David Raymond Amos @DavidRayAmos
Replying to @DavidRayAmos @alllibertynews and 49 others
Go Figure why CBC would block this comment twice if it wasn't true
"Methinks folks need to tighten their seat belts and get a grip on their finances because the economy is about to take a nosedive N'esy Pas?"
https://davidraymondamos3.blogspot.com/2019/09/trumps-15-tariffs-on-112b-in-chinese.html
https://www.cbc.ca/news/business/trump-tariffs-chinese-import-take-effect-1.5267234
Trump's 15% tariffs on $112B in Chinese goods take effect
Over two-thirds of consumer goods imported from China to U.S. face higher taxes
The United States and China on Sunday put in place their latest tariff increases on each other's goods, potentially raising prices Americans pay for some clothes, shoes, sporting goods and other consumer items before the holiday shopping season.
President Donald Trump said U.S.-China trade talks were still on for September. "We'll see what happens," he told reporters as he returned to the White House from the Camp David presidential retreat. "But we can't allow China to rip us off anymore as a country."
The 15 per cent U.S. taxes apply to about $112 billion US of Chinese imports. All told, more than two-thirds of the consumer goods the United States imports from China now face higher taxes. The administration had largely avoided hitting consumer items in its earlier rounds of tariff increases.
But with prices of many retail goods now likely to rise, the Trump administration's move threatens the U.S. economy's main driver: consumer spending. As businesses pull back on investment spending and exports slow in the face of weak global growth, American shoppers have been a key bright spot for the economy.
"We have got a great economy," said Republican senator Pat Toomey. "But I do think that the uncertainty caused by volatile tariff situation and this developing trade war could jeopardize that strength, and that growth, and I think that's a legitimate concern," he told ABC's This Week.
As a result of Trump's higher tariffs, many U.S. companies have warned that they will be forced to pass on to their customers the higher prices they will pay on Chinese imports. Some businesses, though, may decide in the end to absorb the higher costs rather than raise prices for their customers.
Watch: No end in sight for U.S.-China trade spat
Power and Politics
August 27: U.S.-China trade spat continues
Former United States
trade representative Carla Hills says Chinese and American trade
negotiators need to get back to the bargaining table. Also on the show,
former foreign affairs minister Lloyd Axworthy on whether or not Canada
should stop trade talks with Brazil in wake of the Amazon fires. 47:27
Tariffs of 10 and five per cent apply to items ranging from frozen sweet corn and pork liver to marble and bicycle tires, the government announced earlier.
After Sunday's move, 87 per cent of textiles and clothing the United States buys from China and 52 per cent of shoes will be subject to import taxes.
On Dec. 15, the Trump administration is scheduled to impose a second round of 15 per cent tariffs — this time on roughly $160 billion of imports. If those duties take effect, virtually all goods imported from China will be covered.
The Chinese government has released a list of American imports targeted for penalties on Dec. 15 if the U.S. tariff hikes take effect. In total, Beijing says Sunday's penalties and the planned December increases will apply to $75 billion of American goods.
U.S. accuses China of stealing trade secrets
Washington and Beijing are locked in a war over U.S. complaints that China steals U.S. trade secrets and unfairly subsidizes its own companies in its drive to develop global competitors in such high-tech industries as artificial intelligence and electric cars.
"I give the president credit for challenging China on some of its really egregious behaviour" on intellectual property and technology transfers, for example, Toomey said. He said he hopes that's what Trump's focus is, "not just the fact that Chinese clothing and shoes are popular among consumers. That's not the problem."
If China changes its behaviour "in a meaningful way in that area ... then we will have ended up in a better place. That's what I'm hoping for. But let's be honest. In the meantime, we're doing damage. It's a double-edged sword," he said.
To try to force Beijing to reform its trade practices, the Trump administration has imposed import taxes on billions of dollars' worth of Chinese imports, and China has retaliated with tariffs on U.S. exports.
"It's a good thing taking on China. Unfortunately, he's done it the wrong way," said American Federation of Labour and Congress of Industrial Organizations president Richard Trumka said on "Fox News Sunday."
"To take on China there has to be a multilateral approach. One country can't take on China to try to dry up its overcapacity because they just send it through to you in other ways," he said.
Trump has insisted that China itself pays the tariffs. But in fact, economic research has concluded that the costs of the duties fall on U.S. businesses and consumers. Trump had indirectly acknowledged the tariffs' impact by delaying some of the duties until Dec. 15, after holiday goods are already on store shelves.
'Erosion of consumer confidence'
A study by J.P. Morgan found that Trump's tariffs will cost the average U.S. household $1,000 a year. That study was done before Trump raised the Sept. 1 and Dec. 15 tariffs to 15 from 10 per cent.
The president has also announced that existing 25 per cent tariffs on a separate group of $250 billion of Chinese imports will increase to 30 per cent on Oct. 1.
That cost could weaken an already slowing U.S. economy. Though consumer spending grew last quarter at its fastest pace in five years, the overall economy expanded at just a modest two per cent annual rate, down from a 3.1 per cent rate in the first three months of the year.
The economy is widely expected to slow further in the months ahead as income growth slows, businesses delay expansions and higher prices from tariffs depress consumer spending. Companies have already reduced investment spending, and exports have dropped against a backdrop of slower global growth.
"The data indicate that the erosion of consumer confidence due to tariff policies is now well underway," said Richard Curtin, who oversees the index.
