August Report: Chinese Manufacturing Growth Slows to a 14-month Low…

When China announced the One-Road/One-Belt initiative (now banned from discussion in Beijing); in combination with a looming trade confrontation with President Trump; CTH pointed out that sketchy pandas’ bamboo economy was very vulnerable because it was deep, but narrow – simply too dependent on manufacturing and exports.

Slow down the manufacturing sector and, well, there is no fall-back position….. Cue:

BEIJING (Reuters) – China’s manufacturing activity grew at the slowest pace in more than a year in August, with export orders shrinking for a fifth month and employers cutting more staff, a private survey showed on Monday.

The gloomy findings reinforce views that China’s economy will cool further in coming months, even as the United States ramps up tariffs on Chinese goods. That is likely to prompt more spending and other growth boosting steps from Beijing.

The Caixin/Markit Manufacturing Purchasing Managers’ Index (PMI) fell to 50.6 in August from July’s 50.8, matching economists’ forecasts.

Though the index remained above the 50-point mark that separates growth from contraction for the 15th consecutive month, it was the weakest since June 2017. While output improved modestly, most of the other readings were lackluster.

“The manufacturing sector continued to weaken amid soft demand, even though the supply side was still stable…I don’t think that stable supply can be sustained amid weak demand,” Zhengsheng Zhong, director of Macroeconomic Analysis at CEBM Group, said in a note accompanying the survey.

“In addition, the worsening employment situation is likely to have an impact on consumption growth. China’s economy is now facing relatively obvious downward pressure.” (read more)

♦The 800lb Panda in the room is that China is arguably the least balanced economy in the modern world. Hence, China has to take extraordinary measures to secure their supply chain. This economic dependency is also why China has recently spent so much on military expansion etc., they must protect their vulnerable interests.

Everything important to the Chinese Economy surrounds their critical need to secure a strong global supply chain of raw material to import, and leveraged trade agreements for export.

China’s economy is deep (manufacturing), but China’s economy is also narrow.

This economic structure, and the reality of China as a dependent economic model, also puts China at risk from the effects of global economic contraction. But more importantly it puts them at risk from President Trump’s strategic use of geopolitical economic leverage to weaken their economy.

U.S. President Donald Trump and the U.S. economic team fully understand this dynamic and fully understand the inherent needs of China.

When you are economically dependent, the ‘bully plan’ only works until you encounter a ‘stronger opponent’.

A stronger opponent is an economic opponent with a more broad-based stable economy, that’s US.

President Trump, Commerce Secretary Ross, Treasury Secretary Mnuchin and U.S. Trade Representative Lighthizer, Economic Adviser Peter Navarro and NEC Chairman Larry Kudlow represent the first broad-based national team of economic negotiators who know how to leverage the inherent Chinese economic vulnerability.

President Trump will not back down from his position; the U.S. holds all of the leverage and the issue must be addressed.  President Trump has waiting three decades for this moment.  This President and his team are entirely prepared for this.

 

The Olive branch and arrows denote the power of peace and war. The symbol in any figure’s right hand has more significance than one in its left hand. Also important is the direction faced by the symbols central figure. The emphasis on the eagles stare signifies the preferred disposition. An eagle holding an arrow also symbolizes the war for freedom, and its use is commonly referred to the liberation fight of righteous people from abusive influence. The eagle on the original seal created for the Office of the President showed the gaze upon the arrows.

The Eagle and the Arrow – An Aesop’s Fable

An Eagle was soaring through the air. Suddenly it heard the whizz of an Arrow, and felt the dart pierce its breast. Slowly it fluttered down to earth. Its lifeblood pouring out. Looking at the Arrow with which it had been shot, the Eagle realized that the deadly shaft had been feathered with one of its own plumes.

Moral: We often give our enemies the means for our own destruction.

 

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252 Responses to August Report: Chinese Manufacturing Growth Slows to a 14-month Low…

  1. sundance says:

    Liked by 32 people

    • What, no windfall profits for Russia?
      … BEFORE the Sanctions to shut down Iranian Oil Exports?

      Will Putin scramble to cut a win-win deal with President Trump?
      … Revealing the origins of the Deep State Coup and details of the Uranium One Swindle?

      Liked by 19 people

    • jnr2d2 says:

      BFD — $0.20 per barrel. Take your Reuters, and Bloomberg, screaming “nothing headlines” elsewhere.

      Liked by 2 people

      • jnr2d2 says:

        Sorry. When it comes to Reuters and Bloomberg, they are business fake news if they are talking about a”political” related issue/story.

        Liked by 1 person

      • lokiscout says:

        With a daily worldwide oil consumption of 99 million barrels $0.20 per barrel is a measly $19.8 million (per day). annually that would be $7.23 Billion. Chump change!

        Liked by 3 people

        • jnr2d2 says:

          It’s “futures contracts” contract for Oct 2018 —not the “cash” price today. Today it’s up
          $ 0.40 —- to over $70 again! A typical daily move is +/- less than $0.50 and a big move is over $1.0 either way. Still wait a week and it may be reversed! It’s the nature of “speculation” on the future. Yes the news does move it, but small news is just “noise.”
          Real news that had only a slight effect recently was selling 11 M barrels from the strategic reserve, spread over the next four months to keep oil from a real big pop up due to Iran oil sanctions kicking in. Political due to Nov election.

          Liked by 2 people

    • Minnie says:

      Remarkable in light of the Labor Day (holiday) weekend.

      Local price at the pump here dropped from $2.89 to $2.73 per gallon, and that’s only since Friday.

      Crumbs, I’ll take it 👍

      Liked by 19 people

      • Ghost says:

        WTI traded at a high of $75.25 on July 03. it as now not risen above $70.47 hitting that mark twice. On July 18 and again on August 30. the recent low on August 16 of $64.46. If I were a crazy speculator I would say we just put in a double top and will now continuation down will resume. But I wouldn’t recommend anyone actually do that.

        Like

        • jj1319 says:

          Dead cat bounce?

          Like

          • jnr2d2 says:

            No, not a dead cat bounce. And the true professionals expect if Iran sanctions really bite WTI over $75 by end of year/first Q. Why then is Dec/Jan futures not at that price? Because the futures curves also moves up and down base on the news and “price discovery.” Oil producers use it for hedging their production, as does oil users like airlines. The rest are pure speculators. Futures have great leverage — you can make a fortune quickly — or lose one! Not for the long term investor, or most anyone.

            Liked by 1 person

      • Redhotsnowman says:

        Here in SoCal the prices are ridiculous. My favorite station raised price per gallon .20 a gallon up to 3.55 for the “cheapstuff,”. They raised it earlier in the week in anticipation of the 3 day weekend driving. Damn crooks.

        Liked by 1 person

      • fractionalexponent says:

        $3.179/gal 87 octane 8/31/18 Fri here in Las Vegas. Guess we’re one state too close to the People’s Republic of California…?

        Liked by 1 person

      • truthseeker39525 says:

        North-central Alabama was from $2.50 down to about $2.34 over the weekend.
        $2.45 or so in middle to south Mississippi today as I drove through.

        Liked by 1 person

    • noswamp says:

      Isn’t Texas oil production at an all time high? This reduction in oil price is great news. Especially since I live there.

      Liked by 1 person

    • Venezuela socialists rejoice! ….. oh, wait….

      Liked by 1 person

      • Ghost says:

        What I find fascinating is if the current given set of circumstances were happening in the previous administration .Our oil discussion would be about whether it would rise to the level of $150 a barrel or maybe reach $200.

