New York 4 hours ago

“While American beef farmers will have to pay 38.5 percent tariffs in Japan, for example, members like Australia, New Zealand and Canada will not.”

I’m sure that most in the beef industry voted for Trump. Well guess what, More expensive steel is going to mean your costs are going up and the tariffs mean your income is going down. America First? Much more of this and it will be America Last.

Posted in: Foreign Trade Policy, Globalization and Trade, Japan

Leave a Comment (0) →

As U.S. Trumpets ‘America First-’ Rest of the World Is Moving On – The New York Times

WASHINGTON — President Trump is arriving at the World Economic Forum in Davos, Switzerland, to explain his “America First” approach at a moment when the world is moving ahead with a trade agenda that no longer revolves around the United States. The world marked a turning point in global trade on Tuesday, when 11 countries agreed to join the Trans-Pacific Partnership, announcing they had finalized the pact and expected to sign a deal on March 8 in Chile. It was a remarkable moment for a beleaguered agreemen

Source: As U.S. Trumpets ‘America First,’ Rest of the World Is Moving On – The New York Times

 

David Lindsay:  Yes. Donald Trump, or Twitter Drumpf as I like to call him,  is damaging the US in world trade, and no where more than in Asia, with his pulling out of the Transpacific Parntership.

Here is the top comment so far, I endorse:

Bob Bascelli

Seaford NY 1 hour ago

“America First” is a tag line not unlike “Make America Great Again”. They both appeal to our base instincts and are effective in stirring our faux “American Pride”, but that’s as far as they go. Questions need to be asked. What do we want to be first and great at; healthcare, coal production, number of millionaires, people in poverty, a healthy economy, number of nuclear warheads, deaths by gun violence, having the most stuff, …..? Do we have to be great or can we get along being respected, fair, and truthful? First and great mean very different things to many different people. Can one be truly great when so many are left behind? Ask the questions. Give truthful answers. That would be great.

Posted in: Foreign Trade Policy, Globalization and Trade

Leave a Comment (0) →

The Workers Who Regret Trump’s Scrapping of a Trade Deal – by Neil Gough – NYT

“HO CHI MINH CITY, Vietnam — Do Thi Minh Hanh, a labor activist, had grown accustomed to being beaten, hospitalized and jailed for her work in a country where independent trade unions are banned.

So it gave her hope for a reprieve when Vietnam reached a trade deal with the United States and other countries that called for its members to bolster workers’ rights and protect independent unions.

That hope fizzled in late January, when President Trump pulled the United States out of the trade deal, the Trans-Pacific Partnership, with the stroke of a pen.“

The Vietnamese government will use this as an excuse to suppress the labor movement,” Ms. Hanh said. “They never wanted to have independent unions in Vietnam.” “

Posted in: Foreign Trade Policy, Globalization and Trade, Post War Problems in Vietnam

Leave a Comment (0) →

What Is TPP? Behind the Trade Deal That Died – The New York Times

“Today, the United States and most developed countries have few tariffs, but some remain. The United States, for example, protects the domestic sugar market from lower-priced global suppliers and imposes tariffs on imported shoes, while Japan has steep surcharges on agricultural products including rice, beef and dairy. The pact was an effort to create a Pacific Rim free-trade zone.

Environmental, Labor and Intellectual Property Standards

United States negotiators stressed that the Pacific agreement sought to level the playing field by imposing rigorous labor and environmental standards on trading partners, and supervision of intellectual property rights.”

 

Posted in: Foreign Trade Policy, Globalization and Trade, Post War Problems in Vietnam

Leave a Comment (0) →