Skip to comments.Trump Announces 'Very Substantial' But Partial China Trade Deal
Posted on 10/11/2019 3:56:42 PM PDT by Aquamarine
President Donald Trump on Friday hailed a breakthrough in his drawn-out trade war with China, saying the two sides reached an initial deal that included a surge in purchase of American farm products.
With the agreement -- which also covers intellectual property, financial services and currencies -- the White House will hold off on a massive tariff increase planned for next week, and as negotiations progress new tariffs planned for December also could be called off, US officials said.
The interim bargain could allow both economic powers to claim success, while averting damaging escalation in the trade war and leaving the thorniest issues for later.
Trump hailed China's pledged to rapidly ramp up purchases of American farm products, to a stunning figure of $40-50 billion. That would be a stunning feat, more than doubling from the prior level of less than $20 billion in 2017.
Total US agriculture exports were $140 billion in 2018, so that increase would mean a third would go to China.
"So I suggest the farmers go immediately buy more land and get bigger tractors," Trump told reporters at the White House.
"There was a lot of friction with China. Now it's a love fest," he said at the end of his meeting with Beijing's lead trade envoy, Vice Premier Liu He.
(Excerpt) Read more at ibtimes.com ...
Makes me mad. The article says 6:46 pm. That’s est. That would be 3 hours after the stock market closed. Gottawait till Monday to se the results.
Look at stock charts around 3:40. the information already had an effect
the market had started to go down when it came out that Mnuchin would have a press conference at 1:45 then it quickly moved back up some even though it wasn’t about China.
Unclear what effect will happen on Monday as happened near the end of day.
Futures should give us a bit of a hint.
Ah... no, isn't the take away that we should expect $170 billion in farm exports now?
Why would someone think the existing exports to existing trade partners would suddenly fall?
The establishment has been trying to keep the market in check since it got past 26k. They keep dragging it down with some phony concern, and then it comes back and they find something new. They don’t want it to rise naturally, where it could go to 30k easily over the course of 6 months or so. That would guarantee Trump’s reelection. So they fight.
It may go up Monday, but there may also be some ridiculous “inverted yield curve” or Powell will claim there might be a recession, or Korea will set off some nukes (at China’s behest) or Iran will attack oil fields, etc. etc.
China just bought themselves a delay of 12+ months.
We will not know for 12 months if China is fulfilling their commitment.
China routinely lies and ignores commitments. This “partial” deal was brilliant Chinese gambit to wait and see if Biden or some other democrat wins in 2020.
Finally the promise to buy US agricultural products is dwarfed by the size trade deficits. And it does nothing to fix the MAIN PROBLEM of loss of manufacturing jobs which are middle class jobs.
The deal is a win....You’re twisting things to fit your nonsensical narrative. You’d make a good Democrat.
Trump will make them regret his reelection if that’s what they’re waiting for. 12 months of delay will not pay dividends. Like the Fram commercial: pay me now or..
The Chinese are laughing at us.
The rust belt is watching ( in horror )
This will put a crimp on Chicom distribution of Fentanyl in the US.
This was a Loss!!! The worst part is Trump is proving he is just a run of the mill Republican. Kowtowing to big ag, subsidized tractor monkeys and worst of all the Chinese. The big loser is American industry and the forgotten American blue collar worker.
I have to strongly disagree with each of your statements, and only the first involves any opinion.
1) China isnt waiting 12 months for additional hogs and soybean. Well see increased sales right away.
2) Data shows our trade deficit with China is down by almost a third this year. Not opinion, fact. This new deal will make that even better.
3) Manufacturing is better than it has been in decades. Im guessing you were confused by the recent ISM report which lowered their SENTIMENT (read that as guess) of future growth. They think manufacturing will grow less fast...not shrink. Another fact.
IMHO China would have preferred to wait and hope for someone other than Trump to deal with. Things in China must be even worse than I thought.
Nothing like a Chinese trade victory to bring out the Free Traitors en masse.
I disagree. The Commie Chincs bet against the Bolshies. Or, they are in more dire straights than we think.
It’s still a Third World country and a communist one at that.
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