• Same story, different day...........year ie more of the same fiat floods the world
  • There are no markets
  • "Spreading the ideas of freedom loving people on matters regarding high finance, politics, constructionist Constitution, and mental masturbation of all types"

Trump's Economic, Tax & Spending Plans

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
US and Canada reach deal on NAFTA
CNN


Published on Oct 1, 2018
Canada agreed late to sign on to a trade deal between the United States and Mexico, revamping the three-country North American Free Trade Agreement after more than a year of tortuous negotiations.
 

andial

((( member )))
Midas Member
Site Supporter ++
Joined
Apr 1, 2010
Messages
11,065
Likes
11,697
US and Canada reach deal on NAFTA
CNN


Published on Oct 1, 2018
Canada agreed late to sign on to a trade deal between the United States and Mexico, revamping the three-country North American Free Trade Agreement after more than a year of tortuous negotiations.
Sweet!
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
Fareed: The downside of American disengagement around the world
CNN


Published on Sep 30, 2018
Fareed Zakaria breaks down President Trump's recent speech at the United Nations, and ponders the outcome of the United States' withdrawal from global arenas while the rest of the world moves on without Washington.
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
Trump's aides give Jared Kushner credit for making replacement deal for NAFTA happen by dealing with 'toxic' relationship between U.S. and Canadian negotiators

  • Jared Kushner is said to have played a crucial role in pulling off the USMCA trade deal struck almost at midnight on Sunday
  • He stepped in when the relationship between Robert Lighthizer, the U.S. trade representative, and Canadian foreign minister Chrystia Freeland, went 'toxic'
  • Freeland, a former Financial Times journalist, took part in a panel discussion called 'Taking on the Tyrant'
  • Kushner was said to have calmed both sides and identified what the Canadians saw as non-negotiable, leading to the breakthrough Sunday
https://www.dailymail.co.uk/news/ar...lped-1-2-trillion-trade-zone-stay-intact.html
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
Critics Point to Flaws on New NAFTA Deal
RT America


Published on Oct 2, 2018
On Monday, president Donald Trump announced a new trade agreement with Canada and Mexico. The agreement will replace the North American Free Trade Agreement and according to the Trump administration, the trade deal includes new rules for the three countries. For more on this, RT America’s Scottie Nell Hughes joined by former US Trade Representative official Steve Gill.
 

nickndfl

Midas Member
Midas Member
Sr Site Supporter
Joined
Jan 7, 2011
Messages
13,117
Likes
11,619
Location
Florida
I am shocked the dems have not already come out saying they will never vote for it. I guess when the news cycle renews they will resist and obstruct like they always do.
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
Little Hope for China-US Trade Relations
RT America



Published on Oct 2, 2018
After the trump administration's success in signing a new NAFTA, there is little prospect for US-China to restart as tension escalates between the trading partners. RT America’s Sara Montes De Oca reports. Economist Richard Wolff joins RT America’s Scottie Nell Hughes for analysis.

Find RT America in your area: http://rt.com/where-to-watch/
Or watch us online: http://rt.com/on-air/rt-america-air/

Like us on Facebook http://www.facebook.com/RTAmerica
Follow us on Twitter http://twitter.com/RT_America
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
Chinese Imports Of US Crude Have "Totally Stopped" As Tariff Threats Persist


by Tyler Durden
Thu, 10/04/2018 - 04:15


It has been roughly two months since China threatened to impose a 25% tariff on US energy imports (it eventually went back on those threats), and less than two weeks since the latest round of tariffs has been implemented. But even as China has shied away from its threats to punish the US energy industry, Reuters data are showing that imports of US oil to China have ground to a halt.



Confirming the data, Xie Chunlin, the president of China Merchants Energy Shipping Co, said on Wednesday that crude oil shipments to China have "totally stopped" as the trade war has taken its toll, reversing growth in what had been a rapidly expanding market for US shale producers.

"We are one of the major carriers for crude oil from the U.S. to China. Before (the trade war) we had a nice business, but now it’s totally stopped," Chunlin said on the sidelines of the Global Maritime Forum’s Annual Summit in Hong Kong.​

"It’s unfortunately happened, the trade war between the U.S. and China. Surely for the shipping business, it’s not good," the CMES president said.​

He also said the trade dispute was forcing China to seek soybeans from suppliers other than the United States, adding that China now bought most its soybeans from South America.​
In place of US imports, China, which is the world's largest importer of crude oil, is becoming increasingly reliant on the Middle East and Russia while it has also shifted to using Iranian tankers to bypass impending US sanctions on Iranian crude while also becoming more reliant on Iranian crude in general. But while it's grabbing the most headlines right now, the trade fight is hardly the only source of contention between US oil producers and China, as China's yuan-denominated crude futures contracts are beginning to show their teeth.

To be sure, China was never heavily reliant on the US as a source of crude oil. During 2017, Russia and Saudi Arabia were the two biggest suppliers of crude sent to Chinese refineries (data courtesy of World's Top Exports).

  • Russia: US$23.7 billion (14.6% of China’s total crude oil imports)
  • Saudi Arabia: $20.5 billion (12.6%)
  • Angola: $19.8 billion (12.2%)
  • Iraq: $13.8 billion (8.5%)
  • Oman: $12.2 billion (7.5%)
  • Iran: $11.9 billion (7.3%)
  • Brazil: $8.8 billion (5.4%)
  • Kuwait: $7.1 billion (4.4%)
  • Venezuela: $6.6 billion (4%)
  • United Arab Emirates: $4.1 billion (2.5%)
  • United Kingdom: $3.6 billion (2.2%)
  • Congo: $3.44 billion (2.1%)
  • Colombia: $3.37 billion (2.1%)
  • United States: $3.2 billion (2%)
  • Malaysia: $2.6 billion (1.6%)

However, the US has been China's fastest-growing supplier of crude, with imports from the US up nearly 2,000% since 2016 (though to be sure, the US only started exporting oil in 2016, and by volume, imports from Russia and Saudi Arabia have risen by a much more significant degree):

  • United States: Up 1,994% since 2016
  • Malaysia: Up 220.9%
  • United Kingdom: Up 101.1%
  • Congo: Up 60.5%
  • Colombia: Up 51%
  • Kuwait: Up 46.4%
  • Brazil: Up 46.2%
  • Angola: Up 42.9%
  • Venezuela: Up 42.8%
  • Russia: Up 40.6%
  • Saudi Arabia: Up 31.7%
  • Iraq: Up 29.3%
  • Iran: Up 27.2%
  • Oman: Up 9.1%
  • United Arab Emirates: Up 6.1%

But the worry here is, again, that the escalating trade battle with China will spill over into an all out trade war with the US on one side and the rest of the world on the other. Such a development could see foreign economies blackball US crude - and the possibility that trade tensions could persist might be enough incentive for foreign refineries to look elsewhere. What's worse all of this is happening just two years after the US allowed crude producers to begin exporting after a more than 30-year ban.

