Trump's Tariffs and Possible Trade War

[Tidewater]

Isn't the trade deficit with China our own dang fault? The constant chasing of the cheapest products we can find by the American consumer has spurred China's growth. The rise of Walmart would probably mirror the rise of that trade deficit graph pretty closely.

Yes, that is half of it. Certainly the US consumes a lot of cheap Chinese products.
The other half of the equation is that China, even before the late unpleasantness, refused ot allow US products into China at anything like free trade ("inspection regimes" as a means of hindering trade and yuan devaluation so Chinese goods are cheap here and non-Chinese goods are dear there).

 

[cdub55]

A tax on the American people is not the way to fix it. We are never going to see eye to eye on this. You love Trump and everything he does. I hate Trump and everything he does.

If it were only that simple for me. I actually look at actions, repercussions, etc and try to form an opinion based off what I think is good, bad, or ugly. I have openly said "I don't know how this tariff issue is going to turn out". I'm staying optimistic and praying our leaders have a plan and they know what they are doing. This is a very multi-faceted issue and predicting it is almost impossible. We don't know how the other countries are going to respond and/or how long this back and forth with China and other countries is going to last. I do know it is common knowledge that we have made deals that have left us out in the cold in regards to tariffs and this is an issue that needs to be addressed. Doing it like we have always done it will only last for so long when considering the deficit growing larger and larger each year.

 

[CrimsonNagus]

Trump Believes Apple Could Manufacture iPhones in the U.S. - MacRumors This article is about how Trump is wrong. One reason is that there are not enough workers in the US with the required skillset. That's funny considering the GOP also want to cut education.


One thing not being talked about much is how this trade war could affect countries buying US debt. China is the 2nd highest purchaser of US debt. If they refuse to buy more in the upcoming securities auctions that could be really bad for our economy. What if they sell the debt (or demand immediate repayment)? That probably wouldn't be good for either side, but nobody knows what is going to happen. Thats the problem, the uncertainty. Markets don't like uncertainty, and Trump appears to have no plan at all except let's see what happens (just look at the stupid math they used to determine the tariffs, these people are idiots). Even some of his billionaire friends are starting to question these moves.

 

[Tidewater]

Trump Believes Apple Could Manufacture iPhones in the U.S. - MacRumors This article is about how Trump is wrong. One reason is that there are not enough workers in the US with the required skillset.

What education level do you believe Chinese workers in the Apple factory have?

That's funny considering the GOP also want to cut education.

An interesting assertion.
The sun rose in the east this morning despite there being no federal "Department of Making the Sun Rise in the East Each Morning." Somehow, it happened anyway.
I think it is more honest to say that the GOP is opposed to the federal Department of Flushing Money down the Toilet in the Name of Education instead of Funding Actual Education.

One thing not being talked about much is how this trade war could affect countries buying US debt. China is the 2nd highest purchaser of US debt.

That is a good point. The money China makes in the trade surplus, the Chinese turn around and send back to the US in the form of T-Bill purchases. What happens when they decide not to purchase any more? I suppose other (non-Chinese) worldwide investors will look at global instability and place their money where they believe it is most likely they will get their principal back.

If they refuse to buy more in the upcoming securities auctions that could be really bad for our economy. What if they sell the debt (or demand immediate repayment)?

T-bills have a scheduled maturity date. The lender has no more power to demand immediate repayment than your mortgage holder can tell you, in year ten of a 30-year mortgage to pay it all now. The holder of a T-Bill may sell it to somebody else, I suppose.

That probably wouldn't be good for either side, but nobody knows what is going to happen. Thats the problem, the uncertainty. Markets don't like uncertainty, and Trump appears to have no plan at all except let's see what happens (just look at the stupid math they used to determine the tariffs, these people are idiots). Even some of his billionaire friends are starting to question these moves.

I agree the markets do not like uncertainty.
I have no idea what Trump's plan is or even if he has one. He has not articulated it.

 

[cdub55]

Trump Believes Apple Could Manufacture iPhones in the U.S. - MacRumors This article is about how Trump is wrong. One reason is that there are not enough workers in the US with the required skillset. That's funny considering the GOP also want to cut education.


One thing not being talked about much is how this trade war could affect countries buying US debt. China is the 2nd highest purchaser of US debt. If they refuse to buy more in the upcoming securities auctions that could be really bad for our economy. What if they sell the debt (or demand immediate repayment)? That probably wouldn't be good for either side, but nobody knows what is going to happen. Thats the problem, the uncertainty. Markets don't like uncertainty, and Trump appears to have no plan at all except let's see what happens (just look at the stupid math they used to determine the tariffs, these people are idiots). Even some of his billionaire friends are starting to question these moves.

