Now Trump is talking about a 'very serious economic sanction'' against Russia if it does not make peace in Ukraine to help him garner the Nobel Peace Prize. What is he boasting about? What happened to his 24-hour peace deal boast? Aren't all the sanctions and attempted secondary sanctions against Russia and cutting Russia from SWIFT and seizing Russian assets not economic war already? Trump is running out of runways to come up with more constructive threats against Russia and just using three-year-old recycled threats that is not going to rattle Putin. All the very serious economic sanctions have been used to death or dying of old age, and Russia is still alive and standing.
After raising tariffs to 50% against India, Trump is threatening to raise tariffs to 200% against China for not giving the USA magnets, perhaps also that China is buying Russian oil as well and not inviting him for a visit. Xi is not peeing in his pants or running around to find backers like what Modi is doing. Xi is waiting to celebrate Victory Day on September 3rd with big show of strength. Xi does not care two hoots whether the tariffs are raised to 2,000%. Life in China goes on and the 'peasants' are happy and contented. Fancy that!
Trump probably is still unaware that China has serious intent to decouple from the USA for good already, with everything built in place to do that. The man-child is throwing tantrums for not having his way in Ukraine. The Europeans are jubilant that the war in Ukraine is going to continue. However, the price to be paid by the Europeans in NATO are going to crush many of them. The Germans and Brits are already in deep economic trouble yet trying to be heroes in the eyes of Zelenskyy, urging him on. The UK wants to get rid of 600,000 migrants if the Reform Party takes power. Will those rats that jumped ship from Hong Kong during the chaos and swam to the UK now be shitting in their pants? Good punishment awaits them with some planning to return to Hong Kong. Far hope indeed.
Anonymous
I am surprised that Trump is threatening China with just 200% tariffs being imposed if China does not give the USA more magnets. This is either gangster or mafia behavior, nothing else. Trump should have made a nuclear-size threat of 2,000% to see if he manages to move the needle against China.
ReplyDeleteChina cares two hoots about doing business with the USA when its exports to USA had already been falling since the beginning of this year. More pressure exerted by Trump means less exports to USA by China in coming months. How does that figure in the tax collection masquerading as tariffs paid by USA importers and eventually passed to consumers? Scott Bessant and Howard Lutnik can continue to count chickens before they are hatched, touting tens of billions for the tax authorities every month. Absent from their boasting is the question of who pays for those tariffs.
I am sure that the 2,000% tariff on China if Trump dares to declare, will be the best opportunity for China to announce the signal for total decoupling by China and ending the constant demands for more magnets, and total boycotting by Chinese ships calling at USA ports with Christmas items, if Chinese manufacturers are not already avoiding the USA market. Chinese manufacturers should heed the sign that the earlier they avoid the USA, the better for their business with the Global South. What is the demand from a mere 350 million USA consumers, most living from paycheck to paycheck, compared to the several billions of consumers waiting for cheap Chinese goods from the Global South. It is a no brainer for Chinese manufacturers not to take advantage of the opportunity and make hay while the sun shines.
Yes, China will yet corner the Global South market for sure, while the USA and Europeans look on with greed, but unable to do anything about it. Global South countries are not going to be blackmailed by the USA to avoid buying Chinese goods or raising tariffs against Chinese imports, just like Mexico now toeing the USA line. China will retaliate against Mexico and already BYD's intention to build an EV plant in Mexico is not going ahead for geopolitical uncertainty reasons.