Some retailers may eat the cost of the tariffs. Target confirmed to The Associated Press that it warned suppliers that it won't accept cost increases arising from the China tariffs. But many smaller retailers won't have the bargaining power to make such demands and will pass the costs to customers.
Philip Levy, chief economist at the San Francisco freight company Flexport who was an adviser in President George W. Bush administration, said it's hard to say for sure when the latest tariffs may hit U.S. customers in the form of higher prices.
But, he added, "If you had to pick a time to do it, this is the worst possible time" because it's when the bulk of holiday goods are brought into the country.
1344 Comments
Commenting is now closed for this story.
David Amos
Content disabled Methinks folks need to tighten their seat belts and get a grip on their finances because the economy is about to take a nosedive N'esy Pas?
James Carpenter
Ironically his base are the ones who will get hurt the most, uneducated and poor they thought he was going to take them to the promised land, after all he is the "chosen one".
Phil Hadfield
Reply to @James Carpenter:
Saying the president’s base is uneducated and poor shows ignorance. I have many wealthy educated American friends who are republicans and President Trump supporters.
Tim Biddiscombe
Reply to @Phil hadfield: He did get the majority of those who didnt finish high school and did not attend college however..
Alex Keith
Reply to @Phil hadfield:
It's amazing that the CBC allows this hate speech.
It's amazing that the CBC allows this hate speech.
Alex Keith
Reply to @Tim Biddiscombe:
More hate speech.
More hate speech.
Jack McKenna
Ironically, they (his base) will vote for him even if they are hurt the most!
Ben Jinder
Reply to @Phil hadfield: Sorry, wealthy and educated doesnt equate to "smart"
Accretion Disk
Reply to @Phil hadfield: no you don't
Statistically, trumpers Are most likely to be uneducated and poor
Statistically, trumpers Are most likely to be uneducated and poor
Patrick Smyth
Reply to @Alex Keith:
"More hate speech."
Perhaps you should get educated as to what the term means before applying to everything you see. It looks a little like a small child who has just discovered a swear word and that shouting it out every so often gets a reaction.
"More hate speech."
Perhaps you should get educated as to what the term means before applying to everything you see. It looks a little like a small child who has just discovered a swear word and that shouting it out every so often gets a reaction.
John Dirlik
Reply to @James Carpenter:
Through tax breaks for the wealthy and increases to an already bloated military, this year’s US deficit ballooned a staggering 23% and will end in an unprecedented trillion.
Yet Trump supporters - with straight faces - applaud his economic policies.
It is like children jumping with joy because their dad bought them lollipops while on a spending spree that plunged the family in ruinous debt.
Through tax breaks for the wealthy and increases to an already bloated military, this year’s US deficit ballooned a staggering 23% and will end in an unprecedented trillion.
Yet Trump supporters - with straight faces - applaud his economic policies.
It is like children jumping with joy because their dad bought them lollipops while on a spending spree that plunged the family in ruinous debt.
Blacer Tomaszew
Reply to @James
Carpenter: If you think there’s actually any difference between Obama,
Trump and the script, then I feel sorry for you.
Louis Pelt
Reply to @James Carpenter:
Democrats thought Obama was the "chosen one" too. However, the wars didn't stop, the mass shootings didn't stop, and little was accomplished. America is in decline. Obama stepped on the gas pedal and so did Trump.
Democrats thought Obama was the "chosen one" too. However, the wars didn't stop, the mass shootings didn't stop, and little was accomplished. America is in decline. Obama stepped on the gas pedal and so did Trump.
Mark Moncton
US leading economists warn that Trump’s new tariffs are a ‘sword at the throat’ of the US economy — not China’s, (CNBC), after major US Bond Yield Inversion, Manufacturing Recession and Consumer confidence, all other US business indexes way down. US GDP will decline under 1 % this year after new tariff. As China is the largest and lucrative market in the world, study shows that 90 % of US Corporation in China never considering to relocate, and very few actually carry out such relocations( China also controls all supply chains) . Global investors ‘confidently’ pouring money into China despite trade war, pointed out by commerce minister. Direct foreign direct investment rose 7.2 per cent to 478.3 billion yuan ( 70 billion US) in the first six months of 2019, the same growth rate as in the first five months. FDI from EU sharply increased ( From 100 % to 50 % in many countries). US investment to China also increased. China's year-to-date trade surplus with economies around the world surged by 41.6% in yuan terms to 1.23 trillion.
https://www.cnn.com/2019/08/26/investing/stock-market-insider-selling/index.html
https://www.scmp.com/economy/china-economy/article/3018235/foreign-direct-investment-rise-shows-no-such-thing-large
https://www.thestreet.com/politics/china-posts-record-us-trade-surplus-as-trump-tariffs-fail-to-slow-export-growth-15017607
David Amos
Content disabledEvan Deregt
Reply to @Ben Jinder: More like dishonest, deceitful, manipulative, undeserving...
Evan Deregt
Reply to @Patrick Smyth: Just like trump. Uneducated, head-in-the-sand, unintelligent.
Evan Deregt
Reply to @John
Dirlik: On a business network a researchers mentioned deficits in excess
of $1trillion over the next five years. They only projected that far
into the future.
Evan Deregt
Reply to @Blacer Tomaszew: If you can't see the difference, I feel sorry for you.
Evan Deregt
Reply to @Louis Pelt: Thanks to the republican Congress not the Obama administration.
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