European Commission chief Jean-Claude Juncker:
"So now we will also impose import tariffs. This is basically a stupid process, the fact that we have to do this. But we have to do it. ... We can also do stupid. We also have to be this stupid."
...Remember this. Throughout the ages some things NEVER get better and NEVER change. You have Walls and you have Wheels. It was ALWAYS that way and it will ALWAYS be that way! Please explain to the Democrats that there can NEVER be a replacement for a good old fashioned WALL!
Wait, what?
"'He shoots his mouth off but at least that shows heโs honest,' said Jason, a pipe-fitter, who said he especially liked Mr Trumpโs commitment to reducing the national debt."
And there it is:
"George, an electrician, described Mr Bidenโs as a Trojan Horse for Ms Harris: 'Heโd resign on day one and then youโve got your first woman president and sheโs black, too.'โ
The good news about this Hawley op-ed on abolishing the WTO () is that he doesn't understand the WTO or the pre-WTO trading system at all, and his arguments fall apart very quickly based on the actual facts.
Me: There are separate NAFTA dispute processes under Chapters 19 & 20, but it's a bit technical and you probably want me to move on.
Canadians: No, tell us more about both chapters. How does each work? How exactly do they differ?
Me: Who are you people?
What I love about Canadians is that they care about substance. I never thought I would be talking so much about NAFTA Chapter 19 and 20 dispute processes on TV!
Thanks to
@VassyKapelos
and
@PnPCBC
Feinstein: "Whether or not tariffs cause inflation, they significantly raise prices on US families and businesses. So even if tariffs are not inflation per se, they similarly impact on people's finances."
Kamala Harris during the debates:
"I am not a protectionist Democrat. Look, we need to sell our stuff. And that means we need to sell it to people overseas. That means we need trade policies that allow that to happen."
"Tosh, a third-generation farmer who almost always votes Republican, said he's voting this fall for Blackburn's Democratic opponent, former Gov. Phil Bredesen, in part because Trump's trade wars are hurting his family business"
Tariffs are a classic special interest giveaway, taking wealth from some people and giving it to a favored few. Whether proponents know this or not doesn't change how tariffs work.
..Because of Tariffs we will be able to start paying down large amounts of the $21 Trillion in debt that has been accumulated, much by the Obama Administration, while at the same time reducing taxes for our people. At minimum, we will make much better Trade Deals for our country!
Not just strategic relations. People underestimate the role of geopolitical ideas in economic policy โ the push for freer trade since World War II had a lot to do with the belief that trade promotes peace, which is increasingly hard to defend.
"Speaker Nancy Pelosi is resisting pressure from the Trump administration to quickly approve an updated North American trade deal and is telling lawmakers and union officials that a planned study of the agreement could drag on well into the fall"
1. Drop the Section 232 tariffs and other trade aggression against allies
2. Negotiate trade liberalization with those allies
3. Coordinate with those allies on China issues
4. File complaints against China at the WTO
5. Engage in actual good faith negotiations with China
Trump on criticism from Republicans on his China trade war: "So what does Pat Toomey want me do do, does he want me to say 'let me put my hands up, China?' โฆ For Pat Toomey and some others that want to give up โฆ thereโs nothing you can do but tariffs."
"Listening to Hawley talk populist is like listening to a white progressive Upper West Sider in the 1970s try to talk jive. The words are there, but heโs trying so hard it sounds ridiculous."
โThis is national conservatism pursued to its logical conclusion: using state power to break up and humble the big corporations and to push back against coastal cultural values. The culture war merges with the economic-class warโand a new right emerges.โ
"for forty years neoliberalism was the principal economic doctrine of the American government"
So farm subsidies, budget deficits, and super long copyrights are neoliberal. Got it. ๐
Today is my last day with
@CatoTrade
. Sad to be leaving my great colleagues. We wrote lots of papers, hosted many events, and had fun doing it!
But I'm excited for my new venture with
@HZhu2013
. Details on that coming soon!
