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Trump claims new China tariffs help, not hurt, United States

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Trump claims new China tariffs help, not hurt, United States

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Donald Trump has claimed that the new tariffs will help us not hurt us and it will bring the U.S. more wealth. While trump tweeted “there is absolutely no need to rush” to make a deal, many investors worry that a trade war would raise costs for companies importing Chinese goods and make business in China more difficult.

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WASHINGTON (AP) - President Donald Trump said Friday that trade talks between China and the U.S. were continuing in a "very congenial manner" despite new tariffs the U.S. imposed Friday on $200 billion in Chinese imports and Beijing's vow to retaliate.

In a series of blustering morning tweets, Trump also claimed the new tariffs will help rather than hurt the U.S. and bring "FAR MORE wealth." He offered a proposal he said would ease any negative impact on U.S. farmers from lost sales to China.

U.S. and Chinese negotiators planned to continue talks Friday in an effort to resolve the standoff after the United States raised tariffs on Chinese imports, escalating tensions between the world's two biggest economies and rattling stock markets around the world.

"Tariffs will make our Country MUCH STRONGER, not weaker. Just sit back and watch!" Trump tweeted.

The U.S. stock market, which until this week had been expecting the two sides to reach an accord on trade, has been dropping for several days and reacted negatively again to Trump's tweet that "there is absolutely no need to rush" to make a deal. Investors worry about the impact of a full-blown trade war because it would raise costs for companies importing Chinese goods, could make doing business in China more difficult and would generally threaten to slow the global economy.

The S&P 500 index is on track for its worst week of 2019, although it's still showing a double-digit gain for the year.

The talks in Washington were thrown into disarray this week after top U.S. trade negotiator Robert Lighthizer and Treasury Secretary Steven Mnuchin accused the Chinese of reneging on commitments they'd made earlier.

"China should not renegotiate deals with the U.S. at the last minute," Trump tweeted. "There is no need to rush through negotiations because 'massive payments' the Chinese are now paying "go directly into the Treasury of the U.S."

Actually, the burden of tariffs falls on U.S. consumers and businesses that buy imports. By the end of last year, those consumers and companies were paying $3 billion a month in higher taxes and absorbing $1.4 billion a month in lost efficiency, according to a study by the Federal Reserve Bank of New York and Columbia and Princeton universities.

Money is indeed going into the federal treasury, but it's mostly, if not entirely, coming from the tariffs - taxes - on U.S. businesses and consumers, not China, and it's not a driver of economic growth but rather a risk to it.

Some lawmakers have recently expressed concern about the effect of the tariffs on farmers, which Trump referenced in his tweets.

He suggested that money from the additional tariffs would allow the U.S. to buy more agricultural goods from American farmers and ship the produce to "poor & starving" countries.

Trump tweeted that if the U.S. bought $15 billion in agriculture from farmers it would be far more than China buys now. He also said the U.S. would have more than $85 billion left over for new American infrastructure, health care or other programs.

It was unclear what numbers Trump was using to make his point. According to the United States Department of Agriculture, China bought $9.2 billion in U.S. agricultural exports in 2018.

"Our Farmers will do better, faster, and starving nations can now be helped," Trump tweeted. He provided no detail about what he meant. "Waivers on some products will be granted, or go to a new source!"

A Chinese Foreign Ministry spokesman said Beijing is hoping the Trump administration will meet China "halfway" in the dispute over trade. The spokesman, Geng Shuang, spoke just hours after the U.S. raised tariffs Friday on $200 billion in imports from China to 25% from 10%.

China said it would take unspecified countermeasures.

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Associated Press Global Markets Editor Paul Harloff in New York contributed to this report.

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Trump claims new China tariffs help, not hurt, United States

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WASHINGTON (AP) - President Donald Trump said Friday that trade talks between China and the U.S. were continuing in a "very congenial manner" despite new tariffs the U.S. imposed Friday on $200 billion in Chinese imports and Beijing's vow to retaliate.