        Iran’s about to have exports reduced to black market operations and Venezuela is in melt down mode. Years ago we would talking them as 4th and 5th oil exporters. We are lucky to have VSGPDJT running the show.

        Liked by 6 people

        • Paul Killinger says:

          “Very lucky” is one of rhe grandest understatements of all time!

          Meanwhile, China is bleeding cash trying to prop up their Commie satellites in NoKo, Venezuela and Iran.

          Like

        • fractionalexponent says:

          You are right, Ghost. In Nov 2011, we drove NV to NYC and back. Dodge 6 cyl diesel pickup & travel trailer. $4/gal everywhere except $3.49/gal in a black neighborhood in Memphis. Got scowls from the cashier there. Obama was a member of the now failed Chicago Climate Exchange. First thing he did in office was shut down oil drilling on fed lands in Utah. Then beat up on Texas oil companies. Then wouldn’t let foreign flag ships assist Deep Horizon oil spill containment. Then wouldn’t let contract to Massachusetts company that manufactures the oil boom floats to surround/contain the spill. Then beat up on West Virginia coal mines. Then closed down every coal fired power plant he could. Then killed oil pipeline construction.

          One unintended but positive effect of Obama’s derangement was fracking the Bakken (sp) Dakota and other oil fields.

          But, because leftists/rinos/dems/commies in DC/Boston/NYC/SFO/Seattle/Portland hate carbon (aka CO 2 plant food) so much, we should cut off their oil, gasoline, natural gas, diesel trucks, and coal-fired power plants every January to save the planet.

          Liked by 2 people

    • Kenji says:

      Thus making your … investment … in an all electric Tesla … even more economically insane. Eco-Virtue signaling can get really expensive.

      Liked by 2 people

    • Lactantius says:

      Too late, Iran. 70 million barrels of oil a day are shipped through the Straits of Hormuz. A few years ago, it would been a real problem for the US. Not now. The US oil shale production makes us both (basically) self-sufficient and an exporter of oil.

      OPEC would be enormously crippled by Iran which is also an OPEC member. Closing off 70 million barrels a day would be oil constipation of gigantic proportions for all of OPEC and especially Iran.

      The assumption is that the good ole USofA would send in the 5th Fleet and reopen the sea lanes. But why should we? Geopolitics says for us to mind our own business on this and let OPEC bitch it out among themselves. Who has Iran got as an ally in this idea – Syria and Russia? It is to laugh.

      Cartels are not supposed be as successful has OPEC has been. OPEC’s success has been due to blackmailing the world with a rare and essential commodity. Close Hormuz and Russian oil becomes more valuable and costly within the European Highly Socialized Union. Europe has been told by President Donald J. Trump that they need to pony up for all the NATO support the US has paid while Europe laughed at the Yankee suckers. That is to say, when NATO Europe decides that NATO should go open Hormuz, whose ships will they use? Belguim, Italy, Spain, Austria, Germany, France?

      If Iran takes on their “brothers” in OPEC, it might be the straw that breaks their Persian backs. The Mullahs in Iran are strapped for cash and entirely dependent on Iran’s oil revenue. The Iranian people are far from loyal to their dictatorial and fundamentalist mullah masters.

      If there is any country that has a realistic assessment of how to cripple Iran, it is Israel. Morocco, Tunisia, Algeria, Jordan, Kuwait, Lebanon, Egypt and now Saudi Arabia and Iraq have gotten out of the “Down with Israel” business. That leaves Syria, Turkey, Yemen, and some of the UAE, Omani and Libyan crazies to have a serious “Come to Mohammed” meeting. This is not say that the mid-east is no longer a powder keg. But the balance of power has greatly shifted since President Trump took command of the US military, foreign policy, energy production and trade.

      Liked by 1 person

      • L. E. Joiner says:

        Good post; food for thought. Your idea that if Iran closes the Straits we should just stay out and let the OPEC nations fight it out is intriguing. Might be fun to see what China would do. And nice dilemma for Russia: allies of a sort with Iran (in Syria), but competitors for the oil market. The Israelis would have a good laugh, too. /LEJ

        Liked by 1 person

    • helix35 says:

      “What’s he gonna do? Wave a magic wand?” Precisely.

      Liked by 1 person

  2. Wait til China Exporters discover that Americans are DONE with Made in China.

    This Christmas season the trend will begin: MADE in the USA!

    There will be YUGE Retail Firesales of overbought Chinese Exports.

    The Chinese Economy will CONTRACT in 2019.

    2019 will be President Xi’s worst year ever.
    2020 will be worse.

    Liked by 21 people

    • Psycho Monkee says:

      The current trend here in industrial Milwaukee is HELP WANTED signs everywhere. Engineering, Operations, Supply Chain Management; high paying jobs. Made In 🇺🇸‼️

      Liked by 22 people

      • Imagine the multiplier effect as Americans win jobs and wage gains to displace Imports from China.

        Imagine the impact as every one of those workers connects with hundreds of family and friends … to Buy American to Make American.

        Liked by 20 people

        • Bill says:

          Imagine the multiplier effect as Americans win jobs and wage gains to displace Imports from China.

          The multiplier effect is called Chinese riots as China MUST HAVE economic stability AT ANY COST..

          Liked by 5 people

          • noswamp says:

            “The multiplier effect is called Chinese riots as China MUST HAVE economic stability AT ANY COST..”
            This is the fact that us Treepers get, but many Americans don’t see as yet. For China, this is for all the marbles. They are as one dimensional as Target when their credit card sales system was hacked. You start laying off people in China, and you get riots. You get riots and the social order is disrupted. Social disorder leads to regime change. They can censor only so much. Word will spread and more unrest will spread. You are talking about 1.3 billion people here. The gvt will have no choice but to spend more. Mr. Ma of Alibabba talked about the fact that China needed to quickly develop its middle class so that it supported itself. Unfortunately, they are not there yet. China spending more will further devalue the yuan, and create more problems in the short run. When cornered, China might even go toe to toe with us in an economic war that they will lose. They thought they could bribe our politicians to make the USA dependent on China, and hurt farmers which was Trump’s base, while China continued to rise: until Trump got wise and pulled a Mexican rabbit out of his hat. American people are more awake than ever. Sorry China, too little too late. MAGA. WWG1WGA

            Liked by 5 people

          • guyinworld says:

            so they need to change their economy to christian capitalism. 🙂

            Liked by 3 people

        • Bud Klatsch says:

          And vote Red for Trump!

          Liked by 2 people

      • Joshua2415 says:

        I roam the interstate highways between Virginia and Texas and I can confirm that the trend that you note in Milwaukee is the same trend that I see across the entire southern United States. My own industry has not seen activity like this since before 9-11. It brings joy to my heart to see America finally working again as it was meant to.

        Liked by 7 people

      • A Belle says:

        Shack, Psycho.

        It’s going to get even better. Foxconn. Even though the main project is in SE Wi, Foxconn is dumping plenty of money all over the state. It’s a great time to be a cheddar head 👍. Jobs, jobs jobs, thank you Gov Walker and President Trump!

        Liked by 2 people

    • Dekester says:

      Up here in Canada too. I know we are on the sh**list, but Made in China on an item now is toxic.
      Many sane Canadians “get it”

      God bless PDJT

      Liked by 41 people

      • jrapdx says:

        Not all Canadians are on that list, mainly Justin, his team and supporters. Then again, I suspect those people are on your s-list too, maybe even higher up on your list than on ours. Any rate, you’ll have a chance to vote ’em out of office next year, question is will Canada do it?

