Translated material
Trump collapsed world markets
US President Donald Trump again unleashes a trade war: as in the past presidency, he is dissatisfied with the state of things in world trade and again resorts to blackmail, threatening to introduce trade duties on goods from different countries. In the case of Canada and Mexico, he succeeded , and they made concessions of the United States, in the case of China, no, although the parties are “open for dialogue” . The next goal of Trump can be Europe, which, like China, is preparing to repulse it. The economic feasibility of duties is not obvious, and the arguments that the new American administration use are completely manipulations and misinformation. The main thing about the new trade war is in the material "Cold".
He threatens the "trade war" in a row. The opponents and allies went, and ordinary Americans will suffer from this
Help "cold" to tell human stories
We put a person in the center of our journalism and talk about people who are faced with injustice, but do not lose their spirit and continue to fight for their rights and freedoms. In order to further cover human stories, we need readers' support - thanks to your donations, we continue to work, despite the pressure of the state.
- Foreign card
- RF map ↘︎
- Patreon ↘︎
- Translation
- Crypt
Monthly
Once
5 €
- 10 €
- 20 €
30 €
5 €
- 10 €
- 20 €
- Another
- Bank of the Russian Federation
- Foreign Bank
Card number:
5536 9138 6472 8742
Copulated!
Recipient:
Taisiya Bekbulatova
Copulated!
Recipient:
Projektas Šaltis
Copulated!
Account number:
LT613500010016198323
Copulated!
Swift bic:
EVIULT2VXXX
Copulated!
Bank:
Lietuvos Bankas (Bank of Lithuania)
Copulated!
Comment-nazing payment:
Parama įstatymų numatytais tikslais (Be Konkretaus Tikslo)
Copulated!
We ask you to indicate the comment so that we can accurately determine the receipt of funds. The phrase translates as follows: "Support for the statutory purposes (without a specific purpose)."
Sum: €
To sacrifice
When making a donation, you accept the privacy policy
Duties on all goods from China, Canada and Mexico have planned to be introduced from February 4. For Mexico and Canada, Trump prepared 25% of the fee with the exception for Canadian energy resources, which were proposed to tax 10% duty. Trump planned Chinese goods to tax 10% of the duty, regardless of the category.
Trump believes that the introduction of duties will help stop illegal supplies through Canada and Mexico drugs, which are made from Chinese chemicals supplied to US neighbors. The White House Secretary Karoline Litt said that the new duties were justified, since Fentalinel (synthetic drug) “killed tens of millions of Americans”. However, experts refute her words and claim that such numbers are clearly exaggerated , and Canadian Prime Minister Justin Trudeau assured that less than 1% of Fentanil traffic in the United States passes through the US-Canadian border.
The star of the series "Emily in Paris" was accused of operating women and people trafficking on her daughter from the surrogate mother Internet and memes 13 minutes of reading
However, trade restrictions entered into force only in relation to China, since the leaders of Canada and Mexico still managed to agree on a delay for at least a month. The authorities of both of these countries, adjacent to the United States, promised Trump to improve borders - this was what the American president demanded. Mexico will send 10 thousand soldiers to the US border to prevent drug smuggling, and Canada confirmed that she has implemented his plan to improve border guards worth 1.3 billion Canadian dollars (904 million US dollars).
China did not receive messages. Instead, the Chinese authorities announced that they were introducing return duties on a number of goods from the United States. So, oil, agricultural equipment and cars with an engine volume of more than 2.5 liters will be taxed with 10 percent tax. For American coal and liquefied natural gas, the duty will be 15% of the cost. The parties declare readiness for negotiations. Trump himself planned to talk with the chairman of China Xi Jinping, but has not yet done it.
Domino effect
The lack of certainty and the trade conflict between the largest economies of the planet led to the fact that, having opened on Monday, January 3, the stock markets collapsed. German and French stock markets fell by 1.2–1.4%. The Canadian dollar, Chinese yuan and Mexican peso also sharply weakened . The Canadian currency has reached the lowest level since 2003. But the American dollar, traded near historical maximums in relation to Chinese yuan, sharply strengthened .
Michael M. Santiago / Getty images
Trump immediately reacted to Trump's statements, as this sector is most at risk of supplying deliveries due to the introduction of duties. On the eve of the action of the largest German automakers - Volkswagen, BMW and Porsche - fell by 5-6%. The papers of the French supplier of spare parts for Valeo machines fell by 8%. The shares of the Japanese Toyota lost 5%in price, and Honda - 7.2%.
The most threat of a trade war was responded to the cryptocurrency market. The price of bitcoin began to decline from February 1, when Trump announced plans to introduce duties against three countries. On January 31, Bitcoin traded 106 thousand dollars, and the next day fell to 100 thousand. The day before the introduction of duties, the bitcoin exchange rate fell to 91 thousand dollars. The price began to recover only after Trump announced the exhidations for Mexico and Canada.
Dubious solutions
The US President claims that new duties will help American manufacturers. The increase in prices for imported goods (namely to this will lead to duties) aims to ensure that consumers choose cheaper domestic products instead of imported - this should contribute to the growth of the US economy. In fact, as experience with past duties for Chinese goods showed, local manufacturers do not rush to massively take up places of foreign competitors. If the country does not have alternative suppliers, then the policy of duties will lead to an increase in prices for goods within the country.