And while these tensions have done little to slow the rally in crude prices, they could see the spread between WTI and Brent crude continue to widen.

https://www.zerohedge.com/news/2018...e-have-totally-stopped-tariff-threats-persist
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
JPMorgan Downgrades China Stocks, Forecasting "Full-Blown Trade War"


by Tyler Durden
Thu, 10/04/2018 - 07:58


Late last week, JPMorgan's strategist John Normand announced that the largest US bank "adopted a new baseline that assumes a US-China endgame involving 25% US tariffs on all Chinese goods in 2019" because "the US and China will not resolve their differences this year and that the Administration will make good on its threats to escalate." Such a full-blown trade war "could take $8 off consensus 2019 EPS projections of $179 and reduce next year’s EPS growth from 10% to 5% year-on-year" with JPMorgan predicting that this could "potentially end the US stock market rally even assuming a forward multiple of 17, unless some other offset materializes."

JPMorgan wasn't finished, however, and around 2pm on Wednesday, JPMorgan took its "new baseline" call further when it announced that as a result of its new baseline assumption for a "full-blown trade war" next year between the world’s two largest economies, the bank downgraded its bullish call on Chinese stocks. Echoing what it said previously in the context of US stocks, JPMorgan strategists including Pedro Martins Junior, Rajiv Batra and Sanaya Tavaria wrote that the trade conflict will only escalate as the U.S. maxes out tariffs on Chinese imports, the dollar strengthens and the yuan weakens further.

JPMorgan became only the latest bank to downgrade Chinese stocks - which earlier in 2018 slumped into a bear market as a result of trade war fears and a sharp slowdown in China's economy as a result of the crackdown on shadow credit - following similar moves by Morgan Stanley, Nomura and Jefferies earlier this year.

Curiously, while JPMorgan slashed its target and earnings estimates for the MSCI China Index which was already down 24% from its peak in January, the strategists still expect the gauge to rebound 8.9% from Wednesday’s close.

"A full-blown trade war becomes our new base case scenario for 2019," the strategists wrote in a note dated Wednesday, replicating the language we highlighted over the weekend. "There is no clear sign of mitigating confrontation between China and the U.S. in the near term."

JPM also revised its forecast for economic growth in China next year to 6.1% from 6.2%, and said that without accounting for countermeasures such as more fiscal or monetary stimulus, the trade war represents a 1% hit to growth.

"Higher tariffs are squeezing Chinese manufacturing’s profit margin, reducing the investment incentive and hiring, which would then drag on consumption via reduced income."​

Tensions with China have deteriorated sharply in recent days, and in addition to the escalating trade war which recently saw the US impose 10% tariffs on $200BN of Chinese imports, we have seen the following events take place in recent days:

  • Pence is expected to lay out allegations of Chinese election-meddling in an 11am speech at the Hudson Institute later today
  • A CNN report about the U.S. proposing a "major show of force" to warn China
  • Jack Ma’s comments that the U.S.-China trade war could last 20 years, and then this: "When trade stops, sometimes the war starts. So trade is the way to stop wars."
  • A Bloomberg scoop that a China hack has infiltrated several top U.S. companies

What was most interesting from the JPM announcement, is that with Chinese mainland markets shut all week for a holiday, traders took to punishing the iShares China Large-Cap ETF, which dropped to a two-week low in New York as shown below.



And, according to some analysts, yesterday's sharp, late day selloff in US stocks may have been precipitated by precisely this sudden reversal in sentiment vis-a-vis China as suddenly the realization that trade war with China is actually going to have stock market casualties.

https://www.zerohedge.com/news/2018...china-stocks-forecasting-full-blown-trade-war
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
Trump boasts he fixed Super Bowl problem in 'two minutes' during new Canada and Mexico trade deal and 'now the NFL is so happy'

  • President Trump claimed he fixed NFL TV ad deal with Canada 'in two minutes'
  • Part of new USMCA deal allows Canadian ads to be shown during Super Bowl
  • Agreement to earn the NFL million of dollars in Canadian advert revenue
  • Trump bragged he was thanked by NFL commissioner Roger Goodell for the deal

https://www.dailymail.co.uk/news/ar...two-minutes-new-Canada-Mexico-trade-deal.html
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
Ford is planning to lay off '24,000 staff' globally after it was revealed Trump's tariffs cost the U.S. car giant almost $1BILLION

  • U.S. automaker is expected to fire 24,000 employees in coming months
  • Plan is part of a $25.5billion restructuring first announced in July
  • In September, Ford said it lost $1billion because of President Trump's tariffs
https://www.dailymail.co.uk/news/ar...umps-tariffs-cost-U-S-car-giant-1BILLION.html
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
Kanye West will meet President Trump on Thursday to discuss manufacturing jobs in Chicago and opportunities for ex-cons

  • The rapper will meet Trump along with his son-in-law and adviser Jared Kushner
  • They will discuss manufacturing jobs in Chicago and opportunities for ex-cons
  • West has been a prominent supporter of the president despite public criticism
  • Angered SNL cast members when he went on an unscheduled rant last month at the end of the show about Trump
  • Wife Kim Kardashian has been the White House two times to discuss prison reform and pardons
  • Met with the president the first time and convinced him to release Alice Johnson
https://www.dailymail.co.uk/news/article-6255337/Kanye-West-meet-President-Trump.html
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
Free Trade Or More Central Planning? Ron Paul Slams NAFTA 2.0


by Tyler Durden
Tue, 10/09/2018 - 15:52


Authored by Ron Paul via The Ron Paul Institute for Peace & Prosperity,

Last week the United States, Mexico, and Canada agreed to replace the North American Free Trade Agreement (NAFTA) with a new United States-Mexico-Canada Agreement (USMCA). Sadly, instead of replacing NAFTA’s managed trade with true free trade, the new USMCA expands government’s control over trade.



For example, under the USMCA’s “rules of origin,” at least 75 percent of a car’s parts must be from the US, Canada, or Mexico in order to avoid tariffs. This is protectionism designed to raise prices of cars using materials from outside North America.

The USMCA also requires that 40 to 45 percent of an automobile’s content be made by workers earning at least 16 dollars per hour. Like all government-set wages, this requirement will increase prices and decrease employment.

The USMCA also requires Mexico to pass legislation recognizing the “right of collective bargaining.” In other words, this so-called free trade agreement forces Mexico to import US-style compulsory unionism. If the Mexican legislature does not comply, the US and Canada will impose tariffs on Mexican goods.

The USMCA also requires the three countries to abide by the International Labour Organization (ILO) standards for worker rights. So, if, for example, the bureaucrats at the ILO declared that Right to Work laws violate “international labor standards”’ because they weaken collective bargaining and give Right to Work states an unfair advantage over compulsory unionism states and countries, the federal government may have to nullify all state Right to Work laws.

The USMCA also obligates the three countries to work together to improve air quality. This sounds harmless but could be used as a backdoor way to impose costly new regulations and taxes, such as a cap-and-trade scheme, on America.

This agreement also forbids the use of currency devaluation as a means of attempting to gain a competitive advantage in international trade. Enforcement of this provision will be difficult if not impossible, as no central bank will ever admit it is devaluing currency to obtain a competitive advantage in international trade. Of course, given that the very act of creating money lowers its value, the only way to stop central banks from devaluing currency is to put them out of business. Sadly, I don’t think the drafters of the USMCA seek to restore free-market money.

