To understand the China ‘One-Belt / ‘One-World‘ economic trade strategy it becomes necessary to understand how structurally weak the Chinese economy was when created.
People often talk about the ‘strength’ of China’s economic model; and indeed within a specific part of their economy -manufacturing- they do have economic strength.
However, the underlying critical architecture of the Chinese economic model is structurally flawed and President Trump with his current economic team understand the weakness better than all international adversaries.
Lets take a stroll and lightly discuss.
China is a central planning economy. Meaning it never was an outcropping of natural economic conditions. China was/is controlled as a communist style central-planning government; As such, it is important to reference the basic structural reality that China’s economy was created from the top down.
This construct of government creation is a key big picture distinction that sets the backdrop to understand how weak the economy really is.
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Things are going swimmingly, strategically, seemingly according to plan.  When the full measure of history allows time to review, observers will note the strategic victory was achieved on August 5th, 2017; that’s the original date when Russia and China agreed to the U.N. Security Council sanctions against North Korea.  That first, historic, Russia and China U.N. Security Council vote against North Korea came as a result of eight months of assembled economic leverage created by President Donald Trump.
As a result of this ongoing strategy, every time North Korea’s Kim Jong-un takes an action, President Trump hits China’s Xi Jinping with an additional economic squeeze.  As Beijing feels the squeeze, they tell Kim Jong-un to act. Every time Kim Jong-un acts, President Trump squeezes Beijing with more economic pressure.  Wash-Rinse-Repeat.
Communist Beijing has boxed themselves into this inescapable cycle. The only way out of the box is to concede and lay the DPRK defeat at the feet of Kim Jong-un.  The conceding will evidence itself when Beijing inevitably calls for ‘Six Party Talks‘.  Today:

(Via Associated Press) Chinese Foreign Minister Wang Yi says his country will “fully and completely” abide by U.N. Security Council sanctions resolutions on North Korea.
Wang told reporters Wednesday China would work with other members of the council on how best to react to North Korea’s launch of a ballistic missile over Japan on Tuesday.
He says, “We will make a necessary response.”

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Mexico’s Economy Minister Ildefonso Guajardo has a different perspective today than prior to the beginning of NAFTA renegotiation.
Before NAFTA round #1 began Minister Guajardo stated angrily if the U.S. did not concede to the demands of Mexico his government would flood the U.S. with drugs and illegal aliens.
However, in the face of actually seeing NAFTA discussions possibly leading to collapse, Mr. Guajardo has a change in tone.  The minister is looking at alternatives, bi-lateral trade deal options are analyzed, and the reality of the Mexican economic position is settling in.
What happens next? Mexican officials are dispatched to Washington DC to enlist the lobbying efforts of K-Street and their allies in the U.S. CoC.  “Halp“:

MEXICO CITY (Reuters) – Mexico sees a serious risk the United States will withdraw from NAFTA and is preparing a plan for that eventuality, Economy Minister Ildefonso Guajardo said on Tuesday, calling talks to renegotiate the deal a “roller coaster.”
[…]  “This is not going to be easy,” Guajardo said at a meeting with senators in Mexico City. “The start of the talks is like a roller coaster.”

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There is an saying people use to criticize President Trump based on the people around him:

“People are policy, and policy is people”…

The basic argument is that Mr. Trump can be swayed or distracted from his mission by his staff and those he hires.
This is a common catch-phrase brought about by historic and conventional wisdom.  However, when applied to President Trump, it’s also just plain wrong.
No similar cliche is appropriate for Donald Trump, nothing deters or influences him from his larger decades-long ‘America-First’ economic strategy. Nothing.
Donald Trump is the policy. There’s no assembly of advisers on economic issues that can ever sway his instinct.
Example:

(Reuters) – U.S. President Donald Trump last month rejected a Chinese proposal to cut steel overcapacity, despite the endorsement of some of his top advisers, the Financial Times said, citing people familiar with the matter.
Beijing proposed cutting steel overcapacity by 150 million tonnes by 2022 in a deal twice rejected by Trump, who instead urged advisers to find ways to impose tariffs on imports from China, the paper said, citing the sources.

