Could the U.S. soon reach a trade deal with China?
President Donald Trump said on Monday he believes the two nations, which in recent months have seen trade threats turn into economic realities, will broker a deal because of the rising tariffs the U.S. continues to impose on China.
On a call with CNBC’s “Squawk Box,” Trump discussed the trade war and the Chamber of Commerce, which has been critical of the president’s trade positions. Trump told the morning news and talk program that the Chamber of Commerce is a business group that exists to protect corporate interests, not the American people.
“Without tariffs, we would be captive to every country, and we have been for many years,” Trump said. “That’s why we’ve had an $800 billion trading deficit for years. We lose a fortune with virtually every country. They take advantage of us in every way possible.”
He continued: “Without tariffs, we would absolutely be at a competitive disadvantage to the likes of which we’ve never seen. People haven’t used tariffs. Tariffs are a beautiful thing when you are the piggy bank, when you have all the money. Everyone is trying to get our money. The China deal is going to work out. You know why? Because of tariffs. Right now, China is getting absolutely decimated. Companies are leaving China (because) they don’t want to pay the tariffs. China will, in my opinion, which is based on a lot of facts and a lot of knowledge, make a deal.”
Just last week, President Trump waged a fresh round of tariff threats against the country, warning that he could raise levies on another $300 billion worth of Chinese goods.
In May, the footwear industry banded together to urge the Trump Administration to remove shoes from the list of tariffs.
More than 170 footwear companies — including DSW, Foot Locker and Wolverine Worldwide — wrote a memo to President Trump that outlined the impact that proposed import taxes would have on business and working-class Americans.
“As an industry that faces a $3 billion duty bill every year, we can assure you that any increase in the cost of importing shoes has a direct impact on the American footwear consumer,” the letter read. “It is an unavoidable fact that, as prices go up at the border due to transportation costs, labor rate increases or additional duties, the consumer pays more for the product.”
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