President Trump has a simple economic platform: “Buy American and Hire American“; toward that goal all economic and fiscal policies are now directed to assist U.S. manufacturing companies and retain U.S. workers. Period.
Two days ago Commerce Secretary Wilbur “Wilburine” Ross announced a 20% tariff, countervailing duties, on imported Canadian soft wood lumber. Today, Pleasant River Lumber Co. in Jackman Maine announces their wood mills will now expand as a direct result of the beneficial impacts of even trade practices.
This is a big deal for this community.
MAINE – The Dover-Foxcroft-based Pleasant River Lumber company is expanding its Jackman sawmill in anticipation of increased demand for American lumber amid the U.S. government’s plans to levy tariffs on Canadian softwood.
In a media release Tuesday, Pleasant River Lumber said it is expanding its Moose River spruce mill in Jackman to add drying capacity this summer and hire up to 20 new workers for a second shift starting this fall.
Art of the deal glaringly visible in less than one-half of a single day’s media cycle. Simply amazing. These phone calls are also further evidence of how much leverage the U.S. carries in the entire NAFTA Trade construct. [White House Press Release]
Readout of President Donald J. Trump’s Call With President Peña Nieto of Mexico and Prime Minister Trudeau of Canada
Late this afternoon, President Donald J. Trump spoke with both President Peña Nieto of Mexico and Prime Minister Trudeau of Canada. Both conversations were pleasant and productive.
President Trump agreed not to terminate NAFTA at this time and the leaders agreed to proceed swiftly, according to their required internal procedures, to enable the renegotiation of the NAFTA deal to the benefit of all three countries.
President Trump said: “it is my privilege to bring NAFTA up to date through renegotiation. It is an honor to deal with both President Nieto and Prime Minister Trudeau, and I believe that the end result will make all three countries stronger and better.” ###
In conjunction with the Trump administration releasing a tax reform outline, White House OMB Director Mick Mulvaney gives an interview to PBS to discuss the president’s goal of driving economic growth.
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Contrary to our initial reservations, Mick Mulvaney continues to be a considerable asset to the administration in communicating “big concepts” into portions that are easily digestible and understandable. Transferring big issues to easier points of comprehension is tough, and Mulvaney does a surprisingly good job.
Hours before the Trump administration briefed 100 senators today on the issues surrounding North Korea, a more consequential announcement was made.
The jaw dropping announcement (hidden by U.S. media) appears to show just how long President Trump has been putting the North Korea strategy together. However, before discussing that aspect, we review the Senate Briefing at the White House:
Today Defense Secretary Jim Mattis, Secretary of State Rex Tillerson, Director of National Intelligence Dan Coats and Gen. Joseph Dunford, chairman of the Joint Chiefs of Staff, presided over a meeting meeting to brief Senators.
The details of that meeting have not been made public because of their classification and sensitivity. The meeting lasted about one hour and discussed various financial and military options available for pressuring North Korea to end its nuclear program. (link)
Here’s where it gets really interesting.
For months the media have, at random, ridiculed President Trump for not distancing himself from Philippine President Rodrigo Duterte. President Duterte has been cracking down on Filipino drug gangs in his country and his approach has been severe and extremely tough. Indeed Duterte’s zero tolerance approach has been brutal.
However, shortly after his election, December 3rd 2016, President Trump chose not to refute Duterte for his approach toward confronting the Filipino drug gangs and drug epidemic. The media were apoplectic. Duterte responded by calling President Trump “a deep thinker“. Duterte said he was greatly pleased with the “rapport” he has established with the newly elected U.S. president. (more…)
During an AP interview last week President Trump first mentioned a possibility of complete withdrawal from the 25-year-old NAFTA agreement. Today several outlets are reporting on a draft executive action to do just that.
BACKGROUND: One of the problems with the NAFTA trade agreement (and most other trade deals) has been that no administration ever reevaluates them to measure their long-term impact since implementation. It has been almost 25 years since Bill Clinton signed NAFTA (’94) and only now in 2017 is the Commerce Secretary Wilbur Ross evaluating the current value and measuring the economic impact to the U.S. in current terms.
