The MSM was excited on Thursday night to speculate on the Phase 1 deal with China. They were giddy to report that the existing tariffs were going to be cut back across the board by 50%.
Prior to the deal, our President and his Killers had imposed 25% tariffs on $250 billion dollars worth of imports and 15% on another $120 billion dollars worth of imports.
If we believed the MSM, the new tariffs would have been 12.5% on the $250 billion dollars worth of imports and 7.5% on the $120 billion dollars worth of imports. Multinationals, CoC, Wall Street pundits and the MSM were breaking open bottles of champagne because President Xi and China got over on President Trump. The gravy train was going to continue.
Still hungover from the night before, their world came crashing down on top of their heads once the details were released by our President and USTR Lighthizer.
China has agreed to a $40 billion agricultural purchase from the U.S. In exchange for that purchase our President will be maintaining the full 25% tariffs on approximately $250 billion of Chinese imports and reducing to 7.5 percent the tariffs on approximately $120 billion of Chinese imports.
That means our country is still going to be collecting the following amount of money from the tariffs once the deal is signed:
- $250 billion dollars x 25% tariff = $62.5 billion dollars
- $120 billion dollars x 7.5% tariff = $9 billion dollars
- TOTAL Tariffs Collected = $71.5 billion dollars
The net difference (dropping 15% to 7.5%) is around $9 billion in tariff relief to China. Additionally, the U.S. is “suspending” the December 15th tariffs (15% tariffs on $160 billion dollars worth of imports) pending compliance verification with the non-tariff issues and China pledges.
China has agreed to allow U.S. banks access to their financial markets, reform their behavior on IP theft, stop the forced transfer of technology and according to their *promises*, allow exclusive ownership of U.S. businesses within China. These are the non-tariff issues. However, these are *promises*, and our President and his Killers are well aware China lies. Hence, the tariff SLEDGEHAMMER remains.
Our President knows that China will not live up to their end of the deal. He actually is looking forward to them reneging. When they do, those tariffs will be increased to 50% across the board on all $510 billion dollars worth of imports.
The Multinationals, Wall Street pundits, CoC and MSM know it as well. That is why you are going to see the decoupling from China move to supersonic speed in the next year. The USMCA is going to entice many corporations to return to North America. Especially to our country and Mexico.
This was the worst thing in the world to happen. Our President will have shown that he was more than willing to make a deal but the Chinese government was not willing to live up to their end of the bargain. When they are destroyed, they will have no one but themselves to blame.
USTR Robert Lightizer outlines their promise in the link below:
The United States and China have reached an historic and enforceable agreement on a Phase One trade deal that requires structural reforms and other changes to China’s economic and trade regime in the areas of intellectual property, technology transfer, agriculture, financial services, and currency and foreign exchange.
The Phase One agreement also includes a commitment by China that it will make substantial additional purchases of U.S. goods and services in the coming years. Importantly, the agreement establishes a strong dispute resolution system that ensures prompt and effective implementation and enforcement. The United States has agreed to modify its Section 301 tariff actions in a significant way.
The United States first imposed tariffs on imports from China based on the findings of the Section 301 investigation on China’s acts, policies, and practices related to technology transfer, intellectual property, and innovation. The United States will be maintaining 25 percent tariffs on approximately $250 billion of Chinese imports, along with 7.5 percent tariffs on approximately $120 billion of Chinese imports.
Our Wilburine is smiling knowing what is to come!
Economically in the deal, our President gains a net $40 billion for U.S. farmers; and gives up $9 billion in tariffs. From that point everything, including any other possible trade agreement (phase 2, 3 etc.), is contingent on Beijing complying with their promises. knowing the Atomic Sledgehammer of Truth is waiting to fall on top of them.
For those that are worried about what happens after our President leaves office by 2025, don’t be concerned because the decoupling will be completed. Our dependency on China will have disappeared.
Our President hosted a press availability prior to a bilateral meeting with President Abdo Benitez of Paraguay.
[Video and Transcript Below]
Not at all surprising after the Conservatives destroyed the Labour Party in the U.K. that the Antifa-left started rioting in the streets again. Proving once more that socialists do not accept election outcomes.
The same cast of characters are also going back to their playbook.
Our President got another big win from the Supreme Court!
The Supreme Court has granted the petition for a writ of certiorari and will hear cases related to attempts to gain our President’s financial records and tax filings.
The Supreme Court has issued a stay upon all lower court action and consolidated the cases into one writ. The court will hear arguments in March and release a ruling later in the summer of 2020.
The Swamp is continuing to drain itself!
From the article linked above:
Opponents of the Trump administration’s plan to break up the Washington, D.C., headquarters of the country’s public lands bureau are warning of a brain drain, saying many staffers who are being reassigned are opting to quit rather than move out West.
U.S. Interior Secretary David Bernhardt defended the move Friday. Opponents have projected that the number of Bureau of Land Management staffers agreeing to move from headquarters could be as low as 15%, which Bernhardt said was “not consistent with what I’ve seen.”
Speaking at a Las Vegas conference on Colorado River water supplies, Bernhardt said he did not immediately have firmer figures, however.
“A year from now … you’re going to find out that it worked really well,” Bernhardt told reporters.
The Trump administration says the plan will save taxpayers millions of dollars, lead to better, faster decisions and trim a “top heavy” office in Washington. Moving the bureau out of Washington is a long-cherished goal of Western state politicians who cite the preponderance of public lands in their part of the country and their lack of access to decision-makers.