Trump hits China with tariff hike amid growing trade dispute | Power & Politics
Trump hits China with tariff hike amid growing trade dispute | Power & Politics Trump hits China with tariff hike amid growing trade dispute | Power & PoliticsThe US are spiraling deeper into a trade War. This morning China retaliated against recent American Terrorist by announcing more Terrace of their own, to which u.s. President Donald Trump threatened, more retaliation and just last hours. He deliver this ABCmouse rentals from Toronto for the latest Hasty. So what has the president done is going to get a little bit complicated and there’s a lot of numbers, but I’ll try to get through this as quickly as I can Trump taking to Twitter Twitter. Just one hour ago saying the following: starting on October 1st, the 250 billion dollars of goods and products in China, currently being taxed at 25 %, will be taxed at 30 %. Additional either remain Fender billion dollars from China that was being taxed in September, 1st at 10 %, whipping now tax at 15 %. So forgive me for a lot of numbers there, but the headline is that tariffs that the US imposes on Chinese goods are coming out. Nope. Only coming out one hour ago, Trump this afternoon or Tuesday this morning as well also very active on social media. Talking about China, and these were the tweets that got a lot of attention this morning. He tweeted the following and frankly would be off without dumped. President, taking it even further in another tweet are Great. American companies are hereby ordered to immediately start looking for an alternative to China, and it was that statement that really spooked markets, this stock market tank and only got worse as the day went on. Now. It’S not exactly clear what policy measures if any Trump can put in place that prevent American companies from doing business with China, but it did not matter to investors. The stock market really took it on the chin. After that, that’s what happened United States today, then there’s what happened in China today – and I mentioned this – was a retaliation on Earth. Eleation, the Chinese countries, the United States and China are Canada’s largest trading. Partners are also the two largest economies in the world so as they really go back and forth on this trade War, lot of concern that it could have a spillover effect here in Canada and that the potential for our procession on that issue, the president, isn’t just Blaming China he’s also pointing his finger somewhere else earlier today. I J Powell, he is the chair of the Federal Reserve. Wasn’T it has been a target of late today being no different. Nelson contacts to this stock markets opened lower this morning on this tariff news from China, which was the first thing that we saw today. It was a relatively small lost. My daughter’s that Jerome Powell was giving a speech today was a scheduled species at the Jackson Hole conference in Wyoming and he was going to talk about something 3,100 words on inflation, the history of inflation. Going back to the 1930s look for Indie speeches, it’s kind of what goes to the beginning of particularly what goes at the end of the speech of cuz. He takes all this historical Stephanie puts it into contact. What Powell said was that the economy of the United States is looking fairly good today and that’s what investors Kiton this morning, because he said yes, the tariffs are hurting but everything’s fine. That wasn’t good enough, though, for Donald Trump, because then he tweeted the following. As usual defended nothing, it’s incredible that they can speak without knowing or asking what I am doing, which will be announced shortly. He went on. My only question is: who is our bigger enemy, J Powell or chairman XI, the leader of China, so severely negative when towels? It was released this morning, stock market was positive and it was truly Trump’s tweets that got thing going lower today. Another interesting point that I want to put you mention vaschy the timing of these tweets that Trump announced on the tariffs on Chinese Goods 5. Exactly the stock market closes at 4, the Futures market closes at 5 this week coming out at exactly 5. So maybe someone got in his ear and said: please stop tweeting. When did stock markets are going cuz. We saw how incredibly volatile was today on the point of whether these countries need each other or not Donald Trump, said no. We don’t need China. There 636 billion dollars worth of trade between these two countries every single year. They absolutely need each other when it comes to trade. The world Army needs these people these two countries to be in good shape with each other. Before it’s a major American corporations, talking about tariffs of Lake caterpillar to an industrial giant, they say it’s costing them $ 300 a year because of tariffs still on Trump’s Twitter account the coming days, sure is, and we will all be watching thanks. So much Steve. The cdc’s Steve Niles with that update, so is the US and China trade War escalating to a dangerous point and how could their traits that potentially affect Canadians and the an economy? That house is the Deputy Chief Economist at Scotiabank economic season are Toronto. Studio Adam Taylor is a president of export action, Global and former senior advisor start with you. Let’S start with China’s announcement of those retaliatory tariffs will get into the reaction in a second. But what can you tell us about the potential economic impact of those terrorists? China Focus principle in two tranches on agricultural Goods, American vehicles and Optical instruments and other electronic Goods. But the real problem with the economy is the continued and mounting uncertainty that they represent for business. Business can adapt to changes in the rules, but when the rules are changing daily or radically and with little rationale underpinning them, it’s very hard for business to make investment decisions and purchasing decisions, Dean Seltzer in Canada, almost since the Trump Administration came to office with you Know immediately saying NAFTA was going to be renegotiated: steel and aluminum tariffs and on and on and on now we’re experiencing God continued Persistence of a trade war that will touch Canada because tariffs that get introduced and then countertops in the new tariffs and you counter terrorist. Will disrupt Supply chains and an adventure said businesses and investors want stability and predictability, and right now they have neither, but I find it really difficult to try and follow along where, where the sort of dispute between the US and China is headed at one day, I’m Reading in the papers at the talks are going well that perhaps a deal is on the Horizon. Dental of a sudden you wake up this morning and he’s tariffs. President start saying to American companies start looking elsewhere, don’t do business with China. Tell me what your read is on the progression of these talks and if there is anything to look two words or think of sweet earlier. So I would point it