        Liked by 13 people

      • SwampRatTerrier says:

        China took most all of Canada’s real manufacturing from scratch.

        Better check those Molsons and Labats to see that they don’t say
        Made in China on them. Hi

        Liked by 3 people

        • Janie M. says:

          SRT…on occasion, I like eating canned sardines (they’re good for you) and smoked oysters on saltines. Recently noticed the cans now say they are from China (Aldi/Walmart). As IF I trust the quality control/hygiene of their food products. Their “steel” kitchen utensils (my whisks) rust in spots after every washing – I’m sick of cheap Chinese junk. My old “Made in the USA” products have been in use for years w/no deterioration.

          Liked by 14 people

          • Janie M. says:

            P.S. Scroll across the internet and there are numerous articles about Chinese food products imported to the US… avoid it at all costs. They have no problem adulterating food w/non-food products, toxic chemicals used in crop pesticides, heavily polluted water, etc., etc. And the FDA lacks the manpower to monitor all the food being imported to the US due to its massive volume. The article below only addresses 9 items… there is far more being shipped from China.

            Beware Of These 9 Foods From China That Could Be Contaminated
            Scott O’Reilly
            9/3/18

            [snip]
            Food safety is woeful in China
            Food production in China is very poorly regulated. In addition, the inspection process is famous for being thoroughly corrupted. As a result, most Chinese citizens have very little confidence in the food they consume.

            In fact, U.S. Customs officials frequently reject large batches of foodstuff shipments from China because they contain unhealthy additives, dangerous drug residues or they are simply unsanitary. Nevertheless, contaminated food still gets in.

            https://www.thealternativedaily.com/contaminated-foods-from-china/

            Liked by 7 people

            • Janie M. says:

              s/b ” “…Customs lacks the manpower…” not FDA… duh 🙁

              Like

            • Grandpa says:

              Pet foods too! I advise making your own pet food.

              Liked by 1 person

            • 22denizen says:

              You have to examine the labels carefully. I read some items are made in Hong Kong and Taiwan, and are less likely to be contaminated, but I also remember some brands of soy sauce maide in mainland China had carcinogens in them

              Also, I still remember the awful time a few years ago when Chinese baby food was found to contain ‘malamine’ as a substitute for wheat gluten. A shocking netrayal of trust. Also, the contaminated ‘wheat protein’ containing melamine, was imported by American dog and cat food manufacturers, even well-known, trusted varieties, sold in your vet’s office, and consequently many beloved dogs and cats died a miserable death from the poisoned ‘food’.

              Like

      • Donna in Oregon says:

        It is so sad that China tricked them and Canada and Mexico joined TPP11. The DC Swamp creatures probably got paid off by the Canadian Lobbyists and are going to screw up Mexico’s deal if they can. President Trump will cut bait.

        Canadian Provinces that want to get away from the EU, I wish they could secede from Quebec and become a US Territory.

        Liked by 6 people

        • GB Bari says:

          China rarely “tricks” anyone but the most naive. Countries, companies, individuals who enter into these deals with China see profit$. Anyone who ignores Chinas well-documented récord of bullying their international business “partners” into giving up technology, IP, or majority control is simply prioritizing their profits over the future control of the business and any technology it entails.

          Canada sees China as a supplier of cheap parts that can be cleanly assembled into products. No muss, no fuss, and Canada can claim they are environmentally green. No matter that the pollution is still put into the Earths atmosphere, that’s not Canada’s fault.

          Except that it is Canada’s fault. By patronizing cheap, environmentally dirty industries in China, it’s actually worse than manufacturing in North America using high technology to scrub pollution from manufacturing processes.

          Liked by 7 people

          • pyromancer76 says:

            GB Bari, I think you have hit on the base of the AGW scam. Moralistic environmentalism, that has nothing to do with real life but everything to do with brainwashing. “I care for Mother Earth” with a religious passion, was used, if not invented, by the Chinese to keep Western developed nations from developing further. The baseline of every country is its economics.

            The Panda smiled, supported with beaucoup dollars and joined (or created) all those phony Scrub CO2 organizations — noodling far into every science department of every U.S. university and science organization. All real scientists had their labs taken away or were fired. Their research and scientific reputation in “tatters.”

            All dirty manufacturing production was sucked into China in one way or another, never to emerge unscathed.

            Now Western nations cannot produce anything because it dirties Mother Earth. China Panda smiles, manufactures like crazy, and befouls everything they touch, especially the environment and atmosphere of their people. They aren’t even smart enough to produce enough class products with enough quality control so other people of the world do not catch on.

            This is a more subtle version of stealing all means of production by the Soviets. They, through rule of force, stole every iota of manufacturing from their satellites, ran satellite economies into the ground, then messed up in Russia the manufacturing they had stoien. Economically exhausted everywhere, with nothing left to steal, eventually the Soviet Union imploded from within.

            It becomes very clear why both marxists countries, whatever version of marxism they morph into, covet the U.S. and all its resources.

            Liked by 4 people

            • SwampRatTerrier says:

              Watermelon environmentalists – Green Reds – must have been created and funded by Communist China for shutting down the West’s industry is what I’ve concluded.

              Liked by 1 person

        • Bud Klatsch says:

          The Maritime Provinces are more closely aligned with New England than Ottawa.

          Liked by 1 person

          • jnr2d2 says:

            Let the maritime Providences and fly over mid-west ones join the USA. Ottawa and Quebec can align with Europe and the Eskimos can have their nation back up north. Yukon and NW territories can choose where ever. British Columbia to be renamed China East and can align with our dearly departed “west coast” — they deserve each other.

            Like

      • We’ll end up teaming at unforeseen levels.
        Just need to neuter or dump Justine.

        President Trump can then help create a win-win that few could imagine!

        Liked by 3 people

    • Bogeyfree says:

      If it is now made here there would be some reduction in inbound cost on the product vs shipping from China plus some possible cost benefit from better inventory control to help offset some of the higher wage cost to make the products here but to me the big win that Americans will see if the manufacturing comes home is product quality.

      With our strong economy I think Americans will be willing to pay a little more if they see a nice bump up in product quality plus the pride of made in America.

      Liked by 14 people

      • What economists can’t seem to grasp is that wages will spike as growth consumes ALL available workers, then deportation of illegals eliminates their smothering effect on wages, and ultimately American innovation drives an entirely new level of automation to get by with a far-smaller workforce of remaining citizen workers.

        Liked by 14 people

      • We shouldn’t underestimate the impact of Tax Cuts 1.0, massively reduced regulatory compliance costs, accelerated approval cycles and then Tax Cuts 2.0.

        Liked by 12 people

      • noswamp says:

        “With our strong economy I think Americans will be willing to pay a little more if they see a nice bump up in product quality plus the pride of made in America.”

        Bogeyfree, (I keep wanting to type “Bogeynights” but I digress:)great post! Of course Americans would be paying a bit more for our own higher quality products, wages would be higher so that workers could afford the higher price.

        Liked by 4 people

    • NME666 says:

      and libtard heads will explode

      Like

    • munchenfez says:

      Please USA voters, make sure we get 6 more years of this. Is USA wins we in Europe have a chance.

      Liked by 4 people

    • anthohmy says:

      My bleeding heart feels for the Chinese factory worker who is just trying to feed his family like everybody else.

      Liked by 1 person

    • peace says:

      I just returned a Michael Kors blouse that I bought online from Macy’s and it arrived at my house with a Made in China tag so I took it back. I’m sick of Made in China crap – let’s see how it affects Kohls

      Liked by 1 person

      • Bogeyfree says:

        I really see where a bunch of the China manufacturing will return to the US or worst case to Mexico.

