Will Trump's tariffs lead to a global trade war?

[greggles]

Im almost certain that he ran for president on these policies. I dont see how they could be seen to knee jerk reactions. These policies make sense for the American economy moving forward. They have a very large trade imbalance with the likes of China who aartifically sets its currency. He is simply taking it to the commie bastards, more power to him i say.
Cheers

While I can't recall if the steel and aluminium industries were specifically mentioned by Trump during his campaigning (you could be right), my remark that the tariffs were a knee jerk reaction concerned the timing of the introduction of the tariffs. More specifically, it seemed to co-coincide with media reports of Trump's declining popularity with his support base. However, my assessment was purely anecdotal and I didn't check with any official approval/disapproval statistics.

Interestingly, now that Canada, Mexico and Australia have been exempted from the tariffs, Japan and the EU are also presenting their cases for exemption: https://www.reuters.com/article/us-...r-exemptions-from-trump-tariffs-idUSKCN1GM0PZ

How much is Trump willing to bend on this issue I wonder?

 

[luutzu]

Im almost certain that he ran for president on these policies. I dont see how they could be seen to knee jerk reactions. These policies make sense for the American economy moving forward. They have a very large trade imbalance with the likes of China who aartifically sets its currency. He is simply taking it to the commie bastards, more power to him i say.
Cheers

Can you explain how it make sense for America?

If it's about creating jobs, steelworks jobs, a Reuters report... and I'm assuming they're not biased but could be wrong... report showed that there's only some 140K workers in US steel mills. That compare to some 6.5M workers employed by those to import and use the imported steel.

So if the costs to currently imported steel goes up, those who now manufacture using those steel will either have to increase their sales price by at least the equivalent rise, or let their workers go, or move all manufacturing offshore to save on the new tariffs.

Then there's the exemptions. Mexico, Canada, Australia and anyone else who know a guy who know a guy who lend the Trump and Krushner money can get it...

That's like locking the doors but opening a few windows.

 

[luutzu]

While I can't recall if the steel and aluminium industries were specifically mentioned by Trump during his campaigning (you could be right), my remark that the tariffs were a knee jerk reaction concerned the timing of the introduction of the tariffs. More specifically, it seemed to co-coincide with media reports of Trump's declining popularity with his support base. However, my assessment was purely anecdotal and I didn't check with any official approval/disapproval statistics.

Interestingly, now that Canada, Mexico and Australia have been exempted from the tariffs, Japan and the EU are also presenting their cases for exemption: https://www.reuters.com/article/us-...r-exemptions-from-trump-tariffs-idUSKCN1GM0PZ

How much is Trump willing to bend on this issue I wonder?

He's going to bend over after the mid-term election they're having in the US.

Apparently he's doing this to help some Republican douche who talk God, family value, love and anti-abortion but got caught telling his pregnant on-the-sides to get an abortion.

That and it might help his friend Carl Icahn shorting a few stocks in the right industry just before the tweet.

The corruption and lies are so blatant it's incredible.

 

[BlownAccount]

He is simply supporting local business. At the moment there is a large transfer of

Haven't you noticed the Chinese have been at war with us for over 50 years.
It's not just a trade war, that is just the start.
China won't leverage it up until they know they have overwhelming force. Much smarter than Hitler.
Have you forgotten that Blue Scope steel had to be rescued by our government for security reasons?
Did you not see Australia's - OneSteel collapse?

One reason - China.

Trump is on the money on this one. China targets this area and tried to monopolize rare earths as they are the main ingredience for weapons!

China is the most ruthless psychopathic threat the world has ever seen...... far worse and far smarter than Hitler ever was

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Haven't you noticed the Chinese have been at war with us for over 50 years.
It's not just a trade war, that is just the start.
China won't leverage it up until they know they have overwhelming force. Much smarter than Hitler.
Have you forgotten that Blue Scope steel had to be rescued by our government for security reasons?
Did you not see Australia's - OneSteel collapse?

One reason - China.

Trump is on the money on this one. China targets this area and tried to monopolize rare earths as they are the main ingredience for weapons!

China is the most ruthless psychopathic threat the world has ever seen...... far worse and far smarter than Hitler ever was

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I agree whole heartedly...cheers

 

[BlownAccount]

How does one edit ones post?