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U.S. and China beginning to propose threats in high-stakes trade talk

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U.S. and China beginning to propose threats in high-stakes trade talk

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As tensions rise between the United States and China, President Trump and President Xi Jinping meet at a welcome ceremony in Beijing. The United States and China are scheduled Thursday, May 9, 2019, to resume talks to try to back off an escalating trade war.  Donald trump has done much of his negotiations with China on twitter, so the people can be knowledgeable to the topic. Our president has successfully converted twitter into a big help to his presidency along with helping him gain thousands of supporters for his hot headed temperament.

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WASHINGTON (AP) - U.S. and Chinese negotiators are to resume trade talks Thursday just hours before the United States is set to raise tariffs on Chinese imports in a dramatic escalation of tensions between the world's two biggest economies.

In Beijing, Chinese officials said they will retaliate if President Donald Trump goes ahead with more tariff hikes, adding to the heated rhetoric from both sides that was shaking stock markets around the world.

The talks starting up again in Washington were thrown into disarray this week after top U.S. trade negotiator Robert Lighthizer and Treasury Secretary Steven Mnuchin accused the Chinese of reneging on commitments they'd made earlier. In response to the alleged backsliding, the United States is raising tariffs on $200 billion in Chinese imports from 10% to 25% at 12:01 a.m. Eastern time Friday.

The two countries are sparring over U.S. allegations that China steals technology and pressures American companies into handing over trade secrets, part of an aggressive campaign to turn Chinese companies into world leaders in robotics, electric cars and other advanced industries.

The setback was unexpected. Through late last week, Trump administration officials were suggesting that negotiators were making steady progress.

U.S. officials say they got an inkling of China's second thoughts about prior commitments in talks last week in Beijing, but that the backsliding became even more apparent in exchanges over the weekend. They wouldn't identify the specific issues involved.

On Sunday, President Donald Trump took to Twitter to express frustration with the pace of the talks. "The Trade Deal with China continues, but too slowly, as they attempt to renegotiate. No!" Trump tweeted, threatening to raise the tariffs. He also said he'd go further and slap 25% tariffs on another $325 billion in Chinese imports, covering everything China sells the United States.

U.S. officials are insisting that any deal be strictly enforced so that China lives up to its promises - something they say Beijing has repeatedly failed to do in the past. Also unclear is what would happen to the U.S. tariffs on Chinese imports. China wants them lifted; the U.S. wants to keep tariffs as leverage to pressure the Chinese to comply with any agreement.

Hours before the talks were set to resume in Washington, the Chinese government said it would retaliate if the U.S. tariff increases take effect. It did not provide details, but said it had made "all necessary preparations," suggesting it might be bracing for worsening conflict.

"If the U.S. tariff measures are carried out, China will have to take necessary countermeasures," said a Commerce Ministry statement. The spokesman, Gao Feng, said China has the "determination and ability to defend its own interests."

The volley of threats reignited jitters about global economic growth, prompting another round of losses on world stock markets.

If tariff hikes go ahead, "risks of a financial market collapse, extreme risk aversion, and sharp slowdown in global growth will spike," said Philip Wee of DBS Group in a report.

Germany's DAX index shed 1.2% and France's CAC 40 lost 1.5%. Hong Kong's main benchmark skidded 2.4% and the Shanghai Composite Index lost 1.5%. Tokyo's Nikkei 225 lost 0.9%. Wall Street was set to open lower.

Chinese authorities already have extended retaliation beyond imports by targeting operations of American companies in China. Regulators have slowed down customs clearance for their shipments and delayed issuing licenses in finance and other industries.

The Chinese government has an array of other weapons including launching tax, anti-monopoly or other investigations that can hamper company operations.

Chinese leaders see industry development directed by the Communist Party as a path to prosperity and global influence. They deny their plans violate Beijing's trade commitments but have offered to change details that provoke the most foreign opposition.

"China is not afraid of conflict," said the Global Times, a newspaper published by the ruling Communist Party's People's Daily that is known for its nationalist tone. It said Beijing has measures in place to "minimize losses" for its companies.

"Mentally and materially, China is much better prepared than its U.S. counterpart," the newspaper said.