        The squeeze is on.

        PT simply wants fair trade, IP protections and denuclearization in Korea.

        And for that China gets open access to the single largest customer in the world with the strongest and most desired currency in the world.

        Another way to think about what is at stake for China is a visual of how many shipping containers from Walmart, Target, Amazon, Costco, Best Buy, Home Depot, Lowe’s, Dick’s would China lose in time if much of the manufacturing shifted to the US or Mexico AND PT blocks any back door plays?

        Think if all these containers were lined up in a row, how many revolutions around the earth would it be and then for all or most of that to disappear. Poof!

        Like

        • Jayne gilmore says:

          Didn’t China just invest in larger locks at Panama Canal because they thought they would take over the USA and all western manufacturing?

          Like

    • snellvillebob says:

      I just noticed last week that two large brick and concrete stores have offered “made in the USA” as a filter option for shopping on line.

      Liked by 6 people

    • Paul Killinger says:

      Pres for “Life” may turn out to be more than a catchphrase…

      Liked by 1 person

    • truthseeker39525 says:

      I wish…… but most stores buy from the lowest-cost supplier, and most shoppers buy the lowest-priced version of what they want, regardless of what they SAY.
      When it comes to actually BUYING….. Low Price is the DRIVER.
      Given an American made product for $50, or a Chinese copy for $15, most people will go for the Chinese copy.
      I’ve seen it happen too many times.

      Like

  3. sundance says:

    Liked by 25 people

    • fleporeblog says:

      China 🇨🇳 is in a world of hurt! They can continue to pump money into the system and continue to build Ghost Cities to provide jobs for their people. However, businesses are realizing that PDJT is not bluffing. They are making drastic changes in advance of the tariffs that are still to come.

      Look what happened earlier this week in China 🇨🇳. Our President’s plans are working to perfection!

      https://www.wsj.com/articles/ford-scraps-plan-to-import-china-built-small-car-due-to-tariff-cost-1535729401?redirect=amp

      From the article linked above:

      Ford Motor Co. F -2.27% has ditched plans to import its Focus compact vehicle from China to the U.S., citing an expected hit from import tariffs the Trump administration put into effect in July.

      The U.S. auto maker had planned to begin shipping a new version of the Focus from China, starting in the second half of 2019. But a new 25% tariff upended the economic case for the import plan, said Kumar Galhotra, the company’s head of North America.

      Ford will instead discontinue the Focus nameplate for the U.S. market after selling down the current supply.

      The tariff made it a “very difficult business case for us, so we’re choosing to deploy these resources elsewhere,” Mr. Galhotra told reporters during a conference call Friday.

      Mr. Galhorta said Ford didn’t seek a tariff exemption for the Focus.

      Mr. Galhotra said the decision would have “marginal” impact on the auto maker’s future sales in the U.S., where Ford plans to increase the number of nameplates it offers to 23 within five years—from 20 today—despite plans to eliminate several car lines. Ford has said it would add more trucks, SUVs, and electric and hybrid models to respond to consumer demands.

      Liked by 16 people

    • Minnie says:

      VSSGPOTUS 🦁

      Liked by 7 people

      • Charlie says:

        Reading about deals negotiated, regulations cut by POTUS all accomplished in less than two years, America’s politicians look like idiots! What the he!! do they do after they fleece their donors? Politicians look weak, incompetent and un-American. POTUS is dragging them kicking and screaming back to the American people. What a sight to behold.

        Liked by 3 people

    • Rhoda R says:

      Don’t forget that Pakistan is losing mucho American dinero and China will be expected to cover the loss.

      Liked by 5 people

      • MVW says:

        America has been subsidizing World Socialism by many tricks.
        Tariffs, VAT taxes, Free Military protection, and recently taking their cast offs through ‘immigration.’

        Trump is changing that. Once changed the ‘Big Dream’ will look like Venezuela and Cuba.

        Liked by 2 people

      • David Owens says:

        Actually, I think the Russians are stepping in there. Better them than the Chinese.

        Like

  4. J Gottfred says:

    “This economic structure, and the reality of China as a dependent economic model, also puts China at risk from the effects of global economic contraction. But more importantly it puts them at risk from President Trump’s strategic use of geopolitical economic leverage to weaken their economy.”

    This is Xi Jinping’s Achilles heel. Oh wait Greek history is not taught in China…

    Liked by 9 people

  5. Curry Worsham says:

    Justin from Canada:
    Pay attention.
    You’re next.
    November.

    Liked by 11 people

  6. dutzie60 says:

    Why is the discussion of One Belt One Road banned in Beijing?

    Liked by 2 people

    • Cal says:

      Because naming it draws more of Trump’s attention.

      Like

    • nightmare on k st says:

      if you are building roads, bridges, train tracks and sea ports in TimbukTu and laying off workers at home in China, some folks might be unhappy foreigners are “gettin’ it” ahead of them, you know where charity begins

      Liked by 3 people

      • cripto says:

        There is no censorship on Belt and Road, except the usual kind, positive reports as it is Emperor Xi’s signature global project with Chinese characteristics. Read any Chinese newspaper. Loads of BnR articles. And some questioning whether it should be scaled back in wechat, weibo posts and from Chinese think tankers all online.

        What HAS been censored is any discussion of the tariff war with the US and the “Made in China 2025” in June. That is, as someone said above , because China does not want to skew its negotiations with the US over the tariffs.

        Here is a translation of the directive from the Ministry of Truth:
        Three “Don’t Relays”: Don’t relay comments from Trump, from U.S. government spokespersons, or from U.S. officials. Don’t relay U.S. news reports or commentary on the trade conflict without waiting for response from the Ministry of Commerce.

        The China Securities Regulatory Commission will soon organize experts to lead the chorus in stabilizing market expectations. The next step will be for the People’s Bank of China to take to the stage with substantive policy moves to boost high-quality economic development.

        [Vice Premier] Liu He has indicated that this stage of the U.S.-China trade conflict requires calm and rationality. Each department should strengthen its contribution to the stabilization of market expectations. We stop negotiation for now, acting tit for tat, roll out corresponding policies, hold public opinion at a good level without escalating it, limit scope, and strike accurately and carefully, splitting apart different domestic groups in US. The trade conflict is really a war against China’s rise, to see who has the greater stamina. This is absolutely no time for irresolution or reticence.

        Don’t attack Trump’s vulgarity; don’t make this a war of insults.

        Note different implementation stages in the breakdown of the [U.S. tariffs on Chinese exports worth] US$50 billion: levies on the $34 billion from July 6 are highly likely to happen. Levies on the remaining $16 billion will be considered on July 13, and take effect at the beginning of August, if approved.

        All media should prepare well for protracted conflict. Don’t follow the American sides’ fluctuating declarations. Play down the correlations between the stock market and trade conflict.

        Second, other matters:

        Give prominence to reports on economic bright spots and developments, showing our economy’s prospects for continued steady improvement. Emphasize economic reports using important page placement and timing. Interview experts recommended by each department; websites and Weibo and WeChat accounts must emphasize suitable forms of network propaganda.

        To re-emphasize: do not make further use of “Made in China 2025,” or there will be consequences. (June 29)”.

        A few recent items on the effects of the tariff war, I read an item (in Chinese) that recommendations have gone out to pig farmers nationally that protein feed (soybeans) for swine should be reduced by 2%. Gee whiz I wonder why? Also there may be fewer pigs to feed (main protein source for the pi-ren) because the swine flu epidemic is spreading. Now that story has recently been censored.