 

[greggles]

China hits back with tariffs on US imports worth $3bn

http://www.bbc.com/news/world-asia-43614400

Well, this was inevitable. China isn't a country that will just sit back when its interests are being threatened. It will strike back as it has done here. Will Trump now raise the ante?

 

[pixel]

How does one edit ones post?

After posting, you have limited time - 10 minutes, from memory - to make corrections.
For the duration, you will see the "Edit" option underneath your post. Once that tag disappears, you can no longer edit.

 

[greggles]

Looks like it is China that is upping the ante: China fires back, announcing tariffs on US planes, cars and soybeans

Wall Street isn't going to like this at all. Looks like we're in for a big down move tonight. Batten down the hatches!

 

[greggles]

Trump starts Tweeting:

 

[CanOz]

I reckon you’re big down move already happened mate.....

 

[greggles]

I reckon you’re big down move already happened mate.....

I meant after the market opens in New York in about 45 minutes from now.

 

[CanOz]

I meant after the market opens in New York in about 45 minutes from now.

You do realise th futures trade 24/5?

 

[greggles]

View attachment 86811

You do realise th futures trade 24/5?

Yeah, but I don't trade futures. I really only pay attention to pre-market action when there appears there's going to be a big move in either direction.

Nice recovery after the initial fall. The volatility in 2018 makes for some good intraday rollercoaster rides.

 

[Kerway]

report showed that there's only some 140K workers in US steel mills

Which is probably why Trump wants tariffs imposed. There were surely many more employed in the industry before China manipulated their exchange rate to such an extent that many US steel mills close down.

There is also the US Iron ore mining industry to consider, which lost its local customer base with the importation of steel from China.

I am with Trump on this one.

 

[CanOz]

China bought US debt, 100s of billions of it...then the US accuses them of currency manipulation. Japan does the same. One can absolutely argue that quantitative easing was manipulating the greenback for a decade....don’t get me started on currency wars....

 

[luutzu]

Which is probably why Trump wants tariffs imposed. There were surely many more employed in the industry before China manipulated their exchange rate to such an extent that many US steel mills close down.

There is also the US Iron ore mining industry to consider, which lost its local customer base with the importation of steel from China.

I am with Trump on this one.

American industrialists were the ones shipping those, and many other, jobs and industries offshore.

China was/is one of the biggest destination because of its cheap labour force and zero environmental regulation. Not to mention no pesky Unions demanding safe working environment and all that.

So it's a bit much to blame the Chinese for "cheating" and manipulating this and that.

If exchange rate is the reason for mills closure, you'd think the thing to do is manipulate US exchange rate back. Yes, it can be done, even in "floating" currency.

Anyway, I read somewhere that China didn't export that much steel to the US to be affected by these tariffs. That and their planned One Road, One Belt master plan will definitely eat up all the steel they can manufacturer for a couple of decades.

 

[greggles]

Trump ups the ante and threatens $US100bn more China tariffs.

https://www.smh.com.au/world/north-...100bn-more-china-tariffs-20180406-p4z82o.html

Where is this all going to end? Both sides are trying to look stronger than the other. It seems to be a battle of egos rather than anything else.

 

[tech/a]

It will end when Money becomes the dominant factor.

If its going to Cost one side more than the other
OR
Increase the capital for one side more than the other

Will be the determining factor.
Its just another day in the Business of NEGOTIATION

Each have their vested interests

 

[Gringotts Bank]

Trump ups the ante and threatens $US100bn more China tariffs.

https://www.smh.com.au/world/north-...100bn-more-china-tariffs-20180406-p4z82o.html

Where is this all going to end? Both sides are trying to look stronger than the other. It seems to be a battle of egos rather than anything else.

Battle for domainace. Both countries want to be number one in the world, and neither will back down. NK is sucking up to them both in a pathetic display. Russia is the wild card, capable of upsetting everything.

 

[greggles]

China slaps 179% charge on US sorghum imports

http://money.cnn.com/2018/04/17/news/economy/china-us-sorghum-antidumping/index.html

It's not over yet. China ups the ante again. I don't think this is a war Trump can win. By targeting agricultural products the Chinese realise that they will have an economic impact on Trump's rural support base. Clever tactic.

Trump hasn't tweeted in almost 24 hours. Is something wrong?