Our government has been operating with an unlimited production mindset when it comes to printing dollar bills. Getting the money to them would be easy peasy. Now the value of said money after trillions hit the market is another issue. China would be fools to ask for money in a lump sum because they know that...

 

[selmaborntidefan]

Trump To His Attorney:
"So uh, how soon can we file bankruptcy to get out of this tariff mess?"

 

[crimsonaudio]

Trump To His Attorney:
"So uh, how soon can we file bankruptcy to get out of this tariff mess?"

Corporate bankruptcy is a form of restructuring, which is precisely what Trump is trying to do now with the US economy.

Could be the experience he has in manipulating the system might come in handy.

Could also end in disaster.

 

[DzynKingRTR]

Well, he says he "knows what he is doing". so no worries, right?

 

[selmaborntidefan]

Well, he says he "knows what he is doing". so no worries, right?

Live updates: Trump news, US tariffs escalate global trade war, CNN town hall with Bernie Sanders | CNN Politics

Trump orders 90-day pause on new tariffs except for China

For those keeping score at home, let's be clear: the "tough guy" blinked.

 

[Bazza]

Live updates: Trump news, US tariffs escalate global trade war, CNN town hall with Bernie Sanders | CNN Politics

Trump orders 90-day pause on new tariffs except for China

For those keeping score at home, let's be clear: the "tough guy" blinked.

It's a good thing though don't you think, Bill. Being flexible when the situation calls for it.....

 

[cdub55]

Live updates: Trump news, US tariffs escalate global trade war, CNN town hall with Bernie Sanders | CNN Politics

Trump orders 90-day pause on new tariffs except for China

For those keeping score at home, let's be clear: the "tough guy" blinked.

Could also be a sign that other countries are in active negotiations and China isn't. This would send a strong message, either come to the table or nothing changes.

 

[CrimsonJazz]

Could also be a sign that other countries are in active negotiations and China isn't. This would send a strong message, either come to the table or nothing changes.

That's exactly what I was thinking. Trump didn't blink, this is pretty much what he was expecting to happen. The real question will be if he blinks vs China.

 

[crimsonaudio]

Could also be a sign that other countries are in active negotiations and China isn't. This would send a strong message, either come to the table or nothing changes.

That's what he posted (I'm not on truth, this was shared on X):

 

[tusks_n_raider]

My hunch is this is at best Market manipulation.

Just a straight up ‘pump and dump’ orchestrated by the US President.

He’ll never be investigated for it… any even if he is… we know he’ll never be punished.

I want the rest of the world to just go all in on this game of chicken at this point.

I kind of want to see every other country in the world to slap a 500-1000% Tariff on us.

Let’s just get full on stupid with it.

We’ll just pull ourselves up by our bootstraps or whatever ‘cuz we’re Muricans and we’re better than everyone.

I hate this country and it’s ‘Leaders’

 

[CrimsonJazz]

Did Trump just play China like a fiddle? The markets are going bonkers and China is just sitting there holding their tariffs. Maybe I'm reading this wrong.

 

[cdub55]

My hunch is this is at best Market manipulation.

Just a straight up ‘pump and dump’ orchestrated by the US President.

He’ll never be investigated for it… any even if he is… we know he’ll never be punished.

I want the rest of the world to just go all in on this game of chicken at this point.

I kind of want to see every other country in the world to slap a 500-1000% Tariff on us.

Let’s just get full on stupid with it.

We’ll just pull ourselves up by our bootstraps or whatever ‘cuz we’re Muricans and we’re better than everyone.

I hate this country and it’s ‘Leaders’

In other words,

My guy didn't win and I hope we all die...

 

[tusks_n_raider]

In other words,

My guy didn't win and I hope we all die...

No but I’d like the US to enter the find out portion of this messing around on a global scale.

If we’re so self sufficient and don’t need help from allies then I suppose no one will die.

 

[cdub55]

No but I’d like the US to enter the find out portion of this messing around on a global scale.

If we’re so self sufficient and don’t need help from allies then I suppose no one will die.

A.) We have been sending TRILLIONS of dollars to other countries. They have been reliant on our dollars, not us reliant on theirs.

B.) If Country A is discouraging their consumers from buying your imported good, and you are not deterring their exported good, it isn't self-righteous to ask for a new deal.

C.) The numbers don't lie. We are the biggest spenders in the world economy. That matters.

 

[crimsonaudio]

No but I’d like the US to enter the find out portion of this messing around on a global scale.

If we’re so self sufficient and don’t need help from allies then I suppose no one will die.

How sad.

 

[tusks_n_raider]

Did Trump just play China like a fiddle? The markets are going bonkers and China is just sitting there holding their tariffs. Maybe I'm reading this wrong.

He’s playing the stock market like a fiddle.

I guess he’d be dumb not to if he can get away with it and apparently he can.

Ever the Con man.