        (I think it’s on page___ of 1984, LOL).

        Liked by 4 people

  7. Time for the Trump Administration to RAISE the STANDARDS for labeling products “MADE in USA”!

    Time to MANDATE product labels to state “MADE with STUFF from CHEATING CHINA” until (1) they have terminated and made reparations for THEFT of IP and (2) Trump has CERTIFIED China Compliance with a new Bileteral Trade Deal.

    Liked by 13 people

  8. Minnie says:

    Excellent, Sundance, thank you!

    “A stronger opponent is an economic opponent with a more broad-based stable economy, that’s US”

    President willing to fairly negotiate – no bully is he.

    He wants America First.

    Other countries would do well to follow his lead for the sake of their own economy and prosperity – China First, etc.

    China, Canada, etc. best wake up soon.

    To paraphrase a prior Sundance quote – Actions (or lack thereof) have consequences.

    Liked by 9 people

    • AMLO got the memo:
      Made “MEXICO FIRST” to cut a comprehensive Bilateral Trade Deal.
      Sagely decisive leadership.
      Rare.

      Liked by 13 people

    • wheatietoo says:

      “Other countries would do well to follow his lead for the sake of their own economy and prosperity – China First, etc.”
      _____

      They already have been, Minnie…for the most part.

      That’s why they have all been taking advantage of the foolishness of our previous leaders.
      Or…I should probably say…our previous corrupt leaders.

      These other countries are being hypocrites when they wail and complain about the US finally doing to them, what they’ve been doing to us for decades.
      Except for the cheating.

      Our President and his Wolverines will not be reciprocating on the cheating that other countries have been doing.
      That would be stupid…and our VSG & his team are not stupid.

      Liked by 8 people

    • noswamp says:

      “Other countries would do well to follow his lead for the sake of their own economy and prosperity – China First, etc.

      China, Canada, etc. best wake up soon.”

      This is what kills me. China keeps on playing games, and using lobbyists as if the old paradigm still existed. China SHOULD JUST WAKE UP!!! The games are over! You will never be treated as you were before. Our corrupt politicians are resigning and leaving in droves, and new Trump supporting politicians will soon be in place. Be honest with your own country China. And let Trump be honest with his country, the USA. The playing field is now even. Make your move China, and think long and hard about the consequences of your move.
      MAGA

      Liked by 1 person

      • Jake says:

        China is waiting for the midterms before coming to the table in earnest. If things go our way, they will have a very weak hand to play. Doesn’t look like they have any other options short of war at this time..

        Liked by 2 people

  9. Alison says:

    We need a new Mt. Rushmore for President Trump’s Wolverines.

    Liked by 15 people

  10. jnr2d2 says:

    As I previously stated:
    Trump secures the Mexico deal to leverage Canada, China, Europe and Japan (Korea was smart and agreed earlier). Canada probably doesn’t sign maybe ever, or they wait to see what Europe does, and maybe even waits till China sees the light.
    However, China may try to wait out Trump till 2020, but Europe will cut a deal, even though their AG protectionism is every bit as bad as Canada! Japan probably gets done too. We work on India further pressuring China.
    Now, China thinks maybe they can form an economic pact with Russia, Turkey, Pakistan, and Iran on their now skinny “Belt and Road”!!! Might as throw in Venezuela to, and Argentina, and all other ‘miss-fit toys’ whose currencies have been collapsing since 2010, and have accelerated this year!!! The POOR trading with the POOR, with , relative to the US dollar, worthless (and un-trustworthy ) currencies!! Great strategy for economic success — NOT!!!

    And if we really want to show China whose boss — we do Taiwan as MFN deal, even implying no more one China policy!! No more need for that securing supply line stuff — might as well pull back off the south sea islands! As the Beatles sung — Get back, get back, get back to the USSR!!!

    In chess, you always hold your opponents most valuable assets hostage by your attack. The faster you freeze his positions — he never sees check mate coming till it’s too late!!!

    Liked by 9 people

    • “Taiwan MFN Deal” … replacing China.
      W.O.W.

      Liked by 9 people

    • Dear China,

      You’ve illegally built bases in the South China Sea, destabilizing regional and international shipping security.

      America will immediately implement a Bilateral Defense and Trade Pact with Taiwan, to include basing an American Fleet and a new Southeast Asia Command there.

      Liked by 10 people

      • P.S.

        We admire your ability to effortlessly handle the challenges you face in keeping your expanding military and shrinking economy going at the same time, while sustaining the standard of living for a billion workers facing pay cuts and job losses.

        Fortunately for you, the size of your economy and strength of your currency continues to provide the financial support and stability needed by your allies in North Korea, Pakistan, Afghanistan, Iran and Venezuela as they tighten their belts along the rocky Silk Road to success and prosperity.

        America looks forward to the day that we can form the Bilateral Trade Deal that we have agreed is needed, once our Trade with China has come back into Balance and the world’s concerns over Cybersecurity, Industrial Espionage and respect for Intellectual Property have been put to bed.

        Your friend,
        PDJT

        Liked by 12 people

      • emet says:

        Base a fleet in Taiwan? Need to reopen the cribs in Wan Hua 萬華.

        Like

      • Mike says:

        Actually the weakest military segment in South China Sea is the Philippines. We should retire more old ships there.

        Liked by 1 person

  11. Stillwater says:

    Alternate post title:
    PANDAmonium breaks out in bamboo forest as Chinese manufacturing growth slows to 14-month low.

    Liked by 30 people

  12. Marygrace Powers says:

    China’s “New Silk Road” Project Hits Debt Jam/

    by Tyler Durden
    Sun, 09/02/2018 – 22:00

    “President Xi Jinping’s “Belt and Road” trade infrastructure project could be hitting significant bottlenecks as some countries begin to sound alarms regarding the massive debt loads their governments are incurring.

    Xi first announced the trade initiative also known as the “New Silk Road” in 2013, which needs more than $26 trillion of infrastructure investment by 2030 to keep regional economies expanding. The project includes railways, power plants, ports, highways and other projects across the world, with Beijing providing billions of dollars in credit to drive these schemes.

    Xi said China’s trade with Belt and Road countries had exceeded $5 trillion, with outward direct investment surpassing $60 billion.

    Already, some Chinese-led projects have experienced high levels of complaints that they are too expensive and give little work to local contractors. In response, some governments including Thailand, Tanzania, Sri Lanka and Nepal have halted, scaled back, and or renegotiated projects with Beijing.

    In August, Malaysia’s Prime Minister Mahathir Mohamad canceled various projects including a $20 billion rail system he said his country could no longer afford.

    Recently, Pakistan’s new prime minister, Imran Khan, has vowed more transparency amid fears about the country’s ability to repay Chinese loans related to the China-Pakistan Economic Corridor.

    Last December, Sri Lanka had to sell its controlling stake of Port of Hambantota to a Chinese state-owned finance firm after it almost defaulted on a $1.5 billion loan from Beijing…..

    ….Five years into China’s debt-fuelled “New Silk Road” initiative across many countries in the Eastern Hemisphere, it seems as a handful of governments are mounting complaints against Beijing for inducing a debt trap that strips their countries of its critical assets.”

    https://www.zerohedge.com/news/2018-09-02/chinas-new-silk-road-project-hits-debt-jam

    Liked by 17 people

  13. fleporeblog says:

    Folks the Chinese are seeing all their schemes being destroyed by the Atomic Sledgehammer of Truth! Ole Xi will have to decide in the very near future whether he wants to hold onto North Korea or whether he wants to destroy his paper economy. He CAN’T have both!