The currency provision will likely be used to justify coordination of monetary policy between the Federal Reserve and the Mexican and Canadian central banks. This will lead to region-wide inflation and a global currency war as the US pressures Mexico and Canada to help the Fed counter other countries’ alleged currency manipulation and challenges to the dollar’s reserve currency status.

A true free trade deal would simply reduce or eliminate tariffs and other trade barriers. It would not dictate wages and labor standards, or require inter-governmental cooperation on environmental standards and monetary policy. A true free trade deal also would not, as the USMCA does, list acceptable names for types of cheeses.

Those of us who support real free trade must not let supporters of the USMCA get away with claiming the USMCA has anything to do with free trade. We must also fight the forces of protectionism that are threatening to start a destructive trade war. Also, we must work to stop the government from trying to control our economic activities through regulations, taxes, and (most importantly) control of the currency through central banking and legal tender laws.

https://www.zerohedge.com/news/2018-10-09/natfa-20-ron-paul-asks-free-trade-or-more-central-planning
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
Ford Announces Plan To Lay Off Workers After Tariffs Cost Them $1B | Velshi & Ruhle | MSNBC
MSNBC


Published on Oct 9, 2018
The economy remains strong, but are we starting to see the first signs of stalling? Stephanie Ruhle is joined by Politico’s Ben White to discuss Ford’s plan to lay off workers after they say President Trump’s tariffs have cost them a billion dollars.
» Subscribe to MSNBC: http://on.msnbc.com/SubscribeTomsnbc
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
U.S. Senator Introduces Bill To End $7,500 EV Tax Credit

Inside EV's
Steven Loveday
7 hrs ago


It was only a matter of time with the current administration and situation.

It comes as no surprise that the U.S. EV federal tax credit may be at jeopardy soon. In fact, this isn’t the first time (and it won’t be the last) that a politician is pushing for its elimination. We can only hope that due to all else that is happening in big government in the U.S., this type of bill proposal takes a back seat and doesn’t amount to anything right away (or ever).

According to a recent report by Green Car Congress, Senate Environment and Public Works Chairman and Republican John Barrasso has introduced this new bill to do away with the current tax credit for EVs. The story shares the following specifics:

The bill amends the Internal Revenue Code of 1986 to terminate the credit for new qualified plug-in electric drive motor vehicles and provides for a Federal Highway user fee on alternative fuel vehicles.

Apparently, this new bill has already been submitted to the Senate Committee on Finance. As this is a developing story and the process will be lengthy, we don’t have much else to go on here. We’ll be following developments and keep you apprised as it moves forward.

Source: Green Car Congress

Follow MSN Autos on Facebook and Twitter

http://www.msn.com/en-us/autos/auto...ollar7500-ev-tax-credit/ar-BBOc5OP?ocid=ientp
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
Trump's Interior Secretary is planning to use West Coast military bases for coal and oil exports to stop states standing in way of new fossil fuel ports

  • Ryan Zinke says he wants to use federal land on the West Coast to get round a ban on new parts effectively imposed by California, Oregon and Washington
  • All of them have rejected private-sector efforts to build new coal ports which Zinke claims are vital to 'national security'
  • Boosting coal and gas exports would advance the administration's agenda to establish U.S. 'energy dominance' on the world stage
  • Washington Gov. Jay Inslee, a Democrat, called the proposal a 'harebrained idea'
  • Only base Zinke named is actually in Alaska: former Adak Naval Air Facility in Alaska's Aleutian Islands, which could receive fuel by barge
https://www.dailymail.co.uk/news/article-6277815/US-eyes-military-bases-coal-gas-exports.html
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
China Sells $3 Billion of US Debt as Trade War Surges
RT America


Published on Oct 15, 2018
China has sold $3 billion in United States bonds. It’s the latest escalation in the trade war between the world’s largest two economies. RT America’s Dan Cohen reports. RT America’s Bart Chilton, host of Boom Bust joins Scottie Nell Hughes for analysis.
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
Trump Bails On Coal Industry Incentives

Posted on October 17, 2018 by Yves Smith

Yves here. We so seldom have good news on the greenhouse gas and energy fronts that we should celebrate even a qualified win. Trump is reportedly abandoning his plan to hand subsidies out to coal-fired electrical plants and nuclear power plants because the pretty much every other type of energy producer opposed it.

By Irina Slav, a writer for the U.S.-based Divergente LLC consulting firm with over a decade of experience writing on the oil and gas industry. Originally published at OilPrice

President Trump has reportedly cancelled a plan proposed by Energy Secretary Rick Perry to provide financial support for troubled coal-fired power plant operators, Politico says, quoting four unnamed sources familiar with the matter. According to the sources, the President made the decision prompted by opposition from his own advisers.

Last year, Energy Secretary Rick Perry proposed a plan for subsidizing coal and nuclear plants for providing base load generation—that is, round-the-clock power, but the plan was rejected by the utility regulators who said they will study the national grid’s resilience to supply interruptions. Many grid operators said they are already factoring in everything that has to do with their grid’s resilience to disruptions.

In June, the Federal Energy Regulatory Commission said it did not see any emergency in the U.S. electricity market that would merit financial aid for coal and nuclear power plants. The stance was announced by the panel regulating the national grid at a Senate hearing. The opinion is likely to undermine efforts by the Trump administration to save non-competitive coal and nuclear power plants on the grounds that they guarantee the grid’s resilience in case of emergency.

Now, advisors to the president from the National Security Council and the National Economic Council have also spoken against the plan that has raised the hackles of the oil and gas industry—another priority industry for Trump along with “beautiful, clean coal”. The bailout plan proposed by Perry largely sought to shield coal and nuclear plant operators from the suffocating competition of cheap natural gas.

But oil and gas producers are by far not the only stakeholders opposing a potential bailout for American coal. Pretty much everyone except the coal industry itself is against it. “The problem they’ve got is every option they might consider raises the costs for somebody at a time when nobody has an appetite for increased costs anywhere,” the co-head of an energy advisory company told Politico.

“I think that’s the problem they keep running into. The political will to pay for it is not broadly there enough yet for them.”

This entry was posted in Energy markets, Global warming, Guest Post, Politics, Ridiculously obvious scams on October 17, 2018 by Yves Smith.

https://www.nakedcapitalism.com/2018/10/trump-bails-on-coal-industry-incentives.html
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
Trump Goes Postal - Abandons 144-Year-Old 'Unfair' Shipping Treaty With China


by Tyler Durden
Wed, 10/17/2018 - 10:21

Something has to be done...How can my government be subsidizing China and driving me out of business?”
Those are the words of Jayme Smaldone, who runs a 12-employee housewares company in Rahway, N.J., who first became aware of the problem when he noticed websites selling Chinese knockoffs of his “Mighty Mug,” a desktop coffee cup he designed with an anti-topple base.

