Trade war between US and China

mmpleaser

Trade imbalance between the two
150 Billion to China and 550 billion to US, so every year US owes more to China.

There is only so much China can retaliate.  Other tools could be currency devaluation (but then US can buy more with their currency and China lost in money, but gain in jobs), Rare earth material for electronics, electric cars that US cannot do without.  Money gained from having Chinese students studying in US (mainly rich Chinese kids who do not get scholarships from undergrad study).

dragondick

1.  USA's, or DT's rather, calculation is completely wrong, because a lot of products with components from various parts of Asia, are assembled in China and then shipped to USA.  These are considered as China origin, e.g. Apples' smart phones.

2.  USA is still playing the 2 China policy, USA products shipped to Taiwan, Hong Kong, and Macao are not considered as sales to China.

3. Service Industries' revenues, which are loop-sided in favour of USA, are excluded from USA's trade "balance sheet".  

When the above 3 are adjusted, the trade imbalance is very small.

Furthermore, USA demonstrated NO sincerity in trade negotiations, the first round in Beijing was a "demand to surrender", not a negotiation, so the talk broke off within 2 days.

Subsequently, USA invited Chinese delegation to visit Washington for 2nd Round.  However, new demands were given to the media, and announced optimism that Chinese delegation is coming to sign.  Before Chinese delegation arrived, USA introduced a 2nd round of tariffs. As a result, the main Chinese delegation didn't even depart for USA.

Now, USA invited Chinese delegation to come for the 3rd Round, but using exactly the same tactics. China never even bothered to respond except tic-for-tat.  Basically, China is saying, "show me your best shots!"

Being the major holder of US bonds, China is now starting to unload its bond holdings.

The way I look at it, USA miscalculated completely and placed itself in a shit hole (I don't know how USA can get out of it), on top of it, EU countries are now alienated, they will turn to the East (i.e. China) for new market + picked up a few tricks from China in dealing with USA.

This will be the beginning of the end of USA's dominance on the world stage.  

We all have DT to be thankful for!  

hot.prince

How does this impact Canada?

mmpleaser

hot.prince 发表于 2018-9-20 18:35
How does this impact Canada?

One item is for Lobster sales.
Substitution effect is in play.

Canadian Lobster shipped to China (used to be from US), US Maine lobster shipped to Canada.
Just noticed in the TO supermarket price difference lower for US Lobster, how can one tell the difference, haha.

Back to why the trade war.
Some analysis mentioned that not only US but other developed countries are afraid of CHINA 2025 goal.
China is trying to get foreign tech knowledge by forcing joint venture to get critical high tech info.
Then China is going to beat them at their own game.
Only difference is US used trade war to revolt or protest, not the other developed countries.

mmpleaser

DT kept on saying China is RAPING US.

DT, you do not know what is rape, do you ?  You RAPES girls, escorts.
Japanese RAPED Nanjing to the tune of 300K.

Chinese do not rape, except when paying for escorts, money in someones pocket, more like a trade.

mmpleaser

五角大廈根據川普總統指示進行的調查發現，美軍有數百種重要物資依賴外國供應，尤其是嚴重依賴中國。美軍官員2日表示，研究報告預計將在未來數周公布，以期加強美國的製造產業，減少美軍對中國等國進口品的依賴。

報告中指出，美軍的部分微電子(micro-electronics)、集成電路(integrated circuits，積體電路)和晶體管是過度依賴外國，而這些部件廣泛用於衛星、巡航飛彈、無人機和手機上。

路透報導，報告揭示美軍對中國產品的依賴，凸顯川普指出中國的經濟和軍力日益強大，已威脅到美國的國家安全，五角大廈不願看到中國通過減少產品供應和停止技術出口，來遏制美軍。

報告也為美國與中國的貿易戰加碼，印證了川普政府「買美國貨」政策的正確。

五角大廈發言人安德魯斯(Mike Andrews)沒有對報告內容做出評論，但表示報告提出的建議，可加強國防產業與製造業的基礎。

稀土廣泛應用在電磁、雷達和民用電子產品上，而美國的稀土主要靠中國供應。美國地質測量所1月分析指出，美國2017年沒有出產稀土，而中國的稀土產量占全球的81%。

路透的報導也說，供應依賴外國除了貨源會被切斷外，還可能面臨設備遭到破壞和間諜的危險。五角大廈始終擔憂外國產的晶體管內可能暗藏殺機，導致美國的敏感系統在爆發衝突時失靈。

美國情報部門今年曾警告，中國可能利用中國產的手機和網路設備對美國人進行監聽。

支持這份報告結論者表示，五角大廈的報告指出，製造業的衰落嚴重影響了國家安全，但沒有像失去就業那樣更受重視。一名讀過報告的美軍官員說，人們認為製造業可以外流，不會影響到國家安全，但現在看來不是這樣。

報告提出的一個建議是，要保證重要武器部件的生產商能夠獲利。五角大廈表示，1950年的國防生產法就授權美國總統採取獎勵機制，以鼓勵國內廠商製造關鍵的武器部件。