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Beijing (China) is attempting to “trigger” President Trump’s internal neo-con and militaristic opposition. Stay frosty, avoid emotional reports demanding military engagement, and remain steady with a high altitude perspective.
Multiple reports now confirming that North Korea has conducted a missile test. The flight path escalates the issues by crossing over part of Northern Japan. In essence, Beijing China just threw an elbow at President Trump. [The likely “Why” follows breaking report]

TOKYO (Reuters) – North Korea fired a missile that passed over northern Japan early on Tuesday, the Japanese government said. The government’s J-Alert warning system advised people in the area to take precautions, but public broadcaster NHK said there was no sign of damage.
The Japanese military did not attempt to shoot down the missile, which passed over Japanese territory around 6:06 a.m. local time (2106 GMT). (Reuters)

Japanese Prime Minister Shinzo Abe, speaking to reporters in Tokyo after the launch, said the missile appeared to have passed over airspace and that the government was urgently collecting intelligence on the incident and doing everything to ensure the safety of its citizens, according to remarks broadcast on NHK, Bloomberg News reports.
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President Trump met with Finland’s President Niinistö in the Oval Office prior to the East Room press conference. During their remarks President Trump discusses his upcoming trip to Texas and the ongoing coordinated efforts between federal, state and local officials in the massive impact zone.

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In 2015 we discussed candidate Trump’s economic positions and how they would impact the economy.  CTH anticipated that MAGAnomics would be reversing three decades of federal reserve fiscal policy. After about a year of analysis and discussion, in 2016 CTH presented a theory: “A new Dimension in Modern Economics“.
CTH shared a possibility of what could happen if Trump Economic Policy was shifted to favor Main Street over Wall Street.  One aspect we presented was how Federal Reserve monetary policy would be oddly disconnected from its ability to influence inflation.
Washington Times today:

(Article Link)

While the issues inherent within economic influences can be riddled with complexity, we remain optimistic that MAGAnomics will be very very successful.
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Recently there has been a great deal of opinion on Chief Economic Advisor to President Trump and his recent critique of President Trump’s comments surrounding the events in Charlottesville, Virginia.  For many people the latest Cohn -vs- Trump scenario is just more proof that President Trump is succumbing to influence/pressure from the wrong side of the ideological spectrum.
This outline is intended to directly speak toward those concerns.  However, to understand the dynamics of Gary Cohn -vs- Donald Trump it is first necessary to understand the perspective of Gary Cohn and President Trump.

Few people have an appropriate understanding of the scale, scope and seismic shift President Trump is delivering to the world of geopolitical financial influence.  A recent comment by someone who appears to understand the dynamic reads thus:

Enjoy this because we will never see this again. You’ll never see your president shift the pendulum the way Donald Trump is. The international market of high-pressure real estate development and financing incorporates every facet of business activity known to humanity and no President we have ever had has been more prepared to do what needs to be done then President Donald J Trump. In addition to trying to right the ship he has to navigate waters filled with landmines and torpedoes and those firing the torpedoes claim to be Americans. God bless this man.  ~ FromSeaToShiningSea

That’s a good a place as any to elevate the discussion, review the historic nature of the participants, and comprehend the dynamics behind: Manhattan -vs- Queens; Global finance -vs- National interests; Wall Street -vs- Main Street; and ultimately Gary Cohn -vs- Donald Trump.
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United States Ambassador to the United Nations, Nikki Haley, recently visited the IAEA (International Atomic Energy Agency) to review the ongoing JCPOA (Joint Comprehensive Plan of Action) as they continue to monitor Iran’s nuclear program.
Ambassador Haley outlined a summary of the IAEA meeting and fielded additional questions about North Korea and Venezuela.  She will be traveling to Washington DC on Monday to brief President Trump and Secretary Tillerson.

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As you might note from her remarks (see below), Ambassador Haley is keenly aware of the uniqueness, and effectiveness, of President Trump’s economic approach toward regional national security issues – specifically as it pertains to the recently announced Venezuela sanctions. Strong concise statements. Strong, short, effective and deliberate answers.
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It must be pointed out; it is up to us to do so.  The corporate media are hopelessly deficient in their coverage and explanations of how strategic objectives for national security are being delivered through a Trump Doctrine via economic leverage.  The results are stunningly effective, yet few have noticed, and even fewer seem willing to articulate.

The latest example of the geopolitical Trump Doctrine in action comes via Venezuela, and in the wake of a fraudulent Maduro election – the Trump administration’s economic and financial policy delivering sanctions against the rogue Maduro regime:

(Via LA Times) The Trump administration on Friday slapped sweeping financial sanctions on Venezuela, barring banks from any new financial deals with the government or state-run oil giant PDVSA.
The sanctions Trump signed by executive order are bound to dramatically escalate tensions between Venezuela and the U.S. and exacerbate the country’s economic crisis.

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