And it appears President Trump has listened to Jayme among many others, as The New York Times reports that he plans to withdraw from a 144-year-old postal treaty that has allowed Chinese companies to ship small packages to the United States at a steeply discounted rate, undercutting American competitors and flooding the market with cheap consumer goods.



Peter Navarro, Mr. Trump’s hard-line trade adviser, wrote in a Financial Times op-ed last month.

These disparities have introduced a massive distortion in the eCommerce market.
It is often possible for a Chinese company to sell ‘knockoff’ products through online vendors, such as Amazon or Alibaba, to U.S. consumers for less than it costs for American mailers to ship authentic goods. Moreover, while USPS loses an estimated $1 on every small package that arrives from China, outbound mail of American exporters is charged at well above cost.”​
As The New York Times details, a 2015 report from the Inspector General of the United States Postal Service found that the treaty, which was created to ease the flow of mail and small parcels between 192 countries, had not been overhauled to reflect the new realities of eCommerce and China’s aggressive undercutting of international competitors.

The price of shipping a 4.4 pound package, the largest parcel covered by the treaty, from China to the United States is about $5, according to United States estimates, according to post office estimates culled by Mr. Navarro’s staff.​

American companies can pay two to four times that amount to ship a similar package from Los Angeles to New York, and much more for packages sent to China.​

The “system creates winners and losers,” the report’s author’s concluded, especially China’s national postal service and "Chinese online retailers in the lightweight, low-value package segment at the expense of the U.S. PostalService and American retailers.”​

It is not clear how much the disparity costs American taxpayers and retailers, in part because the Postal Service does not release detailed country-by-country shipping breakdowns. A 2014 study, cited in a Postal Service analysis of the issue, estimated that discounted shipping cost industrialized nations as much as $2.1 billion a year in aggregate.​

The losses to retailers and manufacturers could be much more, as online commerce expands further.

Presumably, President Obama decide to ignore the 2015 report.

What is most odd about this decision by President Trump is no one is against it, no one is complaining at Trump "breaking norms" or "isolationism" or "being racist" - politicians and industry groups are all in agreement that it was unfair and needed to stop...

Even industry groups that have questioned the president’s tariffs on Chinese imports, applauded the move as proportional and targeted.

“This outdated arrangement contributes significantly to the flood of counterfeit goods and dangerous drugs that enter the country from China,” said Jay Timmons, chief executive of the National Association of Manufacturers, a trade group.​

“Manufacturers and manufacturing workers in the United States will greatly benefit from a modernized and far more fair arrangement with China.”​

“Manufacturers are pleased to see that this issue has been elevated to the very highest levels in the Trump Administration."

Patrick Hedren, National Association of Manufacturers vice president for labor, legal and regulatory policy, said in an emailed statement:

“Manufacturers have struggled in recent years with the rapid growth of counterfeit goods pouring in to the country through the U.S. postal system from countries like China. This problem is fueled by heavily subsidized shipping rates and it displaces American innovators from online marketplaces,”

The announcement was welcome news to Sen. Bill Cassidy, R-La., who has been pushing legislation on the issue.

“I’ve been working with the administration for months on addressing this terrible deal, because American companies are being run out of business by foreign competitors making cheap knockoff products they can ship to Louisiana for less than it costs an American company to mail the genuine product,” he said in a statement.​

"President Trump is standing up for American workers and companies who are being hurt by this outdated, unfair international agreement on shipping rates."​

A new front has been opened in the trade war with China - the question is: how will China respond to this one?

https://www.zerohedge.com/news/2018...l-abandons-144-year-old-shipping-treaty-china
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
Trump Promise Demolished: Deficit Skyrockets After GOP Tax Scam | The Beat With Ari Melber | MSNBC
MSNBC


Published on Oct 16, 2018
The Republican Party has long claimed that it is fiscally conservative and anti-deficit. Ari Melber breaks down how GOP leaders are on the record claiming they would address the deficit problem, but now oversee a deficit that’s at a 6-year high.
» Subscribe to MSNBC: http://on.msnbc.com/SubscribeTomsnbc
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
Steel Workers to Get Wage Increase Amid Tariff Row
RT America


Published on Oct 18, 2018
United States steel workers are expected to get the biggest pay increase they've seen in six years according to a report by Reuters. For analysis, RT America’s Scottie Nell Hughes is joined by professor of economics emeritus at the University of Massachusetts Amherst and co-founder of Democracy at Work, Rick Wolff and Steve Gill, former US trade representative official under both the Bush and Clinton administrations.
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
Just in time for the elections...……………

Trump says team working on tax cut for middle-income earners


Reuters
10 hrs ago

President Donald Trump said the administration was studying a tax cut for middle-income earners that could be rolled out some time around the beginning of November, just before pivotal congressional elections.

Trump mentioned the proposed tax cut in the same week the U.S. government ended the 2018 fiscal year with a $779 billion deficit, the Treasury Department said on Monday, as previous Republican-led tax cuts squeezed revenues. The deficit figure was the highest in six years.

"We're looking at putting in a very major tax cut for middle-income people," Trump told reporters before boarding Air Force One following a rally in Elko, Nevada.

When asked about timing for the unveiling of the tax cuts, Trump said "sometime around the first of November, maybe a little before."

Americans will vote Nov. 6 in elections in which Trump's fellow Republicans will try to hold on to their majorities in the Senate and House of Representatives.

The median household income in the United States was about $55,000 in 2016, according to the U.S. Census Bureau.

In December, Trump signed into law the largest tax overhaul since the 1980s, which slashed the corporate rate from 35 percent to 21 percent and temporarily reduced the tax burden for most individuals as well.

The administration is beginning to pull together plans for the president's fiscal 2020 budget proposal, which Trump will present to Congress early next year.

On Wednesday Trump told his Cabinet to come up with proposals to cut spending by their agencies by 5 percent but he suggested the military would be largely spared.

(Reporting by Jeff Mason in Elko, Nevada; Editing by Bill Trott)

http://www.msn.com/en-us/news/polit...r-middle-income-earners/ar-BBOEeNT?ocid=ientp
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
President Trump reveals he's planning 'very major tax cut for middle-income people' that's not for businesses and it could roll out as soon as November

  • US President Donald Trump revealed a new tax plan was coming November as he prepared to board Air Force One after a rally in Elko, Nevada on Saturday
  • Businessman-turned-politician said the move is not to benefit business owners
  • Kevin Brady and Paul Ryan are working on a 'major tax cut for middle-income people who need it'
https://www.dailymail.co.uk/news/ar...-tax-cut-middle-income-people-November-1.html
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
This is coming right after funny talking McConnell says it's time to screw everyone on social security. WTF?????
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
Trump's Ethanol Boondoggle Exposed


by Tyler Durden
Sun, 10/21/2018 - 13:45


Authored by Bob Livingston, via The Burning Platform blog,

Like every master salesman, Donald Trump loves to tell his audience exactly what it wants to hear.

