Trump is still escalating! Several hours ago, he said: "If China does not cancel 34% of the countermeasures tariffs before April 8th in the U.S. time, I will impose an additional 50% tariff on China on April 9th." It's obvious that he has already lost his mind a bit.
▲Trump threatens to impose an additional 50% tariff on China
In his eyes, all countries must negotiate with him for peace like Vietnam and Malaysia. Thus, he is attempting to gamble everything at this moment to force our compromise.
Domestic protests against tariffs in the U.S. have already made him restless, and the plunge of the U.S. stock market has put more pressure on him! He knows that if our countermeasure tariff measures take effect, it will have a significant impact on the U.S., directly affecting his own voter base.
▲Hundreds of thousands of people across the U.S. march against the tariff war
Trump actually has another consideration, which is to prevent other countries subject to the tariff increase from subsequently implementing countermeasures. Since the tariff increase will officially take effect on April 9th in U.S. time, many countries have already stated that they will definitely retaliate if the U.S. tariff is implemented. If we give up now, other countries naturally won't dare to retaliate against the U.S.
If we maintain the current 34% additional tariff on the U.S., after April 9th, other countries or economies may also imitate the countermeasures. At that time, Trump will face even greater pressure. The U.S. stock market will further plummet, and the number and intensity of the protests will also increase.
▲Part of the EU's retaliatory tariff content
In fact, his threats are useless. Thanks to his tariff war, regardless of China's actual tax rate on the U.S. or the U.S.'s actual tax rate on many Chinese products, they have already exceeded 50%. Whether or not to add this additional 50% makes little difference in practical impact.
It is very clear that he keeps demanding that we cancel the tariff increases on the U.S., but he doesn't say what he can do for us. Is he trying to use this "starting from a position of strength" attitude to make others stop? If he says he will cancel the 34% tariff on us, we might consider it. Thinking that others will come to him for compromise negotiations by issuing orders is pure wishful thinking.
▲He hopes to make us compromise through commands
If the U.S. continues to impose additional taxes, the result is inevitable. We issued relevant regulations for the implementation of the Anti-Foreign Sanctions Law of the People's Republic of China on March 24th. Our current 34% countermeasure tariff is based on the stipulated details and rules. If the U.S. imposes an additional 50%, our corresponding further countermeasures will also continue to be given to the U.S. side.
▲Any action by the U.S. will be countered
As always, whether it's the current 50% or adding another 50%, it makes no difference. If Trump feels unsatisfied, he could even add 500%, as there is basically no difference. Without the U.S. first indicating its willingness to compromise, the actual negotiation space between the two sides is already very limited.
▲Experts直言中美几乎没有谈判空间
A few hours ago, the U.S. stock market first surged sharply and then plunged. The reason was that a message was released saying that Trump would delay the tariff increase on other countries except China. However, the White House quickly denied it as false information.
It's not hard to see that this is completely a charade by Trump himself, aimed at observing how the stock market would react if some tariffs were canceled. This can serve as a reference for him to decide whether to adjust some tariffs two days later.
▲The U.S. stock market index surges after the "false news"
Another thing he wants to express is that "if the conditions are shocking enough, tariffs can be negotiated." This is to hint that more countries, and especially us, hope to find him for compromise negotiations.
From these tricks, it can be seen that although Trump is tough-talking, he is already feeling weak inside, and his actions are very honest. This tariff increase is obviously not a sudden impulse, but undoubtedly a bold gamble. His purpose is to disrupt the stock market and economic order to force the Federal Reserve to cut interest rates and simultaneously affect the status of the dollar to dilute their $37 trillion in national debt.
▲The tariff war is a meticulously planned design
In short, all of this is part of his carefully designed and long-planned strategy. However, it seems that things won't go as smoothly as he imagines. Threatening us now only proves his lack of confidence. This is just the beginning; the pain brought by the tariff war will further have a profound impact on the U.S. stock market and even its foundation.
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Original source: https://www.toutiao.com/article/7490631535247376923/
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