It’s not complicated, but several have asked, so here’s the elevator speech. This is what WILL happen with a Trump victory. It’s not a “might” issue, it’s a will happen.
MAGAnomics Simplified: Everyone who is a pragmatic critical thinker knows that China will (a) subsidize their targeted industries; then (b) devalue their currency to lower the impact of exports to the USA. Beijing controls the banks, and they did this before. As a result, the dollar value increases and imports cost less.
The Chinese imports then enter the USA at a lower price consistent with their cost estimate as a tariff offset. China takes in a lower price but retains access. That’s just how it works. The importers pay the tariff with a lowered price and a higher valued dollar. Essentially statis for the time being. Then…..
EU industrial products to Chinese manufacturing plants start to contract, due to China’s aggressive cost cutting initiatives.
The EU gets angry about the impact to their economy. The EU then follows the same path and devalues their central bank currency; further pressuring the dollar to an upward price. Exports to the EU are now more expensive; however, imports from the EU to the USA are now cheaper. Again, the EU goal is statis.
Both scenarios create cheaper USA imports despite the tariffs. However, on the EU side Trump then ends the Marshal plan and executes “tariff reciprocity” against the EU. More frustration and gritted teeth by Brussels.
[NOTE: Avoiding this squeeze also explains why U.K PM Starmer was all snuggly to Trump at Trump Tower a few weeks ago – he’s hedging.]
Exports from the USA ultimately cost more because the dollar is stronger against EU and Asia currencies. However, a stronger dollar is an offset to BRICS leverage and allows Trump to play economic chess.
Trump uses part of the tariff income to underwrite agriculture exports, but… here we have fun… if agriculture exports are impacted, domestic foodstuffs drop in price.
Into this dynamic Trump turns to Mexico. We have a strong dollar, all those Western Union transfers to Mexico are more valuable. Leverage is created for multiple ancillary policy benefits. The economic situation then overlays the secure border dynamic and if Mexico wants to retain trade access within the USMCA agreement, the part that no one discussed comes into play.
Unbeknownst to all those except those who watched Robert Lighthizer do it, the USA has first right of refusal to any trade agreement made by Mexico or Canada. That’s correct, Trump now controls a veto on trade agreements within USMCA partnered countries. Suddenly Xi Jinping is vulnerable in Mexico if Trump nixes the EV production. Beijing is financially exposed and vulnerable. Big Panda not happy.
How do we know this will happen? Good question.
Answer: #1) This is what Trump did in 2017. #2) Because he said this is what he is going to do.
Trump will divide the globe into three trade areas. Asia, Europe and the Middle East. Each area will have a trade advisor with specific instructions on that region.
The U.S. Trade Representative (USTR) will likely have primary focus on Asia, i.e. China. There’s no reason why Robert Lighthizer wouldn’t be called back into action.
The U.S. Commerce Secretary will likely have primary focus on Europe. Wilbur Ross is likely too old, retired; however, there are many other options for Trump to pick from.
The Mid-East trade advisor will come from the energy sector. Could be a former or current governor of an energy producing state.
Trump will lead 4 people in this initiative (the 4th is the Chair of the Council of Economic Advisors), while holding all the approvals of negotiation and policy very tight. Economic and trade policy will be used to create peace and global stability.
Warmest best,
~ Sundance
Thank you Sundance.
Now go and vote correctly and bring ALL Treepers with you.
God bless America
Love the clarity. Thank you.
Sundance, PDJT said in a rally a couple weeks back that he is going to exercise the six-year-renegotiation-option on USMCA, did you see that?
I’m eager to see what he has up his sleeve regarding the trade deal with our China bedded neighbors.
I needed to read this today
One of the most optimistic reads I’ve heard yet came from American Greatness writer Roger Kimball. He wrote: “We keep hearing that the race will be close. I think it will be like Patton’s Third Army racing across France in 1944.”
OT BUTT.
?
He means off topic of the subject matter of this post.
He can’t do anything about tariffs and China until President Trump wins first! LOL
Right? 😆 🤣 😂
Bad form, Maquis, you nattering nabob of negativity.
Alliteration at its finest!
My dad was in Patton’s 3rd and I concur, he would agree!
Thanks dad for your service and for being my dad
Also my FIL Eli was a Ranger under Pattons 3rd
He would also concur
RIP two seriously brave men who saved America and all of Europe
Ummm. The Russians might have a different view of who “saved” Europe.
Kind of a joint effort!