Last week, at a campaign rally in Iowa, Trump gave Iowa farmers just the political fodder they wanted. He even acknowledged that that was what he was doing when he made his statement. According to The Wall Street Journal:

“And my Administration is protecting ethanol, all right? That’s what you want to hear,” Mr. Trump said at a rally in Iowa on Tuesday, and give him points for political candor. Mr. Trump then announced that his Administration will now allow fuel with 15% ethanol to be sold all year long. The Clean Air Act sets standards for fuel volatility, and E15 hasn’t been allowed in the summer because it can cause smog. Most blends contain 10% of ethanol.​


Ethanol fuel is a boondoggle that benefits Big Agra, corn farmers and refiners and no one else. From its creation in the 1970s stemming from the manufactured energy crisis, untold billions of dollars have been dumped into subsidizing the production of corn ethanol.

Subsidies for corn ethanol litter the tax code, which is a case of government “carrot-and-stick” policy that modifies behaviors and distorts the free market. Gas stations get or have gotten over the years massive tax incentives to install pumps to distribute biodiesel or 85 percent ethanol gasoline blends.

As a result, corn, a staple used in many foods and also animal feed, is being diverted by government subsidies into biofuels. In 2000, about 6 percent of U.S. corn production was processed into ethanol. Today 40 percent of our corn becomes fuel instead of food.

Making fuel from corn produces only 30 percent more energy than it takes to produce the fuel itself, according to the government and corn industry sources (some are even more optimistic, claiming up to 67 percent net energy gain). But a study published in 2005 by Dr. Walter Youngquist, Ph.D., Emeritus Chair of the Department of Geology at the University of Oregon at Portland, said that “Ethanol is a net energy loss — it takes 70 percent more energy to produce than is obtained from the product itself.”

And fuel produced from corn waste, called cellulosic biofuel, is worse for the environment than gasoline. A $500,000 study funded by the Federal government reported in the peer reviewed journal Nature Climate Change that biofuels made with corn residue actually release 7 percent more greenhouse gases compared with conventional gasoline.

Diverting corn into fuel instead of food reduces food supplies and raises the cost of feed for livestock, which in turn increases the price of meat, milk, butter, eggs and other essential foods. Land that would be used to grow food crops is instead planted in corn for ethanol, which reduces the amount of food produced and likewise raises prices.

Additionally, ethanol fuels damage motors and reduce fuel mileage by anywhere from 5 percent to 7 percent.

A 2011 study by the Environmental Protection Agency found that E15 releases higher amounts of the pollutants nitrous oxides, hydrocarbons, sulfur dioxide, particulate matter, ground-level ozone, and ethanol-vapor emissions into the air than lower ethanol blends or traditional gasoline. That’s one reason E15 blends are not sold in summer months.

And testifying before Congress in 2016, Michigan professor John DeCicco told Congress in 2016 that his research found that biofuels such as ethanol actually increase the amount of CO2 in the atmosphere when compared to regular gasoline.

So Trump’s announcement last week that his administration will allow E15 ethanol to be sold year-round - something he is unable to do constitutionally, not that it matters to anyone anymore - is fiscally and environmentally foolhardy and collectivism and corporate welfare wealth redistribution on a mass scale.

But Republican voting farmers - who claim to hate socialism, except for the socialism that lines their pockets - love it. And Republican voters - who claim to hate socialism, except for the socialism that lines their pockets - shrug.

Meanwhile, we’re all poorer for it, because our food, cars and gasoline are more expensive. But the money printers the moneyed elite make out like bandits.

https://www.zerohedge.com/news/2018-10-21/trumps-ethanol-boondoggle-exposed
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
Trump Administration Wants Phase-In of IMO’s 2020 Sulphur Cap
October 20, 2018 by Reuters


MartinLueke / Shutterstock.com



WASHINGTON, Oct 19 (Reuters) – The Trump administration wants pollution limits on ship fuels that a United Nations maritime agency will implement in 2020 to be phased in to protect consumers from any price spikes in heating and trucking fuels, a White House spokesman said on Friday.

Under the International Maritime Organization rule, ships cannot use fuels with more than 0.5 percent of sulfur, compared with 3.5 percent now, unless equipped with so-called scrubbers limiting the emissions. The rule will be enforced through fines levied by IMO member states.

The IMO said last month it would not delay implementation after some shipping groups as well as the Bahamas, Panama, Liberia and the Marshall Islands supported a phased-in implementation of the rules.

If refiners are unprepared for the changes, some analysts have said, prices for related fuels, such as diesel and heating oil, could rise. A spike in fuel prices ahead of the 2020 elections would be a political risk for Trump.

“The United States supports an experience building phase, which has been proposed by several other countries, in IMO 2020 in order to mitigate the impact of precipitous fuel cost increases on consumers,” the White House spokesman said.

The administration was not seeking a delay of the rules, the spokesman said. A phase-in would mean that the rule would not have to be fully complied with until a later unspecified date.

Jason Bordoff, founding director of Columbia University’s Center on Global Energy policy, and a former White House adviser on energy to former U.S. President Barack Obama, indicated that a phase-in would be unnecessary.

Reducing emissions from ships brings “HUGE” health benefits and the industry has known about the upcoming rules for “YEARS,” Bordoff tweeted. Many U.S. refineries and shippers have already spent billions of dollars on preparing for cleaner fuel, and the rules already have opportunities for waivers, he added.

“The administration wants to ensure that IMO 2020 occurs in a manner that is not harmful to consumers and the global economy,” the White House spokesman said. His comments were first reported by the Wall Street Journal.

Analysts at Energy Aspects were skeptical the Trump administration could change the process. “Given that the IMO rulemaking process takes nearly two years to run its course, it is unclear how any proposed phased implementation could be accomplished at an international level,” analyst Robert Campbell wrote.

(Reporting by Timothy Gardner; Additional reporting by Ron Bossou in London; Editing by Richard Chang)

(c) Copyright Thomson Reuters 2018.

https://gcaptain.com/trump-administration-wants-phase-in-of-imos-2020-sulphur-cap/
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
The real cost of Trump’s tariffs
BEME News


Published on Oct 17, 2018
As the trade war between the U.S. and China intensifies, some American workers are already feeling the effects. Chris travels to the midwest to find out how Trump’s tariffs are impacting workers in farming and manufacturing.

SOURCES & FURTHER READING

Trump administration will impose tariffs on $200 billion in Chinese goods
https://www.cnn.com/2018/09/17/politi...

Nailed by Steel Tariffs
https://www.wsj.com/articles/nailed-b...

Soybean Farmers Worry About Tariffs' Impact
https://www.npr.org/2018/09/19/649453...

Even optimists are giving up hope of a quick resolution to the US-China trade war
https://www.cnbc.com/2018/10/16/optim...

Fact-checking Trump's Illinois speech on trade
https://www.cnn.com/2018/07/26/politi...

