ChinaTrade Deal pt. 1

Aug 2018
4,539
7,655
Vancouver
The US will reduce (not drop) tariffs and China will agree to consider thinking about possibly maybe buying a whopping amount of agricultural products in no set timeline.

Which I still don't understand because why does a country buy food?

Does the federal government in China have a hot lunch program? Are they going to give every school in China Idaho potatos for lunch?

Stores import food, restaurants import food, wholesalers import food.... But how would a government agree that people will buy food? I know they're communist but.... Really? Governments commit to people buying certain food?

I'm not saying it's not true.... I just don't understand it. I'd understand it if they said "we'll open our markets to your food" . Meaning, you can sell whatever food you can sell. That makes sense to me. But its not. It's "China will buy x billions dollars of unspecified agricultural products, maybe, hopefully, perhaps".
 

Blueneck

Former Staff
Jun 2007
57,742
47,240
Ohio
The US will reduce (not drop) tariffs and China will agree to consider thinking about possibly maybe buying a whopping amount of agricultural products in no set timeline.

Which I still don't understand because why does a country buy food?

Does the federal government in China have a hot lunch program? Are they going to give every school in China Idaho potatos for lunch?

Stores import food, restaurants import food, wholesalers import food.... But how would a government agree that people will buy food? I know they're communist but.... Really? Governments commit to people buying certain food?

I'm not saying it's not true.... I just don't understand it. I'd understand it if they said "we'll open our markets to your food" . Meaning, you can sell whatever food you can sell. That makes sense to me. But its not. It's "China will buy x billions dollars of unspecified agricultural products, maybe, hopefully, perhaps".
IOW, the farmers hurt by the tariffs are being given hope that sometime in the future, they may be able to export their products again even though the tariffs will remain in place.

And all I've heard about what's in it is "rainbows and unicorns" and no specifics. A lot like the "deal" Trump struck with NoKo.

I'm not hearing anyone saying what's so great about this thing.

And why is Sheldon Adelson there?

Oh, okay. Just heard this "opens up" China to US financial markets. The investor class has a new frontier to get rich off.

IMO this does nothing for the US. Once again, Trump fucked something up, then the broken pieces are glued back together and we hope it will work as well as it did before. Not only that but this is rewarding only the fat cats in the market.

And there are no enforcement mechanisms in place.
 
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Nov 2013
12,722
13,334
NY
That's because there's nothing in it to be impressed with at all.
All initiatives laid out in the 86 pages combined, reduce the average tariff on china imports from 21% to 19.3%.. it was 3% before Trump started ruining it in 2018.
 
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Mar 2012
61,475
42,676
New Hampshire
The phase one deal is seen as a sort of truce and includes concessions by the Chinese to crack down on intellectual property theft and the forced transfer of American technologies. But it also includes import targets for Beijing, which has promised to buy a host of American products as the two sides work toward a permanent bilateral agreement.
The composition of that additional $200 billion is as follows:
  • Manufactured goods: $32.9 billion in 2020, $44.8 billion in 2021
  • Agricultural goods: $12.5 billion in 2020, $19.5 billion in 2021
  • Energy goods: $18.5 billion in 2020, $33.9 billion in 2021
  • Services: $12.8 billion in 2020, $25.1 billion in 2021
 
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