The Russians killed 8 of every 11 Germans killed in WWII.
Absolutely! Also, during WWIII 70% of the Japanese Army was fighting in China. The United States and the British fought the other 30%!
I must have missed that WWIII.
Also, the Russians fought the Italian Army, the Romanian Army and Dutch, Belgium, French and Polish Waffen SS Divisions in the German Army!
Absolutely. And they used weapons supplied by Americans to do that.
Not necessarily weapons, but definitely vehicles. So what you had the last 2 years was a contest between Detroit and German draft horses .. in the vast expanses of Russia and Eastern Europe
Gee… wasn’t much of that possible because American workers provided them with materiel?
Yes. Just read all the numerous posts I’ve just made re this “off topic” topic
Sheesh .. I can see why Sundance has a rule about going off topic
Perhaps even more than that. And Detroit gave them trucks to accomplish that. Which allowed Russians to do what they do best .. make tanks and artillery and rockets. It was a brilliant partnership
They both saved Europe from Nazism. The Americans, with some British help, saved Europe from Communism.
Much of the heavy necessary and quite expensive war materials Russia needed/used were supplied by USA.
Please factor that in.
My mother (a good Canadian) at age 20 donated her beaver fur coat to the effort.
In my increasingly cynical older age, I imagine some asshole stole the donated coat and sold it for a few good cases of whiskey. Perhaps not. But as I said earlier, I’m cynical.
A Trump Win would turn me around…a dozen times.
Probably got cut up and lined aviators’ helmets.
Clever!
The same Russians who signed the 1939 Non-Aggression Treaty with Hitler?
What a bunch of great guys! They did it all to save Europe!
The Russians suffered terrible losses during WWII. Just the same, those pigs raped and murdered everything that moved once the tide turned.
Legacy SoP from New Economic Policy days I guess.
Was that before or after the Germans actually raped Russian woman on their way to Moscow. Oh, yea and the Russians would eventually return that favor.
Read your history. Rape occurred on both sides. But mass rape was encouraged only by the Russians.
There are no records of mass rape by Germans occupying France and the low countries.
The Russians used it as a weapon of psychological warfare. Still do.
They know full well that the thousands of American convoys of weapons, ammunition, and food are what ‘saved’ both Russia and Great Britain from being overrun by the Axis, starting long before we were forced to enter the war by Japan.
Patton was magnificent, and he led magnificent warriors!
I thought that was Rommel after Patton read his book………….:>}
5 points for originality 😀
Yes me too. Gives us hope for our country and our future.
Got to keep our Patton safe!
I pray he is right. I have been watching Democrats steal elections since 1996 (B1 Bob Dornan in CA) with assistance from Establishment Republicans not making a fuss) so I admit I am nervous.
Yet another one of those slowly, then all at once scenarios — six weeks going nowhere in hedgerows, then breakout, then Falaise Pocket
Outstanding! Thank you! 👍❤️🇺🇲
Thanks for the analysis Sundance.
Pray. vote and pray 💪
And American producers start increasing production creating jobs for the new demands.
Brilliant.
Anyone notice the Globalist/Bankster created and controlled EU connection to China and how it is interweaved?
Who controls China? 👀
America 🇺🇸 FIRST.
This is bloody brilliant, innit? What strategic economic mastery- Sundance for Treasury!
Hear Hear!
Warfare it is (“Economic Warfare” as DJT will employ it) and a warning to our importer’s, as Harry Truman once stated, “Never kick a fresh turd on a hot day.”
Love hearing that over and over. And when Trump sits down to to talk to a financial podcaster, they look at him likes he’s from Mars because it’s not in their mind set.
So far they all seem to think a tariff is a tax.
Perhaps because they both start with the same letter?
I voted early in the Socialist Republic of NY. Upstate on the 3rd day of early voting here there were very few people on line.
I’m praying 🙏 so hard that PDJT wins convincingly so it’s too big to rig. I know that our Treepers are doing the same.
I’ve read that the Dems want to keep counting until Harris wins. Their typical cheat.
God Bless America 🇺🇸 and let’s win win win!!💁🏻♀️
Our numb nuts of a governor in CA stated that they will continue counting until December 30th (I guess they expects trunks of ballots to keep showing up- again).
so USA congress will continue to spend deficit and borrow
I would like to see a benevolent policy enacted toward those south of our borders.
I do NOT mean welfare (foreign aid) but encouragement to build up their own countries and so be less a push to relocate here. Help them build the capability to serve their own people.
