The trade war is over — and the winner is China

Nvidia ic4cc
Jul 6 34 Comments

https://www.marketwatch.com/amp/story/guid/B19B4A98-9C0C-11E9-956A-E9AF1A718551?ch=99&share=f6cf8538

This deal — the second time President Trump gave in to China’s demands and ended restrictions on a major Chinese technology company that had been accused of threatening U.S. national interests — effectively marks the end of Trump’s trade war with China.

Why? Because it shows the president won’t go to the wall to fundamentally change the U.S.’s trade relationship with the world’s second-biggest economy. The Chinese president has clearly calculated his American counterpart is unwilling to do anything that would threaten his support among key constituencies, like farmers, as the 2020 election looms. (President Trump also has backed down big time from his bellicose talk on North Korea and now appears ready to tacitly accept Pyongyang as a nuclear power.

Trump’s big concessions to Xi pleased powerful interests hurt by the tariffs. The heads of the National Retail Federation and Semiconductor Industry Association both praised the new cease-fire. ”Trump said he made the decision to allow Huawei to buy U.S. products at the request of American ‘high tech companies,’” CNBC reported.

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TOP 34 Comments
  • Google Trump 1793
    Obviously. China has been playing the long game for 4000 years, why would they capitulate to this utter buffoon who will only be around for another year?
    Jul 6 7
    • @Microsoft Wrong. Unlike Rome, China has very much been a continuous entity as both a country and a civilization. Sure there have been major social changes to many countries in the past century, including China. But calling China after 1949/1912 something out of nowhere is ignorant. It’s like saying you are two unrelated creatures before and after going to your high school prom.

      China is known to be the only ancient civilizations out of four that has continued into nowadays. The culture, value and wisdom it developed across 4000 years has shaped almost all East Asian countries and are still the core of the modern China society. You got to zoom out and take a more general history view to see how Stubborn and consistent this thing has been and how a few decades don’t matter that much.

      Btw by “Qing” I presume you meant to say “Qin”, which is the dynasty dated back to about the same time of Rome. “Qing”, however, ended just 100 years ago.
      Jul 6
    • Google Trump 1793
      Furthermore, throughout China's history they have often had some sort of planned economy. As much as Trump might wish he were king, he's still beholden to the interests of America's wealthy elite. Tariffs are bad for business in most industries. Many traditional Republicans disagree with the trade war for economic reasons.

      Traditionally in China, merchants were considered a lower social class than peasants. Through good times and bad, for thousands of years China's leaders have usually seen capitalism and foreign trade as something to rein in and control. It's therefore much less jarring for China's people and businesses to weather a temporary storm of tariffs. Especially since they know Trump is a temporary phenomenon, and China's own supply chains are less multinational than the US's.

      Plus, Trump repeatedly and publicly displays his ignorance of fundamental economic concepts on Twitter and elsewhere. China's leaders know they are dealing with an intellectual lightweight who cares more about making himself look good than on the actual effects of his policies on American people.
      Jul 7
    • Oath Atinlay2
      ^ word vomit
      Jul 7
    • Google Trump 1793
      Sorry, next time I'll limit myself to two-syllable words. All for your brain level. Sad!
      Jul 7
    • Intel ghakapi
      They said the same thing about the Soviet Union. The USA at 243 years is the longest continuous “long-game” player.
      Jul 8
  • Microsoft
    🤡🌎bro

    Microsoft

    PRE
    Albertsons
    🤡🌎bromore
    Trump is such a loser. Hopefully his supporters will realize how big of losers they are too for following such a loser, but probably not.
    Jul 6 0
  • Amazon / Eng KHCr70
    Trump has a fundamental disadvantage in the trade war, in that Americans CARE what happens, and vote accordingly. Xi on the other hand, controls all the cards in his country. So the best way for Xi to play this is to turn up the pressure just before US elections start
    Jul 6 4
    • Groupon / Eng sleepy
      Correct! This is a democratic vs autocratic process problems
      Jul 6
    • TripAdvisor when2Inter
      well said
      Jul 7
    • Intel ghakapi
      How’d that work out for Gorbachev?
      Jul 8
    • Groupon / Eng sleepy
      ^ it’ll work near bankruptcy. Autocratic countries fail spectacularly.
      Jul 9
  • Intel ghakapi
    Hard to take the article seriously when the author clearly has TDS. Agreeing to continue talks while maintaining a certain level of tariffs that can be ratcheted up seems a long way from capitulation. Huawei wasn’t even a part of the trade deal discussions to start, so Trump just played a chip that wasn’t part of the negotiation and got something in return.
    Jul 6 1
    • Microsoft nut 🥥dem
      No way - an honest journalist with a TDS?!
      Jul 6
  • Amazon dbakdh
    Trump is weak and corrupt.
    Jul 6 1
    • Groupon / Eng sleepy
      What did we get so far from stronger Presidents?
      Jul 6
  • Amazon dbakdh
    Trump is a total fraud and won’t stand for any principle, the only thing he stands for is his own interest.
    Jul 6 0
  • Microsoft Atinlay2
    No! Jhina is big looser. Trump bigly weener!
    Jul 6 0
  • Microsoft / Mgmt Dunph
    That was expected. What a waste of time and resources.
    Jul 6 0
  • Amazon antiPC
    All of this is very hypothetical and premature. Who the hell knows what it's going to actually end up being.
    Jul 6 0
  • Apple metafor
    Nobody wins in a trade war. Consequently everyone wins when it’s over. Infantile “you’re first or you’re last” BS is best relegated to Talladega Nights.
    Jul 7 2
    • Intel ghakapi
      Depends what the final terms and conditions are.

      If you own a store and someone steals something every time they also buy something from you, and you say they can’t come back until they stop stealing, are you winning or losing?
      Jul 7
    • Lyft done2
      *this. You win if you improve the terms vs the status quo. USA will win only question is by how much
      Jul 7
  • Quora mDXn01
    Actually US need to keep an eye on India. It will challenge US in future
    Jul 6 2
    • Amazon / Eng KHCr70
      Not any time soon though. Also India is too close to China. You wont have 2 competing world powers sharing a border (for very long)
      Jul 7
    • Groupon / Eng sleepy
      This is funny, not even close to reality in next 20-30 years. The cooperation might go up.
      Jul 8
  • Lyft done2
    25% tariffs on 250b still in effect...China’s backtracking on demands to drop them before continuing to renegotiate
    Jul 6 0
  • Oath Atinlay2
    Learn how to post a link
    Jul 6 0
  • Microsoft NewName1
    So can I buy a huawei phone now? With no risk.
    Jul 7 2
    • Lyft done2
      Wrong question
      Jul 7
    • Microsoft NewName1
      What is the right question?
      Jul 7
  • FormFactor Tove1
    Lol this is like saying that a guy hit you in the face and then you hit his fist with your face again so you won....
    Jul 7 0