Donald Trump has just blown up China’s economy
excerpt:
Thus far, Beijing’s response to Trump has been to absorb as much as possible the elevated tariffs. Xi Jinping has turned his back on consumer spending as the basis of the economy – consumption accounted for an abnormally low 38 per cent of Gross Domestic Product last year—and so Xi must export his way out of his increasingly serious predicament. China, as a result, is not an attractive trade partner because its internal market is, at the very least, stagnant and may well be shrinking.
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It’s unlikely, therefore, that trade blocs or individual countries will allow the Chinese to dump products they can no longer sell in America due to Trump’s increased tariffs.
Translation: They'll be stuck with all their crap no one else will buy.
Again from the above linked article:
"China has been allowed to engage, largely without penalty, in predatory trade practices to pay for all of Xi’s projects. Trump’s tariffs not only effectively close off the world’s biggest market to the Chinese – the levies now stand at least at 104 per cent and as high as 115 per cent – but they also are encouraging other countries to build their tariff walls too".
"So just at the moment when China needs globalization to continue, Trump is killing it off."
Translation: Unless they negotiate with Trump to lower tariffs, they'll collapse under their own weight!
Brilliant DJT!!!!
I know!