Trump secures important trading victory against China
Trump secures important trading victory against China
President Donald Trump's shocking and impressive approach threatened to destabilize the global financial system and plunge the US economy into a recession. Trump sent his level -headed and professional negotiators to Geneva about the prospect of empty shop shelves and re -rising inflation.
dramatic de -escalation with China
The unexpected Dramatic de-escalation in the trade conflict with China Trade negotiations that could produce a number of rapid, albeit less comprehensive bilateral agreements with the aim of reducing the United States trade deficit.
a fresh start with China
"We actually have a fresh start with China," said Kevin Hassett, director of the National Economic Council, in an interview with CNN News Central. "This is the perspective that we should have on these negotiations." The decision of both the United States and China to reduce the exorbitant tariffs by 115 percentage points at the end of two days was the most important development in a policy that was sometimes maximum and chaotic. The factual trade embargo between the two largest economies in the world had generated economic pressure on both national and global level, which seemed to be at a turning point.
markets react positively
The de-escalation let the markets rise Higher tariffs insisted and at the same time stimulated their biggest trading partners to negotiate with an offer.
serious negotiators sent
Trump sent leading negotiators with Finance Minister Scott Bessent and the US trade officer Jamieson Greer, who are from market participants and their Chinese as serious, prudent and authorized
With the intensive negotiations that are now beginning, the ongoing attempt to make agreements with around two dozen other countries received a thrust through a small but important contract with the United Kingdom. This was a model for what Trump wanted in the urgent search for tailor -made agreements with the United States, such as several foreign diplomats that were involved in the bilateral conversations.
positive signals from the negotiation round
The negotiators and the clear framework conditions for the negotiations are considered to be tangible for Trump's advisors. It remains to be seen whether they lead to a substantial result. A consultant said it at CNN: "This is a clear piece better than the alternative we both stood in front of."
"This is really the first time that we see a clear way to bring this plane to land without a catastrophic economic catastrophe," a Republican senator told CNN. "That doesn't mean that we will make it, but that's a lot better than where we were before."
a complex path to stability
The path from the market panic announcement of the tariff increase on April 2 to this point was anything but linear. Despite numerous opposite evidence, Trump's advisor has long insisted that it was a strategically well thought -out timetable that took into account every possibility.
The unsustainability of this claim makes it clear by Trump's own view that “flexibility” is of the greatest importance. In private conversations, improperly repeatedly emphasizes the value of the "strategic uncertainty", which is created by Trump's approach.
Finally, it was Trump who pressed the pause button on his most drastic "mutual" customs tariffs for about 100 countries and was the first to publicly bring a clear de-escalation with China into play after his team had considered more drastic deviations from the previously proposed strategy.strategy for future negotiations
Nevertheless, according to official bodies, there are a comprehensive strategy that aims to move the trading partners where the administration is now.
the new reality
In the end, the Trump administration managed to anchor dramatically higher tariffs-a universal set of 10% worldwide and sector tariffs that remain largely untouched. Even if it is clear that the tariffs will not go back to zero, the trading partners are still in line to complete a deal with the United States.The fact that both legislators and foreign diplomats seem to be willing to overlook - or even openly accept - that a global duty of 10% is now practically a non -negotiable reality gives an insight into the snapshot that Trump has led.
The Trump team said that the strategy to achieve a “victory” itself from significant remaining tariffs was the procedure from the start.
"We had a plan, we started a process, and now we have a mechanism for future conversations with the Chinese," Bessent told the reporter in Geneva.
trade as the key to success
The conversations with China were the most difficult, most labor -intensive and time -consuming from the start. The teachings from Trump's first negotiations are not only deeply internalized to his consultants, but also Trump himself. For Trump, trade is the be -all and end -all. This includes the ceasefire agreement between India and Pakistan, which he considered the reporters to be due to his promise of fast trade growth for both nations.
It seemed fitting that the sharpest observation was rapidly used to analyze the dramatic de -escalation in the trade relationships between the USA and China from the man who had driven the situation on the edge of the abyss, even if this happened in a completely different, but no less significant context.
"People have never used trade as I use it," Trump said to the reporters on Monday morning.
This reporting was supported by CNNS Jeff Zeleny.
Kommentare (0)