Everything we need is in this hemisphere and is surrounded by a formidable moat.
I agree, mycroft. I have worked for CBN (Christian Broadcasting Network) for over 30 years, and our humanitarian arms, Operation Blessing, CBN International, and Orphans Promise, have done exactly that in many poor areas of the world — including Latin America, Asia, and Africa. They will give emergency food, water, and relief aid to poor families — but then they will analyze the situation of a family, and come up with a sustainable way for them to support themselves.
Sometimes it means drilling a well or installing a cistern in a village for clean water, so families are healthy, not wasting time going to a far off muddy pond for water every day that makes them sick, and they can plant crops and water them. Other times, they will go into an Indian village and offer sewing classes for the women — and a free sewing machine if they complete the class, with fabric and supplies to start a home sewing business. They have helped many Latin American families start businesses cooking and vending food in their villages — or taking a struggling family business and expand it so they aren’t living hand to mouth. They have also built sturdy small houses for single moms with kids that were barely surviving in a shack, and help them grow their own food.
Also, many kids end up in orphanages because their parents, single mom, or grandma raising them can’t afford to care for them. So they will set the family up with a chicken coop, a few chickens to lay eggs and breed, with feed and training to raise them. The family ends up not only raising food, but is able to sell the eggs, breed more chickens for meat and selling, etc. The family is now thriving, and they can afford to send the kids to school and break the poverty cycle.
Bottom line is that it’s smart philanthropy, and it’s like the old “teach a man to fish” strategy. I have often wished we could take this idea to the leaders of these nations and work with them to implement it on a national level. I also wish we could do this in many of our own American cities and poor neighborhoods. (I think the one obstacle to that would be the overwhelming amount of regulations, laws, taxes, and other hoops the govt makes small businesses jump through, even for a simple cottage business. It’s ridiculous.)
Great post and glad to hear it.
(I think the one obstacle to that would be the overwhelming amount of regulations, laws, taxes, and other hoops the govt makes small businesses jump through, even for a simple cottage business. It’s
ridiculousobscene.)Fixed it for you 😉
Ha – I receive that fix. Thanks! 🙂
This approach is used in many parts of Latin America and Africa. Once the livestock and supplies are able to get into the country, these areas don’t have as many regulations – you aren’t dealing with the US Government.
I remember a story a few years back where Mother Theresa tried to do something to help the poor in NYC. After several years the red tape won and she gave up.
Monstrous. Monstrous. Growing the very locust hordes that will soon devour us.
Our innate goodness has been turned as a weapon of our destruction.
Our gifts should only be given at ruinous cost, lest ye build this Tower of Babel.
That s awesome! God bless you!!
The leaders of these nations (to date) have only been interested in easy graft and corruption.
I have been a reader for years and you are the go to for indepth knowledge. Just want to say thanks for all the hard work and to let you know there are a lot of us out here who rely on you for perspective and getting to the truth!
Only 1 outlier here. We borrow $2T per year now, and McConnell intends to keep that up. The foreigners have to buy a chunk of that. China will stop now. The eurocucks might buy for now. Japan could slow. They slowed when Biden demanded they cease energy trade with Russia, so Biden shut up.
Borrowing and printing will destroy us. Trump knows this.
So does Elon.
😉
Elon Musk is Deep State.
Elon will help cut that two trillion out of the budget.
PDJT can make use of anyone to MAGA.
Elon Musk will continue to do what he does, stick his snout in the government trough and profit, and soak up cash from government subsidies for EV’s nobody wants, while helping Deep State build the Surveillance State enslaving us, while moonlighting to help his industry buds the CCP get their EV’s flooding into the US.
Trump trusts Elon. We trust Trump. Try to keep up Railer.
No, I highly doubt Trump trusts Elon Musk. He makes deals with thousands of snakes, and Musk is just one of them. Try to keep up.
Trump doesn’t trust. Trump makes deals that are mutually beneficial.
Our Constitution is based on trust and faith in God… but not in men. It is about the balance of power accepting that men are corrupt.
Big difference.
Musk has explained the subsidies error.
Exactly what subsidies is he receiving?
Read my 1st post. No need to repeat the ways Elon Musk is in cahoots with the Uniparty and Deep State. He’s all about power and money, and leopards don’t change their spots.
I head Musk talk about the subsidy claims and I found his remarks likely true.
Have a day.
I find Musk’s actions as enriching himself from the public weal while destroying civil liberties and the Constitution.
