Time to Get Smart
The results of being "smart" are piling up.
US Rejects China's Offer
The Wall Street Journal reports China Offers to Buy Nearly $70 Billion of U.S. Products to Fend Off Trade Tariffs.
In weekend talks in Beijing, Chinese negotiators led by Liu He, President Xi Jinping’s economic envoy, presented a U.S. team headed by Commerce Secretary Wilbur Ross a package that includes Chinese companies buying more U.S. soybeans, corn, natural gas, crude oil and coal, among other agricultural and energy products.
Chinese and U.S. officials estimated the value of the package at nearly $70 billion in the first year.
Trump said no. And as noted yesterday, Trade Talks With China End in Impasse and Threats from China.
Mexico Puts 20% Tariff on US Pork
Yesterday, Reuters reports Mexico Set to Impose 20 Percent Tariff on U.S. Pork Legs.
Mexico will impose a 20 percent tariff on U.S. pork imports, two industry officials with direct knowledge of the plan told Reuters on Monday, for the first time providing details of the country’s retaliatory measures to U.S. President Donald Trump’s tariffs on steel and aluminum.
Last year, Mexico imported nearly 650,000 tonnes of pork legs and shoulders worth an estimated $1.07 billion, according to government data.
Mexico Puts Tariffs on Pork, Apples, Potatoes, Cheese, Bourbon
Today, Mexico upped the ante with Tariffs on Pork, Apples, Potatoes, Cheese, Bourbon.
US manufacturers will pay more for steel and aluminum. Mexico will pay more for pork, apples, potatoes, cheese, and bourbon.
This is called winning.
Trudeau Urged to Strike Back
Trade war talk in Canada is equally amusing.
Canadian dairy farmers are concerned Trudeau will halt dairy tariffs and Canadian steel manufacturers want Trudeau to retaliate.
The Dairy Farmers of Canada branded as "troubling" and "worrisome" comments Trudeau made on NBC's Meet the Press that Canada was considering allowing U.S. dairy greater access to the Canadian market as part of the renegotiation of the North American Free Trade Agreement.
Trump, meanwhile, broadened his trade tirades on Twitter into agriculture, writing: "Canada has all sorts of trade barriers on our Agricultural products. Not acceptable!"
Trudeau also faced pressure Monday to speed up Canada's tariff retaliation on U.S. steel and aluminum imports, while it consults on imposing levies on other American consumer goods.
Everyone loses with these tit-for-tat retaliations.
Supposedly, it's "smart" when the other guy loses more than you do.
In reality, the only way to win, is to not play the game, no matter what the other guy does.
Mike "Mish" Shedlock