"We really did not want a trade war with China. We just wanted to the reset our trade terms. But Xi is pig headed. So, we are going to end up trying to hurt each other rather than help each other. So be it. If it is a trade war Xi wants, it will be a trade war he gets. Bring it on."
China. Not our friend, not our competitor. They are our adversary. They are the bad boys of trade. And we have allowed ourselves to be captured by them. To be the masters of our trade destiny. To ship a vile poison called fentanyl into our country (via Mexico) and kill tens of thousands of our young folks. Well, Donald Trump said no more. We are done with the status quo. Our trade deficit is sky high with China, so if it takes a trade war to normalize it, so be it. Trump thinks he is holding a full house right now, and China might only have a pair of sixes.
This is going to sound odd, but the main thing the US has going for it right now is we are the world's largest consumer. That plus our economy is strong - very strong. China knows what Trump is trying to do. He is resetting the trade terms with countries all over the world. It was necessary. With most countries, it was a simple one pin wrestling match and then whammo - a new deal. Not with China however - they have opted for a death match. So be it.
China's way of doing business these days is to use their Belt and Roads Program to develop new trade. Go into another country, promise development for a cheap price (but a price China knows that country cannot adhere to), then when the country defaults, China mandates the country trade with China on their terms. Look at Panama what they were trying to do down there. We are wise to China and their schemes. We are wise to what they have been trying to do to us. No mas! said Donald Trump!
Except for China, Russia, Iran and North Korea, the world is starting to reset trade terms with the good guys (US). With over 70 countries knocking at our door, Donald Trump will be doing little else but negotiating (with his team in tow) for the next few weeks. Plus, he has plans for Iran. If they can cooperate and ditch their nuke program, Trump will help Iran get their gas and oil markets pumping again. Why would he do that? More oil on the market. More oil = less dollars per barrel. The world will need all the energy it can get as we move deeper into this decade and the next. Why? AI needs more power to run than we have right now.
Speaking of more energy - yesterday Trump signed some EO documents which reversed all the dumb ass things that Biden did to kill our coal industry. Sorry for the language, but what Biden tried to do to our coal industry really was a dumb ass thing to do. No matter - Trump fixed it. Now it is dig, dig, dig as well as drill, baby, drill! As Donald Trump always says, we have liquid gold right under our feet.
We really did not want a trade war with China. We just wanted to the reset our trade terms. But Xi is pig headed. So, we are going to end up trying to hurt each other rather than help each other. So be it. If it is a trade war Xi wants, it will be a trade war he gets. Bring it on.
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