Read the article buying house posted. It explains it all. The “blame” on tariffs is that tariffs and tax cuts lead to higher profits for steel companies. Some wisely invested it in newer and more efficient equipment to reduce production costs. Others did nothing. The ones that invested are now cleaning up. It’s not the fault of tariffs that some companies wisely invested the extra profits while others didn’t. That’s capitalism at work eliminating bad decision makers.
The fact you’re equating a tariff on US imports as the same as a tariff on US exports is puzzling.
Lots of rumors about the upcoming Beidahe secret conference for CCP’s super elites. It claims Xi is under a lot of pressure from party elders because of his mishandling of the trade war. The article went as far as suggesting Xi is worried about loyalty of the PLA. Hong Kong for the first time in decades is on the agenda…
The Trump administration is increasingly concerned about prospects for a trade deal with China, amid an unexpected reshuffling of the Chinese negotiating team and a lack of progress on core issues since the Group of 20 summit in Japan, according to U.S. officials and senior Republicans briefed on the discussions.
Commerce Minister Zhong Shan, regarded by some White House officials as a hard-liner, has assumed new prominence in the talks, participating in a Tuesday teleconference alongside Chinese Vice Premier Liu He, who has headed the Chinese trade team for more than a year.
Chinese investors are apparently buying into these luxury homes in the city state as a safety bet against the US-China trade war. Fresh interest is also being driven by instability in rival financial hub Hong Kong, the brokers say.
“The gap in worker efficiency between China and Vietnam is the biggest problem,” Zhou said. “Vietnamese workers do not work overtime at all and most of them are not skilled, resulting in low yield rates and frequently delayed delivery times. I think it takes a great deal of time and expense to train skilled workers in Vietnam. Chinese [small businesses] of our kind can’t afford this cost, both in terms of time and money.”
It will continue to go lower, trade war or not. 10 years ago China was growing at 12%. It’s just like humans. Kids grow faster than adults. Or like companies. Small caps grow faster than big caps. Sooner or later the law of large numbers catches up with you.
I think within 5 years China’s growth rate will be in the 4’s.
I mostly agree with Chovanec here. China is digging in and have pretty much gone backward in reforms under Xi. It’s foolish for US to cheer a China slowdown. The Chinese economy is rightly interested with the world and it’s huge. A sharp slowdown of the Chinese economy could have dangerous consequences for everybody, including the US.