"Amazon has rolled out this pay-to-play advertising scheme that is actually showing consumers less relevant results and steering them to more expensive products."
@linakhanFTC
walks through how Amazon uses its monopoly power to hike prices while its quality degrades.
So government regulatory approval of transactions can be used to extract money from corporations to be used for social causes? Interesting precedent this sets. The Democrats are going to be intrigued to hear about it.
.
@realDonaldTrump
on the renegotiated U.S.-South Korea free trade agreement the two leaders will sign shortly: "I'm very excited about our new trade agreement. This is a brand new agreement, This is not an old one re-written."
Trump letter to WSJ: "Under Joe Biden, our trade deficits, also known as losses, have hit record highs."
But Biden has mostly kept Trump's tariffs in place, so this kind of seems like an argument that tariffs don't lead to lower trade deficits.
In Wisconsin, Trump is now playing a video of Bernie Sanders accusing Joe Biden of wanting to cut social security spending as a senator.
"And he will cut your social security," Trump pledges.
(Biden is promising to actually *expand* social security.)
If US withdraws from the WTO, we will aggravate allies and lose influence over the trading system. China will benefit, as its own role will be strengthened. Better approach would be for administration to stop waging trade wars against allies, and deal with China problems jointly.
Itโs time to force a debate about reforming international trade system and bringing jobs & production back to USA. Only way to confront
#China
and strengthen America. That is why I will ask for vote on US withdrawal from WTO
Congratulations to my friend and colleague Dr.
@inumanak
on her successful dissertation defense today!
It looked like a tough process and made me glad I took the easy route of going to law school.
Does the Biden administration also support Buy Canadian, Buy Chinese, Buy Chilean etc.? Does the administration think every country should have its own domestic solar industry and exclude foreign competitors?
We disagree. Buy American is NOT a conflicting goal with moving to a clean energy economy โ it is essential part of making that change job-creating here in the USA.
What I love about Canadians is that they care about substance. I never thought I would be talking so much about NAFTA Chapter 19 and 20 dispute processes on TV!
Thanks to
@VassyKapelos
and
@PnPCBC
Great fun and meeting with Prime Minister
@AbeShinzo
. Numerous Japanese officials told me that the Democrats would rather see the United States fail than see me or the Republican Party succeed - Death Wish!
โItโs not good enough,โ Trump said ... โTheir consumer habits are to buy their cars, not to buy our cars.โ
Proposed new WTO obligation on its way: Consumers in all countries must Buy American.
The United States must, at long last, be treated fairly on Trade. If we charge a country ZERO to sell their goods, and they charge us 25, 50 or even 100 percent to sell ours, it is UNFAIR and can no longer be tolerated. That is not Free or Fair Trade, it is Stupid Trade!
Today, I reported to Congress that Hong Kong is no longer autonomous from China, given facts on the ground. The United States stands with the people of Hong Kong.
This Peter Navarro op-ed makes clear that there are old school, die-hard protectionists with a lot of influence in the Trump administration. He is very forthright about helping specific industries, and is oblivious to the costs imposed on everyone else.
A must-read from Peter Navarro. What happened today on steel and aluminum reflects an ideological belief that a protected manufacturing economy will serve ordinary Americans better than an open economy. That is a sea change for the U.S. via
@usatoday
Very proud that France has become the first country in the world today to ban any new oil exploration licences with immediate effect and all oil extraction by 2040.
#KeepItInTheGround
#MakeOurPlanetGreatAgain
@EmmaMAshford
I would be OK with publishing it if they put a disclaimer up front saying, "We are publishing this article in order to make people aware of an extreme fascist viewpoint that apparently exists."
"In recent weeks, the U.S. Department of Agriculture has reported zero weekly export sales of pork to China," Lovely says. "So our exports to the country have pretty much collapsed."