CREDITS
Producer: Chris James
Camera: Erik Ljung, Ilie Mitaru
Editor: Will Colby
Research: Dushyant Naresh
Supervising Producer: Allison Brown

Follow Beme on
Instagram: https://www.instagram.com/bemenews
Twitter: https://twitter.com/bemeapp
Facebook: https://www.facebook.com/officialbeme/
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
Trump touts 10 per cent 'middle class' tax cut in new appeal to voters ahead of midterms in bid to rally Republican support amid fears of Democratic wave

  • President Trump said he'll push for a 10 percent tax cut for the middle class in the next few weeks and have Congress vote on it after the election
  • 'This isn't for business; this is for middle,' Trump said of his plan
  • His original idea - a vote before November - was met with skepticism as Congress is not in session and won't return until after the election
  • His pronouncement caught GOP leaders by surprise
  • He is likely mentioning a tax cut to rally the GOP base ahead of the election

https://www.dailymail.co.uk/news/ar...ahead-election-no-vote-Congress-midterms.html
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
Trump's mystery tax cut puzzles Washington


Politico
By Nancy Cook and Ben White
11 hrs ago


Call it the mystery middle class tax cut.

In recent days President Donald Trump has twice promised a new “major tax cut” ahead of the November midterm elections, mystifying White House officials, congressional leaders, and tax wonks around town who mostly have no idea what he’s talking about.

The pledge — which Trump repeated Monday afternoon — came as news to House and Senate lawmakers, who’ve already returned to their home states to campaign for the elections and have no plans to consider new legislation before then.

White House officials spent the day trying to decode what Trump meant because no one knew the substance of any such tax cut, or had seen any policy proposal related to it. Aides were left wondering what Trump had read in newspaper clippings, or seen on Twitter, to inspire this grand promise from his rally podium.

One senior administration official on Sunday night had not even heard about the president’s tax cut remark on Saturday in Nevada and said they had no idea what he was talking about. “I guess I’ll hear about it when I get to work on Monday,” the official said.

Trump said that House Speaker Paul Ryan was involved in crafting the plan. But Ryan’s office shed no light, referring questions back to the White House.

Trump first floated the idea on Saturday, saying that his administration is “studying very deeply right now round the clock a major tax cut for middle income people.” He upped the ante before leaving for a campaign trip to Texas on Monday, telling reporters at the White House that the administration plans to produce a “resolution” calling for a 10 percent tax cut for middle income earners. It was not clear what he meant by resolution. There are no current plans in Congress for any kind of large new tax cut for the middle class.


The GOP is already scrambling to avoid criticism for the ballooning debt and deficit under Trump’s watch. The president’s own Treasury Department reported last week that the deficit hit $779 billion in the 2018 fiscal year, the highest level since 2012, following the GOP tax cut bill and a massive spending increase in Congress. Jason Furman, who served as chair of the Council of Economic Advisers under President Barack Obama suggested a 10 percent middle class tax cut would cost roughly $2 trillion over ten years.

"This is the height of cynicism," Greg Valliere, chief global strategist for Horizon Investments, said of Trump’s tax cut talk. "Number one, I think even Republicans would be gun shy about adding this much more to the deficit. And the public actually seems pretty indifferent to tax cuts. This doesn't pass the smell test or the laugh test."

One potential clue to Trump’s thinking: Sen. Kamala Harris (D-Calif.) released a tax proposal aimed at the middle class late last week. Some Republicans close to the White House speculated that Trump is trying to one-up his potential 2020 presidential rival.

Regardless of the origin of the president’s comments, they nonetheless set off a scramble in official Washington to de-code his exact meaning.

One senior administration official stressed that the president was left hungry for more even after his White House pushed tax reform legislation through Congress for the first time since 1986. “He’s wanted to do more,” the official added. “But on those specifics, you may have to wait a bit because they have to go through Congress.”

House Ways and Means Committee Chairman Kevin Brady already unveiled a tax reform 2.0 bill earlier this fall, which now must wait for consideration from the Senate. Brady’s bill contains many of the tweaks and fixes to the individual side of the tax code, so much so that one Republican congressional staffer said: “What else can we really do?” when asked for reaction to Trump’s comments.

Tax wonks, too, were left to speculate about the policy machinations. Some suspect Trump was referring to a proposal from the Treasury Department to index capital gains to inflation, a move the department could do unilaterally.

“We think Mr. Trump could have been hinting that the administration may propose indexing capital gains for inflation,” Brian Gardner, an analyst at Keefe, Bruyette & Woods wrote in a note to clients on Monday. “While indexing capital gains for inflation might not meet many people's definition of a ‘middle class tax cut,’ it is an idea that National Economic Council Director Larry Kudlow supports and has pushed for many years and which the administration floated during the summer.

Or Trump could have been referring to a proposal out of his Department of Labor that would expand access to 401(k)’s for people who work for small businesses, said Stephen Moore, an informal economic adviser to the Trump campaign and distinguished visiting fellow at the Heritage Foundation who, despite his own deep relationships in the White House, was also left wondering about Trump’s ‘major tax cut’ rhetoric.

The specifics may not matter, though, in the days before an election — especially as the media echoes his message, often uncritically.

“Trump says ‘major tax cut’ on the way for the middle class” read one headline on Fox News business on Oct. 22. “Trump: Working on tax cut for middle class,” an MSNBC chyron declared during his remarks Monday. Making headlines like those may have been Trump’s clearest plan all along.

And for Republicans making the final sprint to the midterms, Trump talking about tax cuts – even fanciful ones with no chance of happening – is better than Trump talking about much of anything else.

“It’s not a serious proposal. It wasn’t kicked around a whole lot, he just tossed it out there,” said one conservative lobbyist with close ties to GOP leaders on the Hill. “Nobody is taking it seriously, but we’d rather have him talking about tax cuts than some of the crazy stuff he usually talks about.”

http://www.msn.com/en-us/news/polit...-cut-puzzles-washington/ar-BBOKf7B?ocid=ientp
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
"This Is Just The Very Tip Of The Iceberg" - Spike In Tariffs Paid By US Businesses


by Tyler Durden
Mon, 10/22/2018 - 23:30

President Trump is about to get an earful from Americans hurt by the escalating trade war.

New data shows, American businesses and consumers just paid a 45% spike in duties, according to Tariffs Hurt the Heartland, a campaign that highlights the negative impacts of President Trump's trade war on US businesses and the economy.

Trade data released last Thursday during a town hall meeting in Pennsylvania discussed the tariffs' impacts, featuring distillers, pork producers, frame manufactures, and other industry experts.

"For the most recent months available, August 2018, the amount of tariffs paid increased by $1.4 billion -- or 45% -- as compared to tariffs paid in August 2017. Tariff costs in Michigan tripled to $178 million and more than doubled in multiple states -- to $424 million in Texas, $193 million in Illinois, $50 million in Alabama, $29 million in Oklahoma, $23 million in Louisana, and $7.3 million in West Virginia.​


These costs strain businesses of all sizes but are particularly painful for small business, manufacturers, and consumers who bear the burden of tariff increases in the form of higher prices," via the data compiled by The Trade Partnership and released by Tariffs Hurt the Heartland.​



"These tariffs are taxes on American businesses and consumers," said Tariffs Hurt the Heartland spokesperson Angela Hofmann. "They aren't paid by other countries. They are paid here at home. What this data shows is that we are already seeing a steep increase both nationally and at the state level in the tariff costs businesses and consumers are paying."