    PDJT continues to drive the Dragon 🐉 crazy 😜. Xi knows damn well that as PDJT finalizes the trade deals with Mexico 🇲🇽, the European Union 🇪🇺 and Japan 🇯🇵, China 🇨🇳 will see a reduction of 3% to 4% to their real GDP rate!

    There is a cause and effect to our GDP and theirs. By squeezing them already with tariffs of 10% on the first $34 billion plus 25% on another $16 billion coupled with the proposed 25% (in a week or so) on the next $200 billion and what I believe maybe

    as high as 50% on the remaining $250 billion, PDJT is swinging our GDP up and killing China’s GDP.

    Let’s look at the math:

    USA 🇺🇸 Tariffs on China:

    $34 billion x 10% tariffs = $3.4 billion dollars to our Government

    $16 billion x 25% tariffs = $4 billion dollars to our Government

    $200 billion x 25% tariffs = $50 billion dollars to our Government

    $250 billion x (being a bit conservative) 37.5% tariffs = $93.375 billion dollars to our Government

    China 🇨🇳 Tariffs on USA:

    $34 billion x 10% tariffs = $3.4 billion dollars to their Government

    $16 billion x 25% tariffs = $4 billion dollars to their Government

    $60 billion x 25% tariffs = $15 billion dollars to their Government

    $40 billion x (THAT IS ALL THEY HAVE LEFT) 37.5% tariffs = $15 billion dollars to their Government

    That totals $150.775 billion dollars in tariffs for our Government versus $37.4 billion dollars to their Government.

    That shrinks the trade deficit by $113.375 billion dollars a year.

    What does that mean for each country’s real GDP rate?

    Just last Quarter we shrunk the trade deficit by $53 billion dollars and it added 1.16% to the 4.2%.

    Please keep in mind with my math above, China 🇨🇳 and the USA 🇺🇸 brought in the same $7.4 billion in tariffs. They washed each other out.

    However, going forward, that isn’t the case! Your talking about an additional 2.32% real GDP rate for each year using the tariffs on China 🇨🇳and them losing that same percentage.

    Our President is absolutely right that WE CAN’T LOSE!

    Xi realizes HE CAN’T WIN!

    Liked by 11 people

    • Marygrace Powers says:

      China’s Economy Worse Than It Seems – Even Before Trade War Bites/

      PUBLISHED : Tuesday, 31 July, 2018, 5:02pm
      UPDATED : Wednesday, 01 August, 2018, 10:45am

      “Analysis of provincial figures indicates growth in many parts of the country may be less robust than the headline figures suggest.”

      https://www.scmp.com/news/china/economy/article/2157638/why-us-trade-war-not-only-cause-concern-over-chinas-economy

      China economy showing cracks even before the SHTF.

      Liked by 11 people

      • Seeing any data on changes in Purchase Orders for Chinese Manufacturing & their Suppliers?
        • Quantity Reductions
        • Postponed Deliveries
        • Non-Renewals
        • Cancellations

        How about Inventories?

        History shows in SPADES how over-ordering creates an incredible WHIPLASH EFFECT:
        • Inventories accumulate in geometrically-larger quantities as you move up the Supply Chain during a period of order growth with insufficient production capacity and response time
        • Delayed Response time for Cancellations compounds at each stage of the Supply Chain. Action requires “suspension of logical disbelief”.
        • This is human nature in America. Survival will drive it in China.
        • This leads to MONTHS of Idle Inventory at each stage until Demand consumes it
        • Plants go idle until Inventory is consumed.
        • Uh Oh: America’s demand is disappearing.
        • Those Months of Inventory can become YEARS.

        It gets worse:
        • The Workforce goes unemployed and migrates to ANY areas with opportunities.
        • Migrating Workers flood the market wherever there is work.
        • JUST as ILLEGAL ALIENS did in America, that flood causes Local Wages to plummet.
        • Workers who quit then migrate elsewhere, spreading the Wage pain nationwide.
        • If and when the Plants restart, the entire Workforce needs to be rebuilt from scratch.
        • Entire Supply Chains need to be rebuilt.

        Short Story: China’s SCREWED … as posts above have already predicted!

        Liked by 9 people

        • Edit to third bullet up:
          • Workers displaced by Migrants then migrate elsewhere, spreading the Wage pain nationwide.

          Liked by 3 people

        • Tim says:

          Worker Migration is easy in the US — no internal population controls. China? Nope. If you are a Chinese national, you can’t just decide one day that you want to move for some other job… the government controls whether you are allowed to do that. Most US folk don’t grasp that Chinese provinces are cobbled together much like the old Soviet Union… many sub-groups are restive. (Some reports say CCP has moved 1 -million- Urgur Muslims to “re-education” camps.) Q: why would they be doing that? A: because they’re deathly afraid of -internal- upheaval. China’s external-facing bellicosity has long been geared for domestic audiences, to rally them nationalistically against the common outsider “foe” … and keep the restive internal groups from fomenting internal upheaval. If China’s economy significantly contracts … hmmm …. that could get quite dangerous. :-/

          Liked by 5 people

          • Will China allow layoffs or just cut wages for everyone?

            What happens to laid off workers and their families?

            Mao’s back-to-the-farms solution?

            Mao’s extermination solution?

            How will SJWs justify buying Chinese?

            If they did, does that support labor camps or extermination for those without jobs in ANY COUNTRY?

            Liked by 1 person

          • abdiesus says:

            And remember it’s not just the unemployment vector which will be fueling this! Add to this the inevitable eventual collapse of the artificially-government-supported Chinese real estate bubble, which, for many Chinese, holds their entire retirement and life-savings, and you have the makings of massive grass-roots internal upheaval.

            Liked by 5 people

            • Jayne gilmore says:

              Also, saw a documentary on how all those ghost city projects used inferior building materials so they are already crumbling. So what happens to those investments ? They can’t sell a crumbling building.

              Liked by 1 person

    • Minnie says:

      ⭐️⭐️⭐️⭐️⭐️

      Liked by 2 people

    • Flep, you’ve gotta love how President Trump DIRECTLY LINKS shrinking the Trade Deficit to shrinking Unemployment for MINORITIES & WOMEN.

      Liked by 11 people

    • Kevin Hemminger says:

      In reality, if tariffs kick in, the money wouldn’t come in the form of imports from China … because it would no longer be profitable to import from China.

      The money would come from companies realizing this and then building in the US instead of China. That would lower unemployment and raise wages to the point it’s likely worth well over 50 billion.

      Liked by 2 people

  14. Plain Jane says:

    This is a fun thread.

    Liked by 17 people

  15. Elric VIII says:

    China is entirely dependent on the United States. Without the U.S. they are foundering. President Trump knows this, and when China admits to the economic situation, the world will be a much better place.

    Liked by 2 people

  16. redline says:

    I don’t now, and may never, own a motorcycle (who knows?) but I sure would like to see Harley-Davidson re-evaluate their corporate policies, and commit to American content –

    American steel
    American aluminum
    American polymers
    American leather
    American paint
    American labor

    But it would be expensive. I doubt it will ever happen.

    Liked by 3 people

  17. emet says:

    China levies an export duty. Be interesting to know how much this revenue stream has dropped.

    Liked by 1 person

  18. tunis says:

    What is Walmart gonna do when tariffs ratchet up again? And what will Walmart shoppers used to everyday low prices do?

