Saturday, May 18, 2019

China News. Chinese Foreign Minister calls for US restraint in trade talks...

China's senior diplomat Wang Yi told U.S. Secretary of State Mike Pompeo on Saturday that recent U.S. words and actions had harmed the interests of China and its enterprises, and that Washington should show restraint, China's foreign ministry said.

Speaking to Pompeo by telephone, Wang said the United States should not go "too far" in the current trade dispute between the two sides, adding that China was still willing to resolve differences through negotiations, but they should be on an equal footing.
Story here. 

I don't know all the players in this fight but its obvious (at least to me) that for the first time in decades we finally have the Chinese by their short hairs.

Will there be pain for certain sectors (farming) and for the US consumer?  Possibly.  But is that pain worth it?  I believe it is.

First let's talk about the actual tariffs.  It boils down to this.  It's peanuts.  A rounding error.  Even if taken to their max, they're still pennies on the dollar. The fact that every major liberal paper has taken to almost yelling about how it will hurt us while at the same time ignoring the pain that the Chinese will feel from this economic fight should be instructive.

Second is the fact that we MUST slow down their buildup.  Any economic pain the populace feels must result in spending at home to keep the natives happy.

Additionally it  will mean that we slow down their silk road initiative.

The reality is that we need to change the current trajectory.  Either suffer a small bit now or suffer alot more later.  There is no more room to kick this can down the road.

We must face the threat that is China now.

No comments :

Post a Comment

Note: Only a member of this blog may post a comment.