‘Trump’s deal with China follows a familiar script. Trump imposed preposterously high tariffs on China of 145 percent, effectively a boycott. China retaliated by imposing its own tariffs of 125 percent and blocking exports of critical materials such as rare earths that America needs.
Predictably, the damage was expected to be massive. So Trump needed an escape hatch. Once again, his administration has “suspended” the exorbitant tariffs, lowering them to 30 percent—the same range as the current tariffs of 25 percent on much of China’s exports. The Chinese reciprocated by cutting tariffs on U.S. exports to 10 percent.
The “suspension” of the higher tariffs will be in place for 90 days, while a joint working group addresses more fundamental issues. This will not solve the immediate looming shortage of Chinese imports that has been building for over a month, and even 30 percent is a stiff tariff. But more fundamentally, the deeper issues dividing the U.S. from China will not be solved in 90 days, if ever, and today China has the upper hand.
[…]
So Trump’s adventure in creating a de facto boycott of China, and then his pullback, leaves the U.S.-China relationship exactly where it was, with no progress toward the deeper issues. If anything, China has a lot more leverage on the U.S. than vice versa, and is more astute about using it.’
Today on TAP: It’s the usual script—create a crisis, then back off and claim victory.
prospect.org
Of course, Trump and his defenders will continue to lie about the ‘deal’ being ‘successful.’