President Donald Trump fired another shot in his trade war with China on Saturday as Republicans freak out that his actions will hurt the economy enough to cause their downfall in November.
Earlier this week, Trump slapped $50 billion worth of tariffs on China, resulting in a retaliatory tariff of equal value on American goods that has sent the stock market into a major tumble. The Dow Jones dropped over 500 points on Friday alone.
American farmers in Trump country have been particularly affected by the tariffs since China is a top soybean consumer.
After China leveled tariffs against the United States, Trump lashed out and threatened to hit China with another $100 billion tariff, which the Chinese government responded to by telling Trump that China has no intention of backing down.
Trump has yet to follow through with his threat, but he did take time out on Saturday to whine about China on Twitter.
The United States hasn’t had a Trade Surplus with China in 40 years. They must end unfair trade, take down barriers and charge only Reciprocal Tariffs. The U.S. is losing $500 Billion a year, and has been losing Billions of Dollars for decades. Cannot continue!
— Donald J. Trump (@realDonaldTrump) April 7, 2018
It should be pointed out that, according to CNN, the:
“US trade deficit in goods with China hit nearly $375 billion in 2017.”
And the U.S. Trade Representative reports that “the U.S. services trade surplus with China was $38.0 billion in 2016.”
So while our country runs a deficit in goods with China, we run a surplus in services. You don’t hear China complaining about that surplus.
Republicans, however, are starting to complain that Trump’s foray into a trade war is threatening their electoral chances in November as Americans are poised to flip Congress to the Democrats. The Heritage Foundation’s Stephen Moore said:
“If the tariffs raise prices on American consumers, then that will negate part of the positive impact of the tax cut. It’s the government giving the tax cut with the right hand and taking it away with the tariff with the left one.”
Except that the tax cut only benefited wealthy individuals and corporations while most Americans received virtually nothing.
Now that Trump is obsessed with slapping tariffs on everyone and everything, Americans are getting even more screwed over by this administration. A conservative lobbyist said:
“Conservatives and business groups aren’t sure what to do about it because no one wants to be the target of a Trump tweet.”
There is one thing they could do. Impeach Trump. But Republicans won’t do that because they are cowards. They seem determined to let the house burn down with them inside.
Trump also isn’t sending a positive message to his supporters in farm country by exempting his daughter Ivanka’s clothing line from the tariffs. That being said, if China wants to really hit Trump hard, they could seriously mess with her business, which relies on Chinese workers manufacturing the clothes and shoes she sells.
China could also mess with the Trump Organization since Trump himself has many products that are made in China.
The more Trump tanks the rural economy, the more support he and the Republican Party will lose as November approaches. That’s bad news for the GOP, which has constantly insisted that only they can improve the economy.
The problem is that former President Barack Obama had already improved it. Trump was benefiting from Obama’s economy, and now we are going to start seeing what the Trump economy looks like, and it’s a frightening sight thus far. And it’s only going to get worse.
Featured Image: YouTube screenshot.