out seen a major escalation and a really steep change in the tenor of these talks, because at the beginning of the month, President Trump promised or threatened to impose tariffs on the remaining 300 billion dollar of us parts from China. That hadn’t already been hit by special Terrace by his administration, and that was a real step-change, because a substantial portion of those goods are consumer goods like toys, Games, sports gear, shoes, electronic Goods, like computers and phones, the very things that we thought all along Trump – wouldn’t Dare touch because his boating base and average consumers throughout the United States would see the impact on prices they pay in Walmart everyday, and that is a real for any present. That’S trying to get a second term. So what we’ve seen this month is real shift from what seemed like a battle that was simmering as j-pal said a few weeks ago and maybe not going on to a more intense level that has completely flown into a bigger conflagration in the global economy. And Canada was doing quite well, but today we have no idea what’s going to come next, I mean afternoon, after still isn’t ratified the Trump Administration. Donald Trump sold himself as the author of The Art of the deal, and he can’t even do a deal with his to close neighbors, Canada and Mexico. So do we have a real problem? We don’t know where the next, where the next tweet is going to come from, and what the implications will be for business around the world and that’s a terrible way to to be doing business in and with a global recession. Potentially, now washing up on the shores of Europe and then now trickling into North America, it’s it’s a scary time, a different way. In the past few weeks, then we had a prior smt economic indicators had a lot of people speculating that one could be on the horizon. What’S your read on that and what about the potential implications for this country and Canadians here? There is only one reason: we’re talking about a trump recession, possibly beyond that being on the horizon, and that is the uncertainty bread by this erratic and quixotic trade battle. When we look at the underlined part of the United States, both are reasonably robust economy is where, in the United States we’ve got, households will have the best financial situation they’ve had in about 40 years, we’ve got a strong labor market, increasing wage gains and improvements in The housing sector in the US and strong performance from the manufacturing sector. Similarly, and can we have some of the biggest on-field order, books that we’ve had in for 5 years and we’ve got labor markets have been on a tear. Although households are far more indebted in neither case and neither. economy are the conditions for a recession, and if you look at most forecasters, although we’ve all been bringing down our growth forecast in response to the uncertainties bread by the Trump White House, no one has yet Really firmly committed in their Fork, Astra reception on Horizon, but the kind of crazy trade policy moves that we’re seeing today. The kind of erratic tweeting that has just mounted and mounted is starting to weigh on businesses, and you will see, I think, more and more people stronger probabilities on a recession ahead in the coming year. Just read a bit of it out and get your reaction, starting on October 1st, the 250 billion dollars of goods in products from China currently being Additionally, the remaining three hundred billion dollars of goods and products in China that was being taxed from September, set the 10 % will now be taxed at 15 %, so once again, we’ve got. You know the morning announcement from China Trump making. Some very pointed statements about American Business is not doing. You know not dealing with China additional Terrace and we’ve got further escalation in this trade War. It just goes to show you how silly this trade War now is, where we’re putting tariffs and then counter-terrorism, the new tariffs and you counter-terrorist and nobody is winning from it. Businesses aren’t winning consumers aren’t winning consumers, and so this is. This just shows the fallacy of of the trade War I’m reminded of The Economist head. The cover of The Economist magazine a few months ago showed the leader of China and president shooting themselves in the foot with the caption trade war, and that’s exactly what this is and it’s disruptive to business. It destroys Supply chains and its it roads, confidence and, and then people just don’t know where they can count on for a stable Market anymore, and that’s that’s the real, an export-oriented in export-dependent economy like Canada’s is: where do we go next? The u.s. is our main trading partner, China, their second main trading partner, so we’re really really caught in a potential collateral damage situation. Here. Has this war intensifies bouncing ball and and trying to figure out where they’re supposed to look ahead? Final word to you is a chronic condition. That’S going to persist and probably intensify through the end of this first term of the Trump presidency, and I think it’s going to continue in part, because the Chinese are playing a very effective game with US president. They know that he is going to respond to any retaliation that they put into place, and they also know that the most toxic thing for a president to try to win second term is a downturn in the economy in a downturn in markets and the action presents Trump is taking our leading to exactly those two things. So if Beijing wanted to get Trump out of office, they are playing him in precisely the way they need to do to bring about that. Alright, I have to leave it there, but thanks very much to both of you this evening. For your time, thanks to brat house and Adam Taylor, Donald Trump retaliated against Beijing by announcing a hike in tariffs on all Chinese goods. The move came after the stock markets sold off in response to Trump posting a tweet ordering U.S. companies to stop doing business with China.
To read more: http://cbc.ca/1.5257566
»»» Subscribe to CBC News to watch more videos: http://bit.ly/1RreYWS
Connect with CBC News Online:
For breaking news, video, audio and in-depth coverage: http://bit.ly/1Z0m6iX
Find CBC News on Facebook: http://bit.ly/1WjG36m
Follow CBC News on Twitter: http://bit.ly/1sA5P9H
For breaking news on Twitter: http://bit.ly/1WjDyks
Follow CBC News on Instagram: http://bit.ly/1Z0iE7O
Download the CBC News app for iOS: http://apple.co/25mpsUz
Download the CBC News app for Android: http://bit.ly/1XxuozZ
For more than 75 years, CBC News has been the source Canadians turn to, to keep them informed about their communities, their country and their world. Through regional and national programming on multiple platforms, including CBC Television, CBC News Network, CBC Radio, CBCNews.ca, mobile and on-demand, CBC News and its internationally recognized team of award-winning journalists deliver the breaking stories, the issues, the analyses and the personalities that matter to Canadians.