"This is just the very tip of the iceberg. The data released today offers a glimpse at what the coming pain from the trade war looks like. Once the tariffs on an additional $200 billion in goods kick in -- these numbers will continue to trend sharply upward. We are hopeful that this data, combined the personal stories of harm that we're sharing across America, will encourage this administration to move away from tariffs and to find new solutions to growing access to foreign markets," Hofmann said.

The graduation of the trade war, and respective GDP hit, is shown by the Bloomberg chart below.



Tariffs Hurt the Heartland noted that today's trade data is showing a vicious spike in duties paid, which is only the beginning of the trade war; costs will continue to rise as the other announced tariffs go into effect.

"In Pennsylvania alone, we are seeing 55% higher costs or $45 million a month for state business from last year to this year. And it's only going to get worse once additional tariffs kick in. Continuing to go down this track will only lead to more layoffs and higher prices," Hofmann said.

"The steel and aluminum tariffs have had significant cost implications for the states. The section 232 steel tariffs have cost American companies an additional $1.5 billion, including $475 million in August. Previously, these products were duty-free. Imports into these states paid the most taxes for steel subject section 232 tariffs: Texas ($289 million), Michigan ($139 million), California ($104 million), Illinois ($103 million), Pennsylvania ($98 million) and Ohio ($77 million).​


Aluminum tariffs also hurt producers throughout the country, costing American companies more than $125 million in the month of August alone. The largest increases to existing tariffs were paid in Texas ($14 million), New York ($11 million), California ($10 million), Kentucky ($7.4 million) and Illinois ($6 million).​


Lastly, section 301 tariffs cost American companies roughly $550 million in August. Products subject to section 301 remedies faced $594 million in tariffs in August, compared to just $46 million in August 2017. The large increase in tariffs came despite a less than 1% increase in the value of imports. Keep in mind: "List 2" tariffs did not take effect until August 23 and another batch of "List 3" tariffs will take effect in September, so tariff costs should rise significantly in future months," said the report.​

Companies in Texas have paid $654 million more in tariffs in June through August than in the same three months the prior year, a 142% increase that is a direct consequence of President Trump's escalating trade war. The impact is hurting small and medium-sized businesses.



Tariffs Hurt the Heartland shows that duties are not limited to just Texas, but have affected companies and consumers across the entire country.



A Reuters/Ipsos poll from early Sept. shows people in each of the five industrial states: Indiana, Ohio, Michigan, Pennsylvania, and Wisconsin; overwhelmingly think President Trump's trade wars are "Not good" for their families.



Earlier this month, JPMorgan Chase & Co. turned cautious on the global economy, as they warned: a "full-blown trade war" next year between China and the US is expected. It seems like trade conflict between the world's largest economies could erupt in the coming months, further straining American business and consumers, and send the world plunging into a global recession sometime in the next 12 to 16 months.

"A full-blown trade war becomes our new base case scenario for 2019," JPM wrote in a recent note. "There is no clear sign of mitigating confrontation between China and the U.S. in the near term."​

Tariffs Hurt the Heartland ends the report with this video, letting the American people know that tariffs are nothing more than taxes. Prepare for 2019 and beyond; your taxes could jump significantly.


https://www.zerohedge.com/news/2018...-spike-tariffs-paid-us-business-and-companies
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
Ford Says US Steel Most Expensive In The World Due To Trump's Tariffs


by Tyler Durden
Tue, 10/23/2018 - 14:43


John Hinrichs, Ford's head of global operations, said the Trump administration's metal tariffs have made U.S. steel prices the most expensive in the world thanks to the President's trade war with China, reported The Detroit News.

"U.S. steel costs are more than anywhere else in the world," Hinrichs said Monday at a Michigan Assembly plant marking the start of Ranger pickup production. Hinrichs said Ford officials have been communicating with the Trump administration about the tariffs: "The government knows our position about where we need to be in order to be competitive globally. We tell them that we need to have competitive costs in our market to be able to compete around the world."

Ford CEO Jim Hackett called on President Trump last month to resolve trade disputes, warning that the second-largest American automaker could experience severe financial damage. He said the steel and aluminum tariffs were projected to cost Ford roughly $1 billion because it sources most of its metals from U.S. companies.



Ford, General Motors Co., and Fiat Chrysler Automobiles have all readjusted full-year earnings outlooks in the second quarter due to soaring costs of domestic sourced metals.

"Domestic hot-rolled coil -- the benchmark price for American-made steel -- has gained 28% in 2018 as the Trump administration implemented tariffs on imports. The levies helped push prices to about $920 a metric ton earlier this year, the highest in a decade. U.S. steel currently costs about $260 more per short ton than steel in China, which accounts for more than half of global demand," said Bloomberg.​

President Trump has called American companies "babies" for complaining about the tariffs. He accused Harley-Davidson, which just reported its biggest revenue drop in more than 8 years, using them as an excuse to move some operations to Europe and Asia.

Rising steel and aluminum prices make Ford less competitive in global markets, which have not been the Trump administration's only policy that has damaged the company. In August, the automaker abandoned plans to sell a new model called the Focus Active in America. Ford cited a 25% tax on vehicles imported from China, where the car would have been built.

Ford also reduced American exports to China because President Xi Jinping has played a tit-for-tat game with President Trump, matching his 40% tariff on imported vehicles.

Ford's sales in China have declined in 14 of the last 15 months and collapsed 43% in September.

Whether the Trump administration stops the trade war based on feedback from Ford officials remains an open question.

Hinrichs concluded his speech on Monday by saying: "We encourage all countries -- but especially the U.S. and China -- to work together...We think it's in the global economy's interest to do so."

As for Ford, expect massive layoffs and possible restructuring in the near term. One look at Ford's bonds shows that they they are now offering junk-bond spreads. As we discussed in August in "Is Ford's Downgrade The "Spark" That Crashes The Bond Market", a should Ford become a "fallen angel" after its recent downgrade by Moody's from Baa3 to Baa2 - meaning one more downgrade would push it to junk status - it would rock the US high yield market.



Ford's equity looks even worse, down -32% YTD and trading in the low 8-handle. A buying opportunity or a complete bust? We'll find out shortly.

https://www.zerohedge.com/news/2018-10-22/ford-us-steel-most-expensive-thanks-trumps-trade-war
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
Trump insists he is planning 10 percent tax cut for the middle classes amid skepticism it can get past lame duck Congress

  • President Donald Trump is insisting he will get his 10 percent middle class tax cut despite skepticism it would not be able to pass in a lame duck Congress
  • His move is seen as pitch to rally GOP voters before the election
  • Trump said he couldn't have gotten a bigger cut for the middle class in his first round of tax cuts because we 'maxed out'
https://www.dailymail.co.uk/news/ar...t-tax-cut-middle-classes-amid-skepticism.html
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
China wants to stop buying American soybeans entirely

By Daniel Shane, CNN Business
3 hrs ago


First, Beijing slapped tariffs on American soybeans. Now, it wants to wean its farmers off them altogether.

China has been facing a potential soybean shortage after it put a new 25% tariff on importing them from the United States in July, part of the escalating trade war between the two countries.

