Continues to seek tariff increases, exchange rate fix Washington. The Coalition for a Prosperous America (CPA) offered its initial support for the ‘Phase One’ China deal concluded today by the Trump administration. CPA’s members are cautiously supportive and believe the president’s use of tariffs and other leverage remains necessary to address China’s IP theft and other…
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Editor’s note: Keith Bradsher does a good job laying out the mechanisms of China’s state sponsored technology theft and forced transfer. Its the tip of the iceberg. Companies have long accused Chinese rivals of swiping or seizing valuable technology. Beijing promises to ban those practices, but enforcement could be tough. [Keith Bradsher | January 15,…
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Editor’s note: This is an interesting legislative initiative for industrial strategy in the US, focused upon 5G. The US needs a combination of tariffs, industrial strategy and exchange rate realignment to win the global competition for good jobs and industries. Bipartisan bill would subsidize tech firms in their efforts to compete with Beijing-backed Huawei [Drew…
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Editor’s note: This is an excellent article by Peter Navarro. Paragraph three and four capture CPA’s analysis and why we differ from conventional economists. Tariffs to preserve or build industries are an investment in future jobs, innovation and production. Conventional economic models ignore how they boost investment and national security. [Peter Navarro | January 13,…
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Editors note: Germany talks multilateralism while acting unilaterally for its own Germany First interests. This article explains why we cannot expect to Germany to help us in the US China conflict. It’s comforting to believe that frequently rocky US-German relations over the last three years have been due largely to President Trump’s personal approach —…
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By Steven L. Byers, PhD and Jeff Ferry The US scored the smallest trade deficit since October 2016 as tariffs slowed the flow of imports into the country. With imports down while US consumption continues to rise, American workers grabbed a larger share of domestic demand. The US trade deficit in goods and services for…
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By Jeff Ferry, CPA Chief Economist The New Year dawns on an America where many manufacturing sectors are in a state of aggressive growth. In December, America’s largest steelmaker, Nucor, announced it will add a coil paint line to its Arkansas mill. That line will have the capacity to paint 250,000 tons of steel a…
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Editor’s Note: David Morse is the tax policy director for CPA and has once again made the top 100 list, coming in at #3 for Tax Writers, Bloggers & Gurus. His focus on ending the Tax code discrimination against US domestic companies continues to be a reason so many are paying attention to CPA’s Tax…
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Editor’s Note: Jeff Ferry is the chief economist for CPA. Media commentators often criticize the Trump administration’s steel tariffs. [Jeff Ferry | December 31, 2019 | Tribune Democrat] But evidence from around the United States shows that the steel tariffs are working. They are delivering jobs and an economic boost to many long-forgotten towns and…
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Editor’s Note: The most massive producer subsidy program in world history keeps chugging along as China drenches the production sector with another $115B in newly minted renminbi plus forced lending requirements. The country’s central bank will in effect inject $115 billion into the financial system despite signs the economy has been improving. [Carlos Tejada and…
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