Despite such bluster, factories in Chinese coastal regions that serve the U.S. market have been devastated. Industries including electronics that the Communist Party is promoting as China's economic future have suffered declines of up to 40% in sales to the United States.

That has increased pressure on President Xi Jinping, who political analysts say faces criticism within the ruling party that he has failed to manage Trump.

Chinese exports to the United States plunged 13% from a year ago in April and are off 9.7% since the start of 2019. Total Chinese exports sank 2.7% in April, far weaker than forecasts for growth in low single digits. Imports of American goods, meanwhile, tumbled 26%.

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McDonald reported from Beijing.

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US, China wield threats going into high-stakes trade talks

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WASHINGTON (AP) - U.S. and Chinese negotiators are to resume trade talks Thursday just hours before the United States is set to raise tariffs on Chinese imports in a dramatic escalation of tensions between the world's two biggest economies.

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Trump tweets about U.S. trade with China

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Trump tweets about U.S. trade with China

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¨The United States has been losing, for many years, 600 to 800 Billion Dollars a year on Trade. With China we lose 500 Billion Dollars. Sorry, we’re not going to be doing that anymore!¨

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The United States has been losing, for many years, 600 to 800 Billion Dollars a year on Trade. With China we lose 500 Billion Dollars. Sorry, we’re not going to be doing that anymore!

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The United States has been losing, for many years, 600 to 800 Billion Dollars a year on Trade. With China we lose 500 Billion Dollars. Sorry, we’re not going to be doing that anymore!

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The United States has been losing, for many years, 600 to 800 Billion Dollars a year on Trade. With China we lose 500 Billion Dollars. Sorry, we’re not going to be doing that anymore!
— Donald J. Trump (@realDonaldTrump) May 6, 2019

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The United States has been losing, for many years, 600 to 800 Billion Dollars a year on Trade. With China we lose 500 Billion Dollars. Sorry, we’re not going to be doing that anymore!

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The United States has been losing, for many years, 600 to 800 Billion Dollars a year on Trade. With China we lose 500 Billion Dollars. Sorry, we’re not going to be doing that anymore!

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The United States has been losing, for many years, 600 to 800 Billion Dollars a year on Trade. With China we lose 500 Billion Dollars. Sorry, we’re not going to be doing that anymore!

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Trump informs the public on Chinese trade tariffs

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Trump informs the public on Chinese trade tariffs

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"Talks with China continue in a very congenial manner - there is absolutely no need to rush - as Tariffs are NOW being paid to the United States by China of 25% on 250 Billion Dollars worth of goods & products. These massive payments go directly to the Treasury of the U.S...."

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Talks with China continue in a very congenial manner - there is absolutely no need to rush - as Tariffs are NOW being paid to the United States by China of 25% on 250 Billion Dollars worth of goods & products. These massive payments go directly to the Treasury of the U.S....

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Talks with China continue in a very congenial manner - there is absolutely no need to rush - as Tariffs are NOW being paid to the United States by China of 25% on 250 Billion Dollars worth of goods & products. These massive payments go directly to the Treasury of the U.S....

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Talks with China continue in a very congenial manner - there is absolutely no need to rush - as Tariffs are NOW being paid to the United States by China of 25% on 250 Billion Dollars worth of goods & products. These massive payments go directly to the Treasury of the U.S....
— Donald J. Trump (@realDonaldTrump) May 10, 2019

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Talks with China continue in a very congenial manner - there is absolutely no need to rush - as Tariffs are NOW being paid to the United States by China of 25% on 250 Billion Dollars worth of goods & products. These massive payments go directly to the Treasury of the U.S....

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Talks with China continue in a very congenial manner - there is absolutely no need to rush - as Tariffs are NOW being paid to the United States by China of 25% on 250 Billion Dollars worth of goods & products. These massive payments go directly to the Treasury of the U.S....

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Talks with China continue in a very congenial manner - there is absolutely no need to rush - as Tariffs are NOW being paid to the United States by China of 25% on 250 Billion Dollars worth of goods & products. These massive payments go directly to the Treasury of the U.S....