    Like

    • MVW says:

      We used to get low prices at Walmart from American made products. That will return.

      Liked by 2 people

    • cdquarles says:

      I don’t know about other parts of the USA, but the Walmarts near me all have American made products in them. You’d be surprised about that, if all you knew was the stuff published by the media.

      That said, let me remind some that part of why we got here is that there was a period of time when American made stuff far too often was expensive crap. People will pay a premium for quality; but if you don’t deliver it, they will go elsewhere. During that time, the imports were often not only of a better quality, they were less expensive, too. Since the imports could be screened, they’d send their best stuff here and people began to assume that imports were better than US products. That is changing now, in a direction favorable to Made in the USA. I am a very happy greybeard granddad, for that.

      Liked by 2 people

      • Jayne gilmore says:

        I have been watching the quality of Walmart clothing go down for the last 25 years. Stopped buying the last 5 because there is no comparison now to what they used to sell.

        Like

  19. tunis says:

    I am in the market for a gas bbq grill and was surprised that Weber grills are made in China. Any suggestions for a US made grill?

    Liked by 1 person

  20. wolfmoon1776 says:

    Very important Twitter thread on bad prescription drugs from China. I have some side-posts talking about the nasty chemical they found, which has been used for MURDER at higher doses.

    Liked by 5 people

  21. baggywrinkle says:

    what a great site this is, thankyou everyone for your input
    i cant wait till the secret tech is rolled out, it will be absolutely amazing to the usa economy, in fact i would say staggering ….world changing
    then the patent wars can begin against the east, the best bargaining chip ever, maybe better than gold

    Like

  22. Elizabeth Carter says:

    As China’s economy contracts, they will need money. I would love to see the US take/buy our Ports back, our airports, buildings, farm land and anything else we can work out. I think we also need to close down the free trade zones inside our country. Is there any reason this would not be in our best interest as our economy grows and China’s contracts?

    Another question: If Mexico has already signed on to China’s TPP11, will that be a problem for our Bilateral Trade Agreement with them?

    Liked by 3 people

    • pyromancer76 says:

      This is a must. And not just from reasonably buying out China. This is national security. I think China must be told “you leave.” We will give you fair compensation, but you don’t operate in the U.S. anymore. By the way, did we tell you we found out we can’t trust you? Mend your ways and the outcome might be different.

      Also, any legal minds on the legally binding nature of TPP11 for countries that signed, esp Mexico? How binding? Who enforces? What are the penalties for non-compliance? It certainly sells the soul of each country to the highest bidder, oh, uh, I mean to say to the good One World Order.

      Liked by 4 people

    • svenwg says:

      As far as I am aware, China 🇨🇳 is not as yet signed onto TPP11 but if they do I am sure that President Trump will have a plan to stop China back dooring any of their goods into the USA 🇺🇸.

      Liked by 1 person

    • Chuck says:

      “Another question: If Mexico has already signed on to China’s TPP11, will that be a problem for our Bilateral Trade Agreement with them?”

      Not for the US.

      Liked by 1 person

    • Maquis says:

      We need to reclaim the East and West entry ports to the Panama canal, the ones Carter abandoned and that Clinton allowed the Chinese to buy from the hapless Panamanians. Now the Chinese are trying to get a foothold further inland.

      We built it, it’s our backyard and our security, take it back.

      Or build another, digging with nukes, and say “oh well” when the tremors collapse the neighboring Panama Canal.
      Bet our new Buddy AMLO would dig hosting such a project.

      GBPDJT
      🇺🇸

      Liked by 1 person

      • jnr2d2 says:

        Yes, between Veracruz and Tabasco on the Gulf, and on the Pacific near Salina Cruz, south of Oaxaca. Great for Mexico (construction workers, and cities growth near by) and importers coming from the Pacific can by-pass those expensive California ports owned by the Chinese. And our new oil exports head towards Asia less expensively. A twofer! Make American Ports (in the Gulf) Great Again! MAPGA. Rejiggers the world MAP!!

        Liked by 2 people

  23. mr.piddles says:

    Xi is gonna have to start building condos and golf courses on those fancy man-made islands he invested in. Lease one or two to Disney Corp. or something. Maybe Trump Inc. could offer to invest capital in some luxurious resorts. Would probably have to go through ethics review, of course.

    Like

  24. TwoLaine says:

    We had a dinner table discussion this week on a food processor I was given a few years ago for Christmas. It only came with two attachments for slicing,. etc., and we are down to one because the removable plastic piece that the one blade provided is supposed to rest on disintegrated on us.

    To replace this piece of crap plastic with another piece of crap plastic will cost at least $18-$19, not including shipping.

    The plastic workbowl is also cracked, fortunately at the top, so it can still be used.

    I mentioned that this is clearly a Chinese racket. They make a piece of crap and sell replacement parts just like the 1st one tomake it usable again. It’s a Black & Decker made in China.

    I’ve used plenty of B & D tools before and never had them fall apart on me. This is supposedly a kitchen tool. My mom had mixers that got much, much, much, much, much more working time than this processor and they never ever fell apart.

    I remember the 1st processor I ever bought. The engine stopped working probably the 3rd time I used it. Another piece of crap made in China.

    Liked by 1 person

    • An American says:

      TwoLaine, to go along with you, we have a Cuisinart (made in China) coffee maker. Started leaking in the bottom, investigated and found has two silicone hoses that transfer water from tank to heater than pot. The hoses degraded over a period of time due to the heat. Contacted Cuisinart, their reply, “we don’t sell parts buy a new unit”. Needless to say, I repaired it, still making coffee on it.

      Liked by 1 person

      • TwoLaine says:

        BRAVO to you! That’s American ingenuity and that’s patriotic. Very GREEN too!

        Reminds me of the fairly new toaster that the piece of tiny thin metal on the bottom, expecting to be a crumb door clasp, broke off. It was so cheap it’s unbelievable. I’ve seen much better quality metal in aluminum pop can tabs. I fixed that too, until the internal heating went out. Cheap crap, mostly plastic. No quality, or forethought.

        Yup, it’s a racket that we need to Just Say NO to. Made in the USA requires standards that are actually overseen. Products from China apparently have none. You might be able to get it cheaper, but how long will it last, and how many will you have to buy?

        Like

    • There are good online parts stores that have helped me keep a number of items running over the long haul. Usually I start by searching for the part number and see which sites pop up. (I have been using startpage.com for non-goolag searching.)

      Like

  25. After his 1978 visit to Japan, Deng Xiaoping made a fateful decision. He decided to emulate the Japan model of export economy first, with domestic demand to follow at a later time. This suited the CCP just fine as the postponement of in-border prosperity assured the postponement of political competition –a phenomenon that would invariably arise with a more assertive population.

    Alas China is not Japan in at least one crucial sense. It has 10x the population. So, creating such an industrial dynamo while retarding the requisite domestic consumption needed to help absorb the industrial output set up an overproduction crisis at some future time. The elephant dare not attempt what the mouse does in its sleep.

    It also unleashed a global deflationary wave. Part of this strategy involved not repatriating the yuan as doing so would cause a rise in that currency’s value, making exports less attractive. So, China’s export profits were parked in America’s debt, contributing to the housing debt crisis. Chinese workers effectively worked for decades without enjoyong the full benefits of their hard work. The Eurasian BRI initiatives and domestic demand stimulation are simply too late-arriving to buffer China what imo is significant political reform/turmoil. The political can simply can’t be kicked down the road any longer. Trump & Co. are putting in play the internal contradictions of an emerging capitalist powerhouse presided over by a Marxist vanguard.

