World

Trump Fires First Shot in Trade War With China

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President Trump keeps his promises. And he promised, repeatedly, to take on China over what many see as unfair trade practices that harm the American worker.

Some began to fear that the need to curry favor with Beijing in order to effectively confront the North Korean nuclear threat had precluded tackling this important economic issue.

But President Trump just fired a shot across China’s bow indicating that he’s not afraid of a full-blown trade war.

And China is PISSED.

Bloomberg reports:

U.S. President Donald Trump’s request to probe how China handles intellectual property prompted a firm response: Beijing will stand up for its rights.

The Ministry of Commerce responded with a statement Tuesday expressing serious concern and saying it “will resort to all proper measures” to firmly defend its lawful rights if the U.S. disregards multilateral rules and hurts bilateral trade ties.

The memo Trump signed Monday adds to the list of trade irritants between the world’s two biggest economies as they work to contain North Korea. It directs U.S. Trade Representative Robert Lighthizer to consider investigating China’s intellectual property policies, especially the practice of forcing U.S. companies operating there to transfer technological know-how.

Should China be found in violation of rules regarding intellectual property, Trump could impose new trade tariffs, a move that could boost the US economy further by forcing more manufacturing back to our shores.

Obviously, China wouldn’t take such a move lying down. But Trump insisted that the consequences were secondary to his duty to the American people.

Trump told reporters at the White House:

“It’s my duty and responsibility to protect the American workers’ technology and industry from unfair and abusive actions. We will stand up to any country that unlawfully forces American companies to transfer their valuable technology as a condition of market access. We will combat the counterfeiting and piracy that destroys American jobs.

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