Enjoy.
TDS is a genuine mental disorder.
So is MDS.
We have all of us been ripped apart by the constant betrayal so that trust is s as rare as the rarest of gems.
Musk has done certain acts of self sacrifice that neither deep state nor liberals forgive.
Yes, profiting massively from preferential treatment due to payments made to the Uniparty, while aiding Deep State in spying on us is a big sacrifice
Lots of emotion.
No evidence.
No, sorry, the reverse is true. Musk’s behaviors are well documented. You have unsubstantiated opinion alone.
https://www.teslarati.com/elon-musk-tesla-spacex-subsidies/
I’m CONVINCED that you are wrong about Elon.
What we often say in here is that some people “Pretend not to know things”.
Data is data. It’s immutable. You either accept it, or pretend it doesn’t exist.
Exactly how it played/plays in electronics. Teevees, computers, litheum batteries, etc. Labor, taxes and overhead in the US can’t compete. Mr Trump (and Elon) know this. It can be tweaked with this team.
A GIANT reason can’t compete is GOVERNMENT meddling!
American’s can do amazing things. Look who is making things happen in the FUBAR zone.
Don’t get me started on OSHIT’s regulations…
Government or is it really Political? One of the spending bills passed recently allotted $81 million to pay UN members to arrange permissions for the “immigration app” that allowed foreigners to book flights for “refuge” directly into the US to the city of their choice. That didn’t cover the cost of the logistics; only the coordination efforts. That was pure and simple Political spending that just created much more harm and damage to America for many years to come. To swing elections, change American demographics to non-white and satisfy Democrat donor George Soros. Today proves that about 49% of America thinks that’s just fine and dandy.
Gvt IS political in it’s very being.
Gvt is a living creature and it wants to live and grow, reproduce and protect its own.
Political is how it feeds and survives.
Think of gvt as kudzu smothering everything in its path.
Useful with very clearly defined borders and constant pruning.
A monster if it escapes.
Doesn’t matter who is politically in charge.
When tatooed demons murder them in their beds, they will die thinking, “At least I wasn’t a racist!”
I also remember PDJT describing the value of tariffs (I can’t remember which interview) in that the foreign actors can avoid paying them by moving their operations inside the U.S. They will do this. Win/win for our workers and lower prices for us. If they don’t the dynamics described by SD occur.
I can see another issue. Mexico’s politicians and cartels have been getting fat off the human trafficking. If that gets cut off, and especially if we start shipping millions back, there will be violence. I don’t worry too much as they made their bed, but some will. Trump knows this too, and will have a simple plan, with proper incentives. But it’s a thing, if we’re to eject the invaders. This invasion can be construed as an act of war, mostly by traitors within. We need to be strident.
Strongly agree. With Mexico’s new President, Cartel trafficking will become their richest industry, enabling them to buy off American lobbyists and politicians as never before.
I will sigh a deep sigh of relief if Robert Lighthizer is back in PDJT’s administration. My 2nd favorite of all his former administration after Dr. Carson.
Mine was Wilbur Ross.
Love Wilbur!
Slightly off topic, but I read that the American Zoological Service has euthenaed an aging Indian Elephant.
The elephants name believe it or not is Kamela.
So Squirrels Racoons and now VP’s – come on America as John McInroe said “You can not be serious”
Makes me wonder which zoo official chose today for that procedure.
BRICS GDP now exceeds the G7 with the G20 in its sights all while lining up the world for entry. I do think the world has changed and our ability to influence damaged. Everybody got kicked out of Africa as Africa said hello to Russia and China, remember? Guess who needs resources?
If the rest of the world stops buying up the BIS banks’ debt, the BIS banks collapse. That is, the Western governments that are themselves funded by that debt.
I read that Wilbur Ross had endorsed DeSantis or Nimrata. It was very disappointing!
Not Haley. This is from February 2024–https://www.donaldjtrump.com/news/0d72645b-54ff-4d84-9339-0b6bdd92aa64
Oh Lord, Sundance, from your keyboard to G-d’s eyes!!!!
Beautiful, Sundance. This is what is needed. The dems are just too dumb to handle it.
You sir provide an invaluable service to our great nation and our people.
Sincerely, thank you.
Yay! However, how do we make it permanent? This economic whiplash every 4 years hurts
Sundance, in which sphere does Russia fall?
A stronger dollar can retire outstanding U.S. Treasury debt.
Very Excellent
Clarity !! Thank you.