Editor’s note: China’s reliance on the US consumer market is the piggy bank that funds its military growth. China is having to reassess its naval shipbuilding plans in the face of economic, technical and strategic challenges at home and abroad, according to military insiders. [Minnie Chan | May 26, 2019 | South China Morning Post] While…
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Excerpt: “Fear of making waves also led senior management at Sunnyvale, Calif.-based optical networking firm Infinera Corp. to pull back from a plan to file a trade case seeking U.S. tariffs to penalize Huawei, says Jeff Ferry, a former executive at the firm. Mr. Ferry says he had compiled evidence a decade ago showing that…
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Editor’s note: Fed economists’ model needs more work. The Federal Reserve’s latest study of the Trump administration’s China tariffs estimates that they will cost the average U.S. household $831 a year. [John Carney | May 24, 2019 | Breitbart] The Fed economists, however, make a significant error that fundamentally undermines their findings. They assume that…
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Editors note: Trade intervention policy is now shifting to include currency. The Trump administration is proposing tariffs on goods from countries found to have undervalued currencies, in a move that would further escalate its assault on global trading rules. [Shawn Donnan and Jenny Leonard | May 23, 2019 | Bloomberg] The proposal, laid out in a Federal…
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Editor’s note: Providing immediate relief to family farms and ranches is a good move because the rural economy is in very, very bad shape. Trade has some impact, varying depending upon the commodity, while the overvalued dollar and global oversupply are bigger factors needing to be addressed with an agro-industry strategy. President suggests Huawei Technologies…
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Editors note: Further evidence that offshoring our industry to China is bad for the environment. Rogue emissions of a gas that harms the ozone layer are coming from eastern China, primarily from two heavily industrialized provinces, an international team of researchers said Wednesday. [Henry Fountain and Chris Buckley | June 24, 2018 | NY Times]…
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Editor’s note. This is a problem. House Minority Leader Kevin McCarthy (R-Calif.) blocked a bipartisan attempt to limit Chinese companies from contracting with U.S. transit systems, a move that benefited a Chinese government-backed manufacturer with a plant in his district, according to multiple people familiar with the matter. [Damian Paletta and Erica Werner | May 21, 2019…
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Editor’s note: Curtis Ellis clearly lays out why the China trade issue is not a mere commercial dispute. Why exactly did progress toward a U.S.-China trade deal apparently slow down, and President Donald Trump finally enact his promised 25 percent tariff on 200 billion dollars in Chinese goods? What will the effects of this be…
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Excerpt:[Rob Scott (EPI)] argued that the “single best tool” the U.S. has for reducing its deficit is to lower the value of the U.S. dollar.“The dollar is too strong. It acts like a subsidy to all of the exports from China, and these other countries and attacks on everything we’re trying to sell to China, Japan, and the…
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Editor’s note: This is another example economists falsely equating global trade growth, regardless of imbalances or cheating, with the prosperity of real people. The world cannot expect to excessively rely upon the US market for their growth. Global trade growth has “slowed abruptly” over the past year, the Organization for Economic Cooperation and Development says…
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