The United States Trade Representative office has cut items from the list of Chinese-made products that had faced new tariffs next month, citing factors including health, safety and national security concerns.
The USTR said the delay affects electronics including cellphones, laptops and video game consoles and some clothing products and shoes and “certain toys.”
Earlier this month, President Donald Trump announced a new round of 10% tariffs on $300 billion worth of Chinese imports that eluded duties.
Markets rallied on the news. The Dow Jones Industrial Average rose 400 points, while the S&P 500 was 1.5% higher and the Nasdaq rose 1.9%.
Delays on centerpiece technology products boosted tech stocks and distributors of technology items. Apple shares traded nearly 5% higher on the news… Separately, China’s Commerce Ministry said Vice Premier Liu He had spoken by phone with U.S. Trade Representative Robert Lightizer and Treasury Secretary Steven Mnuchin and they agreed to talk again in two weeks.
MacDailyNews Note: The United States Trade Representative’s statement, verbatim:
The United States Trade Representative (USTR) today announced the next steps in the process of imposing an additional tariff of 10 percent on approximately $300 billion of Chinese imports.
On May 17, 2019, USTR published a list of products imported from China that would be potentially subject to an additional 10 percent tariff. This new tariff will go into effect on September 1 as announced by President Trump on August 1.
Certain products are being removed from the tariff list based on health, safety, national security and other factors and will not face additional tariffs of 10 percent.
Further, as part of USTR’s public comment and hearing process, it was determined that the tariff should be delayed to December 15 for certain articles. Products in this group include, for example, cell phones, laptop computers, video game consoles, certain toys, computer monitors, and certain items of footwear and clothing.
USTR intends to conduct an exclusion process for products subject to the additional tariff.
The USTR will publish in the Federal Register as soon as possible additional details and lists of the tariff lines affected by this announcement.
Source: Office of The United States Trade Representative
Blink.
We now know which industry lobbies contributed to the MAGAKAG campaign.
Unfortunately the current administration is making a total mess of international business, which will have repercussions for decades. Supply chains cannot flip on a whim.
Moreover, what happened to the principled pro-business party? The current populist isolationist fact-free party is a sham.
Reagan has long been cited as a hero of conservatism — does anyone honestly think Reagan would approve of anything Drumph has done? Reagan was at least nuanced in his view of the world, in general tearing down walls (how about that!), lowering trade barriers, and expanding multilateral trade agreements. In 1985, Reagan stated, “our trade policy rests firmly on the foundation of free and open markets — free trade. I, like you, recognize the inescapable conclusion that all of history has taught: The freer the flow of world trade, the stronger the tides for human progress and peace among nations.” That doesn’t mean the USA didn’t have to fight to combat unfair trading practices, but come on — that’s everpresent between companies, industries, and states. Fair trade requires policemen, preferably funded by everyone who benefits from the trade. Yet the current administration instead of leading, has chosen to campaign endlessly on the need for more barriers, more walls, deeper moats. Il Duce only wants to give speeches from his castle balcony to those he allows into the wall. He honestly thinks he has the right to bully other Americans, other companies, and other nations to bow to US policy. Some people are too stupid to know that trade is a long term win-win relationship situation when done properly. Instead Il Duce thinks all “deals” are one-time zero-sum transactions to be “won”. Trump is no conservative – he is a self-aggrandizing bully with literally nothing to show for his incessant tweeting. Most of the measures he used to criticize prior presidents are WORSE today. Shame that his personality cult members can’t see it before their eyes.
https://theweek.com/articles/585423/radical-isolationism-donald-trump
Mike: 🤮
It makes no sense for the U.S.A. to hurt America’s largest taxpayer and help Samsung who pays taxes to Korea.
Apple won’t be hurt. One donation to the campaign and they’ll be rewarded and publicly praised for being such good subjects.
Anyone else want to buy an indulgence? Kiss the ring.