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Trump explains how China has been taking advantage of U.S.

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Trump explains how China has been taking advantage of U.S.

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¨For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods. These payments are partially responsible for our great economic results. The 10% will go up to 25% on Friday. 325 Billions Dollars....¨

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For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods. These payments are partially responsible for our great economic results. The 10% will go up to 25% on Friday. 325 Billions Dollars....

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For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods. These payments are partially responsible for our great economic results. The 10% will go up to 25% on Friday. 325 Billions Dollars....

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For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods. These payments are partially responsible for our great economic results. The 10% will go up to 25% on Friday. 325 Billions Dollars....
— Donald J. Trump (@realDonaldTrump) May 5, 2019

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For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods. These payments are partially responsible for our great economic results. The 10% will go up to 25% on Friday. 325 Billions Dollars....

# data[].attributes.attachment_link.metadata.attachment_props.original_text
For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods. These payments are partially responsible for our great economic results. The 10% will go up to 25% on Friday. 325 Billions Dollars....

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For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods. These payments are partially responsible for our great economic results. The 10% will go up to 25% on Friday. 325 Billions Dollars....

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Trump threatens to raises tariffs against China

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Trump threatens to raises tariffs against China

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¨....of additional goods sent to us by China remain untaxed, but will be shortly, at a rate of 25%. The Tariffs paid to the USA have had little impact on product cost, mostly borne by China. The Trade Deal with China continues, but too slowly, as they attempt to renegotiate. No!¨

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....of additional goods sent to us by China remain untaxed, but will be shortly, at a rate of 25%. The Tariffs paid to the USA have had little impact on product cost, mostly borne by China. The Trade Deal with China continues, but too slowly, as they attempt to renegotiate. No!

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....of additional goods sent to us by China remain untaxed, but will be shortly, at a rate of 25%. The Tariffs paid to the USA have had little impact on product cost, mostly borne by China. The Trade Deal with China continues, but too slowly, as they attempt to renegotiate. No!

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For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods. These payments are partially responsible for our great economic results. The 10% will go up to 25% on Friday. 325 Billions Dollars....

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....of additional goods sent to us by China remain untaxed, but will be shortly, at a rate of 25%. The Tariffs paid to the USA have had little impact on product cost, mostly borne by China. The Trade Deal with China continues, but too slowly, as they attempt to renegotiate. No!
— Donald J. Trump (@realDonaldTrump) May 5, 2019

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....of additional goods sent to us by China remain untaxed, but will be shortly, at a rate of 25%. The Tariffs paid to the USA have had little impact on product cost, mostly borne by China. The Trade Deal with China continues, but too slowly, as they attempt to renegotiate. No!

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For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods. These payments are partially responsible for our great economic results. The 10% will go up to 25% on Friday. 325 Billions Dollars....

# data[].attributes.attachment_link.metadata.attachment_props.original_text
....of additional goods sent to us by China remain untaxed, but will be shortly, at a rate of 25%. The Tariffs paid to the USA have had little impact on product cost, mostly borne by China. The Trade Deal with China continues, but too slowly, as they attempt to renegotiate. No!

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....of additional goods sent to us by China remain untaxed, but will be shortly, at a rate of 25%. The Tariffs paid to the USA have had little impact on product cost, mostly borne by China. The Trade Deal with China continues, but too slowly, as they attempt to renegotiate. No!

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For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods. These payments are partially responsible for our great economic results. The 10% will go up to 25% on Friday. 325 Billions Dollars....

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Trade has been peaceful between U.S. for a long time, until now as we are on the brink of trade war with the worlds largest manufacturing country in the world. President Trump tries to justify an increase in tariffs by saying China will cover the bill, but that is now how things are seeming to pan out. Trumps drastic claims against China for ¨robbing¨ U.S. in taxes and stealing technology have begun to rub President Xi Jinping the wrong way, as China is considering canceling a trip for their top negotiator to Washington D.C. to discuss the trade policies. However Trumps twitter being such a unpredictable stream of consciousnesses, China could choose to look past Donald's tweets and resolve this global conflict.