I left Russia to Germany and is very pleased with the real freedom of training and no Russian obligation. Although some call this "sharaga" society 11 minutes of reading
Some economists call the current step of the Trump administration “tax on American consumers”, because they will feel his consequences on themselves the most. If the duties for goods from Mexico and Canada entered into force without a delay, then in the coming weeks in America would have risen prices for products. Mexico is the largest supplier of fruits and vegetables in the United States, and Canada exports grain, meat and poultry to the country. A little more time would take the rise in price of long -term goods - for example, cars. In November last year, cars were in second place among goods imported in the United States from Canada.
Duties for Canadian energy carriers could provoke an increase in gas prices, especially for consumers in the middle West, where local plants process Canadian oil in gas and diesel. In total, about 60% of the imported states of oil came from Canada. It is noteworthy that the Republicans often criticized former US President Joe Biden for high gas prices.
China supplies in the United States mainly electronics: smartphones, computers, lithium-ion batteries and game consoles. For example, in the first quarter of 2024, China accounted for 84% of batteries in the United States - this is a market where China surpasses its Western competitors.
China can also make concessions
According to the newspaper Financial Times, China has already found a way to get around the duties of the United States. Chinese companies want to transfer their production to third countries so that a new trade policy does not apply to their factories. Some Chinese enterprises look closely at the countries of the Middle East: for example, part of the production of Brothersbox will move to the UAE. Chinese companies have already resorted to such tactics during the first period of Trump, when he first began to introduce duties on goods from China. Then part of the production moved to Vietnam.
The rich provoked a boom in the real estate market of Russia, it was more difficult for them to spend money abroad, so they invest billions in the elite projects of Moscow and Sochi Society 5 minutes of reading
At the same time, China is ready to make concessions of the United States. According to the sources of The Wall Street Journal (WSJ), Xi Jinping may agree to negotiations with Trump due to the "weak economic form" in which China is now. Trump, in turn, claims to be open to dialogue, although during his election campaign he threatened to introduce a duty of up to 100% against China.
China has proven tools to restore good relations with the United States - even during the first term Trump, the country has concluded a trading agreement, according to which Beijing was supposed to gradually increase the purchase of goods in the United States for an additional $ 200 billion in two years. In 2020, experts called this deal unrealistic, and China did not fulfill it (including due to the influence of Covid-19 pandemia).
Now, according to WSJ, Beijing is seriously thinking of buying more American goods to avoid a trade war with Washington. In particular, in the framework of the restart of the trading transaction, China will be ready to invest in American production batteries for electric vehicles.
Another US pressure tool on China is trade routes and partners of the Chinese authorities. Shortly before the restrictions against China, the Trump administration held negotiations with the Panama authorities. During this meeting, the Panama Canal was discussed - the most important trading route for both the United States and China - these countries are the main users of the channel.
Why does the Russian army suffer huge losses? One of the reasons is the “debt war”, when the commanders adjust reality to the false reports of the policy of 5 minutes of reading
The Panama Canal connects the Atlantic and Pacific Oceans and provides a cheaper delivery of goods, reducing the path for transportation between Asia, Europe and America. China uses a channel in the framework of its initiative “one belt, one path” - this is a trading development strategy to which 149 countries from around the world have connected .
Panama promised the United States that she would not extend her participation in the “one belt, one path” initiative, since Washington believes that China’s presence in the region violates the early agreements between the countries. The status quo of the Panama Canal can be revised if the influence of China on this region continues to grow.
Europe is on the way
The United States is not going to dwell only in China, Canada and Mexico. Trump said that they “pretty soon” will introduce tariffs for goods supplied from the European Union.
“They do not take our cars, they do not take our agricultural products. They take almost nothing, and we take everything - millions of cars, a huge amount of food and agricultural products, ”Trump explained the need for duties on EU goods.
The New York Times writes that the so -called “Trump working group” has been working in Europe for several months - a special group under the European Commission, which developed possible scenarios for introducing trade restrictions under the new US president. This group also discussed the possible answer to Washington if the Trump administration decides to overlap European goods with additional fees.
I study in the USA, work and contain my boyfriend Russians outrages this, and in America no one pays attention to who provides society for 6 minutes of reading
European leaders were unanimous and warned Trump about his readiness to introduce return duties. This was stated by German Chancellor Olaf Sholts. In turn, the main diplomat of Europe, Kai Callas, before Trump's threats, warned that there were no winners in trading wars, and “China” would “laugh at Washington” over the conflict of Brussels and Washington. Oblocation of each other duties would harm everyone, because the United States is the largest trading and investment partner of the EU.
One of the few countries that so far successfully avoid threats from Trump was the UK. The American president assured that the problems with London can be solved without threats, since he has a good relationship with the British Prime Minister Kirmer.
In order not to miss the main materials of the "cold", subscribe to our social networks!
"Cold" needs your help to work further
We continue to work, resisting prohibitions and repression in order to maintain independent journalism for Russia the future. How do we do it? Thanks to the support of thousands of caring people.
What are we dreaming about?
About simple and at the same time complex - the ability to work further. Life will change many times beyond recognition, but we, the editors of the Cold, want to stay with you, our readers.
Support the “cold” today, so that we continue to do what we are best done - to be independent media. Thank you!
Author: Alexandra Yastrebova photo: Michael Nagle / Bloomberg Via Getty Images