The summary reason is simple, we have discussed it frequently:
China is a production-based economic model, they do not have the ability, or wealth, to consume their own durable goods production; they rely on exports.
The U.S. is a more balanced economy; we consume 80% of our own production. We are self-sustaining, China is not.
Without a market to sell their products, the Chinese economy cannot survive.
More @ The Last Refuge
Exery one wins with fair trade. We have been supporting the world at the expense of our own work force. That's fine if you are a globalist. But terrible if you are paid by Americans to care about americans. All this "trade war" is, is a market correction to rebalance the skewed field.
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We have been supporting the world at the expense of our own work force. That's fine if you are a globalist. But terrible if you are paid by Americans to care about americans.
DeleteIndeed.
Fact: the rest of the world has very high tariffs on everything imported. They have for a long time. They do it to intentionally depress consumer demand for foriegn goods and keep a good trade balance. That is if they allow the product to be imported at all. The USA is one of the few countries that let's it's citizens benefit from lower cost foreign products without protectionism. When Trump announces a tariff on steel, he is just doing what every other nation already does. Tariff rates for the USA and other countries are available on line. The Democrats and their "economic experts" pretend that Americans don't understand how to use google.
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pretend that Americans don't understand how to use google.
DeleteEvidently.