More Tariffs on China: 1,300 Product Categories

Trump is stepping up his attack on China. Us consumers and businesses will pay the price.

In his effort to "win" a trade war Trump Announces Tariffs on $50 Billion of China Imports.

The Trump administration detailed plans for steep tariffs it will impose on some $50 billion of imports from China unless it makes big trade and investment concessions soon, a broadside that represents the U.S.’s most powerful challenge in decades to Beijing’s economic practices.

The imports targeted for 25% levies reached across the U.S. economy, from high-tech industries like medicine, aviation and semiconductor machinery to intermediate goods like machinery and chemicals, as well as such consumer standards as dishwashers, snow plows and motorcycles, according to the U.S. Trade Representative.

Early reaction from the high-tech industry was negative. “If history is any indication, these proposed tariffs will not work and will be entirely counterproductive,” said Dean Garfield, president of the Information Technology Industry Council. “Tariffs penalize U.S. consumers by increasing prices on technology products and will not change China’s behavior.”

Hooray! Consumers and businesses will pay more, not for 1,300 products but rather 1,300 product categories. The tariffs start May 22. In the interim, businesses have a chance to respond. They will promptly be ignored.

When consumers pay more, Trump calls it "winning".

Mike "Mish" Shedlock

"The banks are owed everything in the world". So what is it? Are banks financially shaky Too Big To Fail imposters? Or are banks the rulers of the world?

There are complex claims on the productive capacity of the world -- some of which claims are mediated by banks -- but the key is productive capacity. We human beings need a real chicken to put in a pot, and a real pot to put it in, and a real stove to cook it on. What drives the world is our capacity to produce the real goods & services we require or desire.

The West's problems stem in part from becoming enamored of the "clean" financial world instead of the "icky" productive economy. In War & Peace, there is an analogy of the steam locomotive charging along the tracks, leaving a trail of smoke. Is it the trail of smoke which drives the locomotive forward? It is that mistake of effect for cause which so misleads many of us -- resulting in otherwise intelligent people failing to realize that they have been on the losing end of a Trade War for decades.

Banks are both Too Big To Fail imposters and the rulers of the world. It sounds illogical I know, but that's because treating "IOU" money as money pure and simple is illogical and all banking follows from that absurd principle.

Everything else you said I passionately agree with: I'm with you on the diagnosis of the disease but break with you on the cure. You preach a more productive nation, I preach a more productive and self-sufficient household. The reason for the difference likely being in my conviction that we have some very dark days ahead of us.

Honestly save your family, save your town and community, but just forget about the United States of America. It's far far far beyond the point of repair. The time to save America ended in the 1960s for crying out loud. All this Trump based optimism is in my analysis one laughable comedic send off for the nation.

And whilst you still have dollars with international supreme purchasing power you'd do well to buy farming machines, solar panels, water filters and such like from China.

every country has its comparative advantage if another country can make it cheaper we should buy it, if the other country wants to sell it at a loss we should buy more of it and use it to our advantage. somehow this fact escapes Trump's logic or more importantly the American people's . Cheap steal is just a benefit for our car companies