    China is a huge FDR-esque make-work project where economic decisions are really crowd-control measures in disguise. The sole objective is to keep the masses at bay (with their noses to the grindstone) which minimizes challenges to the absolute power of the CCP. Shuttered factories is the CCP’s worst nightmare.

    That imo is the political rationale behind what SD calls the “least balanced economy in the modern world”. It’s profound state of unbalance results from a Machiaveliian political decision made long ago.

    Liked by 4 people

  26. IrredeemableDeplorable says:

    Went to Home Depot to buy a ceiling fan and found they are all made in China. Then went online to search for “Made In America” and found one company. Sad.

    Like

    • The industrial repatriation Trump is attempting is not a one-business cycle phenomenon. I think POTUS (or Navarro) has said as much. Tariffs offer domestic industry a breathing spell, a reaction time and an implicit assurance that revised trade policy ‘has manufacturers’ backs’ to put up off-setting industrial capacity. US-made fans can’t materialize overnight. Product substitution requires capital investment, an intermediate term occurence.

      Liked by 1 person

  27. Brian P.T. Blake says:

    President Xi’s plan to control neighboring countries by enticing them to assume enormous Chinese debt that they can’t repay may be about to backfire. As the value of the Chinese yuan sinks, foreigners’ debt becomes easier to repay. Xi will have loaned out trillions and will get back only a fraction of his investment, but it’s still on Beijing’s books at par. When this asset is marked to market, by necessity, the purchasers of the bonds that funded it will lose their shirts. These are the oligarchs who keep the Chinese Communist Party in power. Not good for Mr. Xi.

    Furthermore, China’s GDP statistics are phony, as in all dictatorships. The economy appears to be overvalued by 20% or more. If so, then the ratio of national debt to GDP may be as high as 400%, not 300%. As U.S. tariffs reduce GDP, XI’s financial crisis could come sooner thn anyone expects.

    Liked by 2 people

  28. Maquis says:

    Can’t stop the Bleed!
    😈

    Liked by 1 person

  29. Richard Orberson says:

    Never in the history of mankind as a socialistic venture ever competed well the capitalistic venture.

    Like

  30. Bogeyfree says:

    Think about this..

    Today America is the spokes of the wheel, connecting, being the strength and key support to the wheel or in this case all other countries due to its incredible economy, currency, innovation, strength, leadership and freedoms.

    So imagine if the socialist take over in the US and their flawed policies destroy all of the above and thus it destroys the spokes within the wheel.

    IMO the world then collapse as well with corruption, manipulation and evil ruling the day.

    God truly put America in place for a reason!

    Liked by 1 person

  31. MagaKathryn says:

    President Trump has done something else, which I really feel will help a lot of middle class American’s that sell on-line. This is being completely ignored (which is good). He’s fixing our USPS with regards to international small packet shipments (up to 4.4 pounds). Currently China is on the list of “third world” countries that ship those small packets to the U.S. free of charge – one of the reasons our postal system is going bankrupt and has been a disaster for Americans who sell on-line.

    Simply put, President Trump is ending that practice and has directed the UPU to set up comparable pricing and TRACKING of in-coming international small packets. No more free ride …. think Amazon, eBay, etc., and all those thousands of Chinese, Vietnamese, Taiwan, India, etc., sellers that ship millions of packages of junk (and drugs) to the U.S. every year …. buy something for 99 cents with free shipping? Just another one of Obama’s policies towards globalization that was destroying Americans.

    Liked by 2 people

    • Donna in Oregon says:

      Thank you Katherine for the timely information. I just paid .50 for a postage stamp and thought “wow” it’s really gone up! I didn’t realize how screwed Americans have been until I saw your post. So now I get how the taxpayers have been subsidizing Amazon etc.

      Looked up in Forbes and presto here’s the answer:

      “However, it’s actually no secret as to how the Chinese are able to ship products abroad so cheaply. The reason is actually rather simple: They receive subsidized postage rates.

      But before you scoff and think this is just another example of Beijing disrupting fair trade and tilting the tables in support of their domestic producers, please realize that you’ve pegged the wrong government to be the recipient of your complaints. These super low shipping rates are being subsidized by the U.S. Postal Service. Yes, the United States and, in a roundabout way, the U.S. taxpayer is footing the bill so that Chinese merchants can ship their products to the USA for dirt cheap, essentially losing millions to support a dynamic where domestic American businesses are being undercut by foreign merchants who are immune to any and all intellectual property and consumer safety laws.”

      https://www.forbes.com/sites/wadeshepard/2017/11/05/how-the-usps-epacket-gives-postal-subsidies-to-chinese-e-commerce-merchants-to-ship-to-the-usa-cheap/#6696accb40ca

      Liked by 3 people

      • Donna in Oregon says:

        Sorry, my mistake, To: Kathryn

        Like

        • MagaKathryn says:

          I’ve sold on-line (eBay) for years. It’s been one of the biggest complaints by U.S. sellers for years…. just us simple folk trying to make some money and being undercut by countries like China that get to ship here for free, making it impossible to compete. It’s insanity and another failed Obama policy that no one seems to know about.

          Thank God for President Trump! I never believed this would ever be changed.

          Liked by 1 person

  32. 6x47 says:

    So solly prease for wreck China economy – NOT!

    Like

  33. Donna in Oregon says:

    The Chinese will probably create some sort of crisis and short the market to make a buck off the USA.

    Same strategy as that guy that poisoned Tylenol.

    I’d be watching out for poisoning by the 800 lb Panda.

    Life (like their currency) is cheap to the Chinese government.

    Like

  34. Zippy says:

    It’s now or never. Let’s do our best to get the fat little Chicom Party oligarchs hanging from lamp posts in Tiananmen Square.

    President Xi’s Nightmare, Instability

    https://www.forbes.com/sites/stevehanke/2018/08/29/president-xis-nightmare-instability/#6a6307bb68fa

    …the current level of domestic demand is below its trend rate, and the Economist Intelligence Unit projects that nominal domestic demand is headed down. Other important indicators confirm that the slowdown has already taken hold. The elephant in the room, China’s infrastructure build, has already ground to a halt.

    The prospect of a slowdown was apparently too much for President Xi to bear. So, he ordered the authorities to loosen up on the monetary squeeze. The pretense for this change was the U.S.-China trade war. But in reality, President Xi’s change of heart has more to do with the dramatic surge in bankruptcies and sharp reduction in infrastructure investment, which has fueled much of China’s growth.

    We will have to wait and see whether President Xi’s gamble will pay off, or whether it’s too little, too late. At this point, the only thing we know is that exchange-rate flexibility has spawned imbalances and instability, Xi’s nightmare.

    Liked by 1 person

  35. fractionalexponent says:

    Wonderful news about Trump’s trade wolverines.
    Abolishing NAFTA/TTP/Iran nuke “deals” etc.
    A couple wolverines installed 7th floor DOJ/FBI could do wonders…
    Hoping…Praying…

    Like

  36. L. E. Joiner says:

    The Chinese have one potential ace in the hole. If their economic and/or political situation gets too dire, they can launch the invasion of Taiwan their military has been preparing for. Taking over Taiwan’s economy could be a huge boost to China’s own, and the rulers can use the adventure to galvanize patriotic sentiment as well.

    Are we willing and able to defend Taiwan, short of threatening nuclear war? I don’t know, and I haven’t heard it discussed lately. Are our heads in the sand? /LEJ

    Like

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