If only it were true. Trump has repeatedly proven himself to be embarrassingly ignorant on trade issues.
Really, it appears he is hurting China a lot over it:
China Allows Currency to Drop – President Trump Responds – Devaluation Lowers Consumer Import Prices…
Posted on
August 5, 2019 by
sundance
China needs to buy dollars to backstop their own currency (Â¥uan). When China trades with the U.S. they hold the return dollars as a peg against their weak currency. Remove the flow of dollars (lessen exports) and they start to run out of strong pegged currency.
What is happening today is not as much direct devaluation by China; rather they are intentionally allowing their currency to drop in value, in an effort to lower export prices and off-set any tariffs from the U.S. Simultaneously, Beijing is spending internally, burning cash, to keep their economy from weakening. Their Yuan burn rate is greater than the influx of higher valued dollars needed to hold their position.
They cannot keep this position indefinitely.
First, here’s a solid interview with former CEO Gerald Storch on how the currency devaluation leads to lower prices for U.S. consumers. Again, emphasizing the point that U.S. consumers are not paying for the tariffs against China. Watch:"