Ah, the simple joys in life. Wilburine Ross interviewed by Lou Dobbs… Sip slowly.
The general status of angst created by ordinary swamp review has a tendency to wear down a soul. It’s at the times when we feel surrounded we should reflect upon how lucky we are to have the T’Rex’s and Wilburines on our team. We’ve already won, our opponents just haven’t noticed yet.
This is more than a little funny. Senator Ted Cruz must not be having much success fundraising for his re-election campaign, as his latest publicity stunt outlines:
In essence, the architect of Obama’s Fast Track Trade Promotion Authority bill is using the border wall, which he is paid to oppose, as a tool to “gruber” his sheeple followers. Judging by the number of people responding to the tweet, he’s found a goldmine.
As many people are aware, Senator Cruz is part of the ‘controlled opposition’ ploy. As a dedicated UniParty benefactor of the U.S. CoC lobbying expenditures Ted’s role is to plow through the political field giving a crony-constitutional impression of one thing while loyally working to deliver the end result of the thing he optically rails against, like TPP or TPA.
The El Chapo/wall angle as a narrative and fundraising mechanism, is similar to the dead-end ploy previously exhibited by Senator Rand Paul in last month’s ObamaCare repeal narrative used as his fundraising tool. Both are fallacies of false choice. Both have no foundation in actual goal or intention. Both are ruses.
Having spent over 30 years deep in the weeds on the actuarial side of trade and economics, I can guarantee you there’s a generational need to completely reset all frames of reference when it comes to imports, exports, and U.S. trade principles in general.
It is no longer worthwhile even beginning a conversation around the arcane concept of “free trade”, especially when discussing commodities and agricultural trade. The “free market” was structurally disassembled years ago when multinational corporations began using the business end of agriculture to create investment and global profit via Wall Street.
The BIG AGRICULTURE legislative lobbying groups are funded -much like the U.S. CoC- with multinational corporations and multinational investment banks. Agricultural prices, formerly referenced on basic supply and demand principles have been bastardized through global purchases, and contracts therein, of U.S. farm products.
Simple question to understand the dynamic: “If there is such a U.S. glut of raw milk, then why has the 10-year price of milk skyrocketed”? Within the answer to that question you realize the product is not domestic. It is controlled by multinationals, exported under controlled contract, and the domestic price (you pay) driven by global trade not domestic production/consumption (supply and demand).
The inverse (import pricing) is also true. We’ve been getting screwed by the multinational interests of global trade for decades. This is NOT ‘free trade’. The BIG CLUB owns the process (inputs and outcomes) and manipulates the market in their interests, not yours. There simply is no “free market”.
[TRANSCRIPT] – 3:14 P.M. EDT – THE PRESIDENT: Busy day. They had a very busy day — had a good day. We’re doing well, very well. Things are turning around. I know they’re turning around for you folks, so I just want to welcome you very much to the White House — special place — America’s farmers and ranchers.
I especially want to congratulate Secretary — now I can say, Secretary Sonny Perdue, who was just sworn in as the Secretary of Agriculture — (applause) — sworn in by Justice Thomas. And it was a beautiful ceremony, and we’re going to celebrate a little bit later, and that’s great. We’re very happy. And you had a good vote too.
How do you get congress to accept the NAFTA notification of intent letter? Why, you backstop the Canadian decision to undermine U.S. dairy farm exports by applying equity import tariffs and offsetting losses to U.S. manufacturers.
First stop, lumber mills. ie U.S. regional impacts, not coincidentally, represented by key Democrat constituents.
The congressional delegations from Washington State and Oregon happen to be mostly elected Democrats; and they happen to applaud the efforts; which means they are not able to criticize the approach. Hmm, it’s almost as if Wilburine and POTUS had a strategy or something. Nah, couldn’t be.
(Via CNN) These are the first tariffs imposed by President Trump, who during his election campaign threatened to use them on imports from both China and Mexico. The decision on Monday is bound to lead to a standoff and could stoke fears of a trade war between the US and Canada, two of the world’s largest trade powers.
Commerce Secretary Wilbur Ross said the tariffs, or taxes, announced Monday evening were being imposed after trade talks on dairy products fell through.