I have two thoughts on this "anarchist jurisdictions" memo:
1. The people responsible for this memo are nuts.
2. If there were any actual anarchist jurisdictions out there, I'd probably be on Zillow checking out the real estate.
President Trump signed a memo today to restrict federal $ from going to "anarchist jurisdictions" - the memo cites Seattle, Portland, NYC & D.C.
Per the memo, below is how DOJ is supposed to determine what the "anarchist jurisdictions" are:
There is no political necessity to keep Canada in the new NAFTA deal. If we donโt make a fair deal for the U.S. after decades of abuse, Canada will be out. Congress should not interfere w/ these negotiations or I will simply terminate NAFTA entirely & we will be far better off...
"Over the next decade, our domestic panda program will produce bears that are larger, cuter, and can consume bamboo at twice the rate of their Chinese counterparts. Ask yourself, who should be deciding where these adorable animals are dispatched in nations across the globe?"
Good point by
@AdamPosen
:
"the fetishization of manufacturing jobs is hardly a neutral policy. The image of men doing dangerous things to produce heavy stuff seems to resonate with nostalgic voters in a way that women providing human services does not."
โAs president of the Yale Law School Federalist Society just over a decade and a half ago, Hawley... wrote numerous blog posts in favor of nation building in Iraq, and backing the Bush administration's โbroader geo-strategic goals.โโ
Take Tony Blinken. Heโs backed every endless war since the Iraq invasion. Now he works for
#BigTech
and helps companies break into
#China
. He has no sense of what working Americans want or need
"The president is expected to declare an economic emergency under the International Economic Emergency Powers Act, giving him unilateral power to immediately impose tariffs and at least foreshadowing his administrationโs plans to cap Chinese investment."
Yikes.
During the GATT negotiations in 1947, one of the US delegates offered an explanation of the scope of the security exception that had been proposed by the US:
So President Trump wanted China to buy $70billion in U.S. farm products. He said own team suggested $20billion. China agreed to $50billion. Still no details on how U.S. will guarantee that Beijing will implement such a massive commitment.
For dramatic effect,
@scottlincicome
is going to drink some European baby formula live on camera during the hearing, even though the FDA hasn't approved it. Tune in to see if he survives!
TOMORROW at 2:30 PM:
@scottlincicome
will testify on consolidation in the baby formula industry before the
@JudiciaryDems
Subcommittee on Competition Policy, Antitrust, and Consumer Rights.
Watch here:
#CatoTrade
Everyone is aware, I hope, that if Warren wins the nomination the fact that she passed herself off as Native American and โthe first woman of color tenured professor at Harvard Lawโ is going to be a focal point of the general election.
Ah, I see now.
"Oracleโs chief executive, Safra Catz, has dined at the White House with Trump and served on the presidentโs transition team after his election in 2016. Oracle co-founder and chairman Larry Ellison hosted a fundraiser for Trump this year."
Cherry-picking tariff data for individual products is not that helpful. Good average tariff data is here: China's tariffs are higher because of development status when it joined WTO.
When a car is sent to the United States from China, there is a Tariff to be paid of 2 1/2%. When a car is sent to China from the United States, there is a Tariff to be paid of 25%. Does that sound like free or fair trade. No, it sounds like STUPID TRADE - going on for years!
New text of Footnote 13:
โThe United Statesโ existing federal agency policies regarding the hiring of federal workers are sufficient to fulfill the obligations set forth in this Article. The Article thus requires no additional action on the part of the United States, ...
Trump in Nebraska touting the billions in public money his administration has given to farmers: "In fact, some people say our farmers do better now than they did when they actually had a farm. Heh."
NAFTA BOMBSHELL: The Star has obtained inflammatory secret comments about Canada that Trump made "off the record" yesterday, and they have upended the talks this morning:
Let me add a couple layers of complexity:
- The tariffs are taxes that hurt US consumers and businesses.
- When we hit them with tariffs, they hit us back with retaliatory tariffs.
- Other countries are lowering their tariffs with each other through trade deals.
