Trump delays tariff increase as talks progress

by Chris Becker

According to US President Donald Trump, there’s been “progress” made in the ongoing trade talks with China, enough to delay the tariff increase that was set to kick in on March 1st. In tweets (that look written by his staffers given the proper grammar and multi-syllabic words), he said:

“I am pleased to report that the US has made substantial progress in our trade talks with China on important structural issues including intellectual property protection, technology transfer, agriculture, services, currency, and many other issues. As a result of these very productive talks, I will be delaying the US increase in tariffs now scheduled for March 1.

“Assuming both sides make additional progress, we will be planning a summit for President Xi and myself, at Mar-a-Lago, to conclude an agreement. A very good weekend for US & China!”

Official state media in China have repeated Trump’s missives, an indication that there maybe some substance and not the usual malarkey behind the late night toilet twittery that usual emanates from the bowels of the White House. Markets here in Asia are up on the news, given it was released late on Sunday night, US time. The Australian and New Zealand dollars are up from their modest weekend gap open:

While the Hang Seng Index opens in about half an hour, with futures indicating a big surge at the open, the Nikkei 225 and ASX200 are both higher on the news.

Next we await more “deals” as the summit with little Kim approaches.

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Comments

  1. so China will agree to buy more coal, gas, meat and wheat from US at Oz expense. US to allow Huawei to sell again and us as US lapdog will follow suit. China will probably agree to slow down steel production too.
    How is this good for our economy? Genuine question.

    • Genuine answer
      there is nothing good about the drivers for the economy of this joint
      we are price takers in every sector.

    • agree with most of your cynicism but I reckon Huawei is never going to get a contract with the west again, there seems to be deep seated and genuine fear of what they are/would do amongst all western security agencies now, and when they really put their collective foot down about something all pollies will pay attention and follow along.

  2. Trump is going to sell out and a bad deal is worse than no deal.
    He’ll give the future away for a handful of soybeans and to make some wall street banks happy.

    As for Huawei… From Bill Bishop….
    Meanwhile, CNBC reports that when asked if dropping the criminal charges against Huawei would be part of the deal during the Oval Office meeting with Chinese Vice Premier Liu He, Trump said he’ll be discussing the issue with U.S. attorneys and attorney general in the coming weeks.

    My thought bubble: In one statement, the president has made clear to the Chinese that he can intervene in U.S. criminal matters, has shown that the U.S. judiciary is not really independent, and has possibly undermined the U.S. government’s campaign (see next item) to block Huawei from 5G networks around the world.

    Chalk up a win…for China.

  3. Stewie GriffinMEMBER

    Wow – who’d have thought Trump would actually accomplish something:

    Call out China Cheating – check
    Renegotiate unfair trade agreements – check
    Bring China’s cheating to heel – check

    Of course if Hillary had been elected, many progressives who suffer from their bowel clenching TDS (Trump Derangement Syndrome) would instead be none the wiser to any of this – China would still most probably be trading under most favorite nation trading status, ripping off IP and spying on our Corporations and Govt as Hillary and her cronies continued with the status quo that made her Democrat donors so wealthy on the back of exporting of American livelihood and turning a blind eye to the systemic cheating and rorting that they were prospering from.

    Makes you think…. well some of us.