China is the world's biggest buyer of soybeans, using them as a protein-rich feed for livestock such as pigs and chickens. More than a third of its supply comes from the United States.

Beijing's solution to get by without US beans?Give the animals less to eat.

One of the country's top industry groups this month proposed cutting the amount of protein used in livestock feeds, saying animals could get by with less than is required at the moment. The government-run China Feed Industry Association said a reliance on imported soybeans is creating a "bottleneck" for the country's farming industry.

But getting millions of Chinese farmers to reduce the amount of foreign soybeans eaten by their pigs is a daunting task that is likely to take a long time to carry out and could cause disruption throughout the country's agricultural industry.

The plan would inflict further pain on US farmers already smarting from the tariffs and could eventually mean China no longer needs American soybeans at all.

"It's directly linked to the US-China trade war," said Loren Puette, the director of research firm ChinaAg in Taiwan. "The implication is that China will completely halt all future imports of US soybeans."

Threat to US farmers

China has alternative soybean sources, the biggest is Brazil, but they don't produce enough to replace its imports from the United States.

"Sourcing soybeans from a bunch of trade partners is both expensive and inefficient," said Even Pay, a Beijing-based agriculture analyst at research firm China Policy. "Companies are looking for cheaper, alternative sources of protein."

Some local Chinese governments are encouraging farmers to grow soybeans instead of other crops, but analysts say China is a long way from being able to produce anywhere near enough to meet its own needs.

A long-term shift by China away from importing US soybeans would have serious consequences for American farmers, who sold more than $12 billion worth of soybeans to the country last year, their largest export market.

Five years ago, Beijing temporarily stopped accepting shipments of genetically modified American corn, another important animal feed, prompting Chinese farmers to buyother crops like sorghum and barley. Chinese demand for US corn never fully recovered, according to Pay.

American soybean farmers have spoken out repeatedly about the threat to their livelihood from the trade war.

Paul Burke, senior director of the US Soybean Export Council in Shanghai, said he thinks the Chinese government is trying "to minimize the import of any US soybeans" with its plan. He expects Chinese demand for American soybeans to fall if the proposals are implemented.

In August, there were already signs that China was shunning American soybeans after imposing tariffs on them the month before.

"The US soybeans are not allowed to be imported, you can't get it even if you want to," Xu Limin, a sales manager at Hebei Power Sea Feed Technology, a Chinese company that last year imported thousands of tons of US soybean products, told CNN at the time.

"Imports from the US have been almost nonexistent in recent months," analysts at research firm Fitch Solutions wrote in a note to clients this week. That's largely because soybeans are typically harvested in Brazil in the first half of the year and in the United States in the last quarter, they noted.

The real test will be the next few months when Brazilian supplies dry up.

"China will have to import some soybeans from the US in the coming months," the Fitch analysts said, predicting it will switch back to Brazilian ones as soon as they become available again early next year.

Can Beijing pull it off?

A move to cut down on soybean use in China would need to be skillfully managed.

The Chinese government is likely to face a tough task steering millions of pig farmers across the country into following the lower protein requirements.

Beijing's plans to wean the country off its reliance on imported soybeans "will take time and be difficult to implement," the Fitch analysts said.

Farmers may turn to alternative protein sources like canola, cottonseed and sunflower. But it might not be a straightforward swap.

Some of these options are limited in supply, and the new demand will likely push up their prices. In some cases, feeds based on canola can be toxic to animals, analysts said.

A rapid shift away from soybeans could create "chaos in the animal feed sector," Puette warned.

The stakes are high for farmers and feed companies to get it right. Many Chinese farmers operate on tight profit margins, and any health issues with their animals could risk putting them out of business.

"There's no silver bullet that can be readily used" in soybeans' place, Puette said.

Yong Xiong contributed to this report.

http://www.msn.com/en-us/money/mark...rican-soybeans-entirely/ar-BBOOEOh?ocid=ientp
 

Joe King

Gold Member
Gold Chaser
Site Supporter
Joined
Mar 31, 2010
Messages
7,416
Likes
7,687
Location
Instant Gratification Land
China has alternative soybean sources, the biggest is Brazil, but they don't produce enough to replace its imports from the United States.
Who is currently buying Brazil's soybeans? If China buys up all of Brazil's soybeans, that just means whoever had been buying them will have to source them elsewhere. Like from American farmers. The tariff's only apply in China and the soybean market is World wide. So all this hand wringing is silly, imho.



First, Beijing slapped tariffs on American soybeans. Now, it wants to wean its farmers off them altogether.
"Sourcing soybeans from a bunch of trade partners is both expensive and inefficient," said Even Pay, a Beijing-based agriculture analyst at research firm China Policy. "Companies are looking for cheaper, alternative sources of protein."
If there were a cheaper alternative, we'd already be using it, wouldn't we? Isn't the reason we already use soy protein mostly because it's cheaper than other sources of protein?
 

searcher

Mother Lode Found
Mother Lode
Sr Site Supporter
Joined
Mar 31, 2010
Messages
180,066
Likes
43,462
Trump 'deserves some credit' for foreign policy successes, ex-Clinton aide admits


Fox News
Louis Casiano
3 hrs ago


A former Obama administration diplomat both praised and criticized President Trump's foreign policy during a forum Thursday at the University of Minnesota.

Jake Sullivan, who served as former national security adviser to Vice President Joe Biden and deputy chief of staff to Secretary of State Hillary Clinton, sat alongside former Vice President Walter Mondale at the university's Humphrey School of Public Affairs for the forum titled: "The Shrinking International Relevance of Donald Trump," FOX 9 of Minneapolis reported.

The discussion focused on the number of foreign policy initiatives enacted by Trump since taking office, including pulling the U.S. out of the Paris Climate Agreement, the Trans-Pacific Partnership and the Iran nuclear deal.

Sullivan, who now teaches international law at Yale Law School, credited Trump with his handling of North Korea, the Islamic State group and getting other nations to share more of the burden in policing the world.

“I think that the way the administration built the maximum pressure campaign against North Korea was a real positive," Sullivan said. "I think carrying forward the work that President Obama did against ISIS to the point now where we really have reduced ISIS’s capacity to threaten the United States, the president’s team deserves some credit for that."

“And I think the president is on to some things when he says other countries need to step up and share more of the burden," Sullivan added.

But other moves by Trump have damaged America's standing on the international stage, Sullivan said. He added that he has faith that the world -- particularly western democratic nations that want to push back against Russia and China -- will embrace American leadership once more after Trump leaves office.

“That means an American president and United States of America that is once again stepping up to be the leader of the free world,” Sullivan said. "And I think if we have a president who is committed to that, then absolutely there is huge hunger around the world to rally to solve big problems."

In an extended interview with the station, Sullivan said Trump has "come in sort of like a hurricane and he's destroyed a lot of the basic institutions of American leadership in the world" and "undermined our alliances and harmed our position in international organizations that help solve big problems like climate changes and nuclear weapons."

http://www.msn.com/en-us/news/polit...-ex-clinton-aide-admits/ar-BBOUThV?ocid=ientp