Chinese-Dragon
RETIRED TTA
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http://www.bbc.co.uk/news/business-44201751
22 May 2018
Donald Trump once claimed a trade war with China would be "easy" to win. But consensus is emerging that the president is losing the first battles.
His team has been trying to hash out a deal to boost US exports, but multiple rounds of negotiations have yet to yield progress on key priorities, like protection for US intellectual property.
Now the conflict has Mr Trump taking fire at home from two sides: those worried he is provoking a damaging trade fight, and those who fear he will give in too easily.
Mr Trump, citing a large trade deficit and unfair rules in China, says the US is starting from such a bad position that the country stands to gain no matter what happens.
But amid the sound and fury, what, if anything, is actually changing?
ZTE politics
The US last month barred Chinese technology firm ZTE from receiving US exports after the firm failed to comply with a settlement reached after it violated sanctions against North Korea and Iran.
Mr Trump, at the request of Chinese President Xi Jinping, said the US would take another look at the penalties. The measures have forced the firm, which relies on US parts to make smart phones and network equipment, to suspend major operations.
The two sides are still discussing details, but instead of the ban, the firm is likely to face fines and be required to shake up its ownership.
The potential reprieve has prompted critics, including some members of his own party, to accuse Mr Trump of caving in to a company that has raised national security concerns.
Some also alleged suspicious timing, pointing to a deal struck between a Chinese-owned company and one of the Trump Organization's business partners in Indonesia.
Bottom line: The situation remains fluid but the president has paid a political cost for his willingness to spare ZTE.
Tariff talk
The US treasury secretary said new tariffs are on hold, while negotiators work out a deal, in which China would purchase more American agriculture and energy products.
Mr Trump on Monday said the potential agreement could be "one of the best things" to happen to farmers, an important part of his base that has been worried about Chinese retaliation.
But analysts noted that the joint statement issued at the end of the most recent round of negotiations did not include a target for the increased purchases, despite earlier US claims the increase could amount to as much as $200bn.
They say China's growth would necessitate increased purchases regardless of trade talks.
Meanwhile, China made few concessions to the US concerns about intellectual property theft and government subsidies that triggered the stand-off.
Bottom line: The tariff dispute still remains primarily a war of words - and one the Chinese appear to be winning.
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Remember when Trump said that China was "raping the USA" on trade, due to the huge deficit?
Well, it turns out that it's fine now (after Chinese investments in his family business).... I mean the huge trade deficit is still there, but now Trump says it is OK... so it must be OK, right?
@TaiShang @Cybernetics @Beast @rott @wanglaokan
22 May 2018
Donald Trump once claimed a trade war with China would be "easy" to win. But consensus is emerging that the president is losing the first battles.
His team has been trying to hash out a deal to boost US exports, but multiple rounds of negotiations have yet to yield progress on key priorities, like protection for US intellectual property.
Now the conflict has Mr Trump taking fire at home from two sides: those worried he is provoking a damaging trade fight, and those who fear he will give in too easily.
Mr Trump, citing a large trade deficit and unfair rules in China, says the US is starting from such a bad position that the country stands to gain no matter what happens.
But amid the sound and fury, what, if anything, is actually changing?
ZTE politics
The US last month barred Chinese technology firm ZTE from receiving US exports after the firm failed to comply with a settlement reached after it violated sanctions against North Korea and Iran.
Mr Trump, at the request of Chinese President Xi Jinping, said the US would take another look at the penalties. The measures have forced the firm, which relies on US parts to make smart phones and network equipment, to suspend major operations.
The two sides are still discussing details, but instead of the ban, the firm is likely to face fines and be required to shake up its ownership.
The potential reprieve has prompted critics, including some members of his own party, to accuse Mr Trump of caving in to a company that has raised national security concerns.
Some also alleged suspicious timing, pointing to a deal struck between a Chinese-owned company and one of the Trump Organization's business partners in Indonesia.
Bottom line: The situation remains fluid but the president has paid a political cost for his willingness to spare ZTE.
Tariff talk
The US treasury secretary said new tariffs are on hold, while negotiators work out a deal, in which China would purchase more American agriculture and energy products.
Mr Trump on Monday said the potential agreement could be "one of the best things" to happen to farmers, an important part of his base that has been worried about Chinese retaliation.
But analysts noted that the joint statement issued at the end of the most recent round of negotiations did not include a target for the increased purchases, despite earlier US claims the increase could amount to as much as $200bn.
They say China's growth would necessitate increased purchases regardless of trade talks.
Meanwhile, China made few concessions to the US concerns about intellectual property theft and government subsidies that triggered the stand-off.
Bottom line: The tariff dispute still remains primarily a war of words - and one the Chinese appear to be winning.
-----------------------
Remember when Trump said that China was "raping the USA" on trade, due to the huge deficit?
Well, it turns out that it's fine now (after Chinese investments in his family business).... I mean the huge trade deficit is still there, but now Trump says it is OK... so it must be OK, right?
@TaiShang @Cybernetics @Beast @rott @wanglaokan
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