Thanks to Donald Trump, the United States is currently at war. A US-China trade war, that is.
Current Events
After negotiations for a new trade deal fell apart late last week, Donald Trump pulled what he deemed to be a slick negotiating move and slapped China with $200 billion in tariffs. However, China quickly retaliated with $60 billion in taxes of their own.
The end result was a stock market nose dive on Monday that caused the Dow to plunge a whopping 617 points and the official start of a US-China trade war.
The US “is in a great position” Trump bragged on Monday while claiming that farmers will be “very happy” with his efforts.
“I love the position that we’re in,” he added.
So far, he’s the only one.
Because of Trump’s self-inflicted US-China trade war, the average American household could pay an estimated $800 a year in additional taxes (to compensate for the money China will refuse to pay) and see a noticeable increase in the price of consumer goods from China. Additionally, agriculture prices are currently in freefall, soybean farmers are witnessing a drop in their commodity, and manufacturers of big farm equipment are already seeing their books head toward the red. Combine that with the average American watching their investment portfolios and 401K plans take a tumble in real-time and it doesn’t take a rocket scientist to recognize that despite his optimistic outlook, this is already not working out in Trump’s favor.
“There’s no doubt Americans will be harmed, including farmers, businesses, and consumers in my home state of Iowa, if the additional tariffs take effect,” GOP Sen. Chuck Grassley of Iowa said on Monday. “Americans understand the need to hold China accountable. But they also need to know that the Administration understands the economic pain they would feel in a prolonged trade war.”
The pain Sen. Grassley mentioned is exactly what Trump 2020 DOESN’T want. In fact, after claiming the US is experiencing one of the greatest financial boons in history (all thanks to him, of course), ‘The Donald’ may have just shot himself in the foot for his future.
Before last week, Donald Trump was boasting of riding a successful economy all the way into what he expected to be his reelection. Now, all of that may soon go poof in just a few short days.
If some sort of compromise deal is not reached and the US-China trade war continues, Donald Trump won’t have to wait until November 2020 to know if he’ll get a 2nd term. Regular stock market tumbles added to the unexpected financial pain of average Americans could very well seal his fate in 2019.
“Thanks to Donald Trump, the United States is currently at war. A US-China trade war, that is.” – DJ
Yep. And apparently the neoCons are urging him to start a military war with Iran as well. But I digress.
As much as I’d like to pounce on Trump for initiating a trade-war with China I will refrain For Now and see whether Trump is right in predicting that China will cave…and cave sooner rather than later.
“There’s no doubt Americans will be harmed, including farmers, businesses, and consumers”…- Sen. Grassley
Yes. But I doubt it’ will actually cost Trump many (if any) votes among his core (and overwhelmingly White) supporters. He represents their hope for the return of White dominance in America. That’s what matters most to them. No matter the cost.