Fairfield, N.J. June 26, 2018– Senior International Correspondent, Chong Wang, provides insight into the Chinese perspective on the billion-dollar tariffs recently imposed by the Trump administration during a special video episode of the podcast, Manufacturing Talk Radio, with host, Lew Weiss.
Lew Weiss, who is also the President of All Metals & Forge Group, sat down with Wang to discuss the $50 billion tariffs that President Trump announced, as well as his threat to set another $200 billion worth of tariffs on Chinese goods.
Chong revealed, “It seems completely unreal. All of this was never supposed to happen.” Up until a few weeks ago, the Chinese and American governments were in their third round of negotiations and were thought to be close to reaching an agreement.
Lew replied, “Our president feels as though he is doing this to hurt China and punish them for all of the things they’ve done — currency manipulation and so on— but the reality is that we’re going to hurt ourselves.”
Chong goes on to further explain that although the Chinese government retaliated with tariffs of a similar kind, there are major differences between them. The U.S. tariffs target the largest sectors of trade between China and the United States, like machinery and electronics, which makes up roughly 50 percent of total trade between these countries. President Trump’s intention is to hurt the Chinese businesses as much as possible, but this will, in turn, hurt the United States.
On the other hand, Wang explains, the Chinese tariffs are mainly focused on agricultural products— soybeans, oranges, pineapples, cherries— which only represents a small portion of the total trade between the U.S. and China. The agricultural products also have smaller numbers of workers that will be affected by these tariffs. Plus, these products could always be substituted by other products from other nations.
Although the Chinese government did retaliate with tariffs, Chong thinks that they are still willing to come back to the negotiation table and work it out with the U.S. government. According to the Manufacturing Talk Radio Senior International Correspondent, the Chinese government is willing to make some sacrifices to favor the U.S. side. However, the Chinese people are pressuring the government to retaliate “in order to have credibility with their population and trading partners.”
To conclude, Wang agreed with Weiss’s previous statement, saying, “What the U.S. is doing is so harmful to everyone, including U.S. businesses.”
About All Metals & Forge Group:
All Metals & Forge Group is a manufacturer of open die forgings and seamless rolled rings, a certification it obtained and has held since 1994. All Metals & Forge Group was one of the first companies in its industry to obtain an ISO Certificate of Registration since the company’s founding in 1972. Manufacturing Talk Radio is a weekly live Internet Talk Radio show broadcast to manufacturers of all sizes across America. Show host, Lew Weiss, and co-host, Tim Grady, present breaking news and tackle business trends and economic forecasts in manufacturing for small, medium and large manufacturers across America.