By Tyler Durden
Just when investors thought President Trump might be easing up on his protectionist push following the uproar caused by his decision to slap tariffs on steel and aluminum imports, Politico is reporting that Trump’s next trade salvo will be explicitly directed at China.
According to Politico, Trump last week told Cabinet secretaries and top advisers during a White House meeting that he wants to hit China with steep tariffs and other restrictions as retaliation for Chinese policies blatantly designed to siphon valuable intellectual property from US companies. The measures would be a follow up to an order issued by Trump over the summer, when he ordered the Commerce Department to launch an investigation into Chinese IP theft, using an obscure law that was frequently employed by the Reagan administration.
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As we explained back in August, with total bilateral trade of more than half a trillion dollars a year, the list of potential losers from Trump’s protectionist policies is notably lengthy:
U.S. companies such as Apple Inc., which assemble their products in China for sale in the U.S., and those tapping demand in China’s expanding consumer market.
U.S. agricultural and transport-equipment firms, which meet China’s demand for soy beans and aircraft.
Manufacturing …read more