Tariffs are the greatest! Either a country which has treated the United States unfairly on Trade negotiates a fair deal, or it gets hit with Tariffs. Itโs as simple as that - and everybodyโs talking! Remember, we are the โpiggy bankโ thatโs being robbed. All will be Great!
Mnuchin justifying the use of 232: โI think we have the right combination here of doing something to protect U.S. industry from dumping and unfair competition in the appropriate way. The objective is not to put tariffs on everybody but to solve the issue.โ
The Appellate Body crisis itself is a huge problem, but a bad side effect has been the surge of op-eds in major newspapers that pretend to be an honest attempt to diagnose the WTO's problems, but are, in fact, terribly uninformed and hacky.
Trump just called for going "tariff-free," "barrier-free," and "subsidy-free." The G7 countries should
should accept his proposal, publicly endorse it, and suggest a date to begin the negotiations:
U.S. Trade Rep. Bob Lighthizer has spent the last few weeks trying to construct a narrative about the Trump/Lighthizer legacy on trade. I respond to some of his arguments here:
Here's a thread about it. 1/
BREAKING: Trump says heโs terminating NAFTA and entering a different deal with Mexico, and possibly Canada if they want to negotiate โfairly.โ If not, he says he put tariffs on Canadaโs cars.
To clarify, the $11 billion figure is just the US proposal. WTO arbitrator will determine the appropriate amount of tariff retaliation by this summer.
Also, EU will be able to retaliate for Boeing subsidies, although that case has moved more slowly.
The World Trade Organization finds that the European Union subsidies to Airbus has adversely impacted the United States, which will now put Tariffs on $11 Billion of EU products! The EU has taken advantage of the U.S. on trade for many years. It will soon stop!
US allows WTO panel report in Spain Olives dispute to be adopted, i.e. no appeal into the void. That's a nice sign of a good faith approach to WTO obligations, and perhaps an indication of positive developments for WTO dispute settlement in 2022.
The WSJ and many others argue for negotiating trade agreements that lower foreign tariffs.
As for our coffers, I'm just glad Trump is acknowledging that his tariffs are a tax increase.
Why is it that the Wall Street Journal, though well meaning, never mentions the unfairness of the Tariffs routinely charged against the U.S. by other countries, or the many Billions of Dollars that the Tariffs we are now charging are, and will be, pouring into U.S. coffers?
I don't know any "pro-China" free traders, but there are free traders who think it's better to have China inside the trading system than outside. If China is outside, US has much less influence.
The US trade deficit "is the result of the worldโs insatiable desire to invest in US assets, coupled with the American consumerโs preference to spend rather than save."
I'm going to leave the legal aspects of suing foreign governments in U.S. court to the experts, but let me just note that if this starts a trend of lawsuits against the U.S. government in domestic courts around the world, it's going to be quite something.
Missouri 1st US State to Sue
#China
for
#Coronavirus
. AG filed lawsuit against Chinese government, CCP, officials, institutions, alleging their actions to suppress info, arrest whistleblowers, deny contagious nature led to loss of life and severe econ pain.
Hard to believe, but if Nancy Pelosi had put our great Trade Deal with Mexico and Canada, USMCA, up for a vote long ago, our economy would be even better. If she doesnโt move quickly, it will collapse!
I suspect that one big difference between
@mcuban
and
@HawleyMO
on the Uighur forced labor issue is that Cuban would let the Uighurs come to the US to escape their oppression whereas Hawley opposes that.
Listen to โฆ
@mcuban
โฉ tell โฆโฆ
@megynkelly
โฉ โฆthat itโs fine โฆ
@NBA
โฉ prostrates itself for
#china
& profits from forced Chinese labor because ... China is โa customer.โ Translation: it pays
Statements like "Trade should be a means towards development not and end in itself" confuse me. Trade promotes economic growth and peaceful international relations, and freedom to trade is an important freedom. But I don't know anyone who wants trade just to have more trade.