Tag Archives: Trade

Ending China’s Currency Manipulation China’s de facto tariff on imported goods has cost the U.S. billions of dollars and millions of jobs.

 

PHOTO: GETTY IMAGES/ISTOCKPHOTO

By DONALD J. TRUMP

Nov. 9, 2015 7:33 p.m. ET

338 COMMENTS

If we are to make America great again, we must do all we can to make sure that American interests are protected and that all Americans benefit from the actions of their government. Sadly, that is currently not the case. The incompetent, rudderless Obamaadministration’s negligence in foreign policy, trade and national security is making America less confident, less prosperous and less safe. Americans deserve better, and a Trump administration will turn us into winners again.

In late September, President Obama signed an agreement with the Chinese head of state that was intended to add a layer of protection to intellectual property in both countries. The ink was not dry before Chinese-sponsored agents began cyberattacks on private companies in the U.S. That agreement is not worth the paper it is printed on and the Obama administration is not doing a thing to fight back. Unfortunately, this has become an all-too-common pattern of behavior for President Obama.

The American people need to be told the truth about our “partner” China. China holds over $1.4 trillion in U.S. debt. The Chinese are, by far, the largest foreign debt holder. As of the end of August this year, the U.S. trade imbalance with China is already at $237 billion, on the way to an annual trade imbalance north of $350 billion. China’s economy is controlled by the government. Any notion that their economy is based on a free-market system is simply not true. If an American company wants access to the Chinese consumers, that company must share its intellectual property, a condition that violates international fair-trade standards, World Trade Organization rules and common sense.

But the worst of China’s sins is not its theft of intellectual property. It is the wanton manipulation of China’s currency, robbing Americans of billions of dollars of capital and millions of jobs.

Again, special interests and crony capitalism have weakened the resolve of the Obama administration in confronting China over its currency ploys. Economists estimate that the yuan is undervalued anywhere from 15% to 40%. Through manipulation of the yuan, the Chinese government has been able to tip the trade balance in their direction by imposing a de facto tariff on all imported goods. Imagine the impact these practices have had on our weakened manufacturing base, our agriculture industry and every small business unable to compete internationally.

By watching the Obama administration, you might think that nothing can be done about all this. What is most alarming is that much can and should be done, but the White House chooses to do nothing to protect American workers and companies.

On day one of a Trump administration, the U.S. Treasury Department will designate China a currency manipulator. This designation will trigger a series of actions that will start the process of imposing countervailing duties on cheap Chinese imports, defending American manufacturing and preserving American jobs. Add to these actions direct and focused protection of intellectual property and we will be back on the path to being the world standard for economic liberty and growth. But these actions alone won’t ensure Americans’ long-term security and prosperity.

When I am president, I will go to the American people and ask them to join me in getting Congress to reform our oppressive tax code. Specifically, capital held offshore will be brought back at a one-time tax rate of 10%. Corporate tax rates will be cut to 15%. This will spur immediate investment in America as we will once again be competitive. We will also need to attack deficit spending through budget discipline and begin the painful, but necessary, process of reducing our debt—especially reducing the debt held by foreign countries. To ensure the security of the nation and our investments, we will build the military we need to contain China’s overreach in the Pacific Rim and the South China Sea.

The American people need an administration that will tell them the truth and a president who will put America first. That’s what I intend to do.

Mr. Trump is a candidate for the Republican presidential nomination.

http://www.wsj.com/articles/ending-chinas-currency-manipulation-1447115601

Remember How Trump Threatened Ford? Well Look at the HUGE Announcement They Just Made

Tags: Donald Trump | Ford | Mexico | trade

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When the Ford Motor Co. decided to move jobs south to Mexico so that it could pay its workers less, billionaire businessman Donald Trump was furious. He made trade inequalities and Ford’s betrayal of American workers a central issue of his campaign.

And, without his even being in the Oval Office, it worked.

In an interview with CNBC, Ford CEO Mark Fields said that the automaker would be “here to stay.” He also said he had outlined his company’s plans in a letter to Trump.

While he didn’t offer specifics about whether Ford would be rolling back it’s $2.5 billion expansion of the company’s operations in Mexico, it was clear that Fields was committed to addressing Trump’s complaints directly.

“Ford Motor Co. is here to stay in the United States,” Fields said.

“We’re very proud as a company of what we do in terms of contributing to economic development here in the U.S.,” he added.

“We invested over $10 billion since 2011 at our facilities. We hired 25,000 people with plans to hire another 8,500 folks. It’s important for us to be successful in our home market and we love what we do for the economy.”

Ford’s expansion in Mexico had infuriated Trump, who had said he would call Fields and give him a message.

“Let me give you the bad news,” Trump said of his hypothetical conversation with Fields. “Every car, and every truck and every part manufactured in this plant that comes across the border, we’re going to charge you a 35 percent tax. OK? And that tax is going to be paid simultaneously with the transaction, and that’s it.”

Trump was also critical of another company that was moving jobs across the border, air conditioner manufacturer Carrier.

Trump’s rebuke — along with a viral video showing the reaction of Carrier employees in Indianapolis reacting to the news of the U.S. plant closures — helped make Carrier one of the most reviled faces of outsourcing.

However, thanks to Trump, at least one CEO is on the defensive and backing off somewhat. Just imagine how hard they’d be backpedaling were Trump actually the president.

H/T Newsmax

Ford CEO to Trump: ‘We Are Here to Stay in US’

Image: Ford CEO to Trump: 'We Are Here to Stay in US'

By R Williams   |   Wednesday, 23 Mar 2016 11:25 AM

Republican presidential frontrunner Donald Trump has made unfair foreign trade a central theme in his campaign for the White House, singling out U.S. companies such as Ford Motor Co. for moving operations abroad.
Ford CEO Mark Fields said he wrote a letter to Trump defending his company, elaborating in an interview with CNBC: “Ford Motor Co. is here to stay in the United States. It’s presidential politics and we are just going stay focused on facts.”

Trump first blasted Ford in April when the carmaker announced a $2.5 billion expansion of operations in Mexico.
At that time, Trump said he would call Fields and say: “Let me give you the bad news. Every car, and every truck and every part manufactured in this plant that comes across the border, we’re going to charge you a 35% tax. Okay? And that tax is going to be paid simultaneously with the transaction, and that’s it.”
In his interview with CNBC, Fields said: “We’re very proud as a company of what we do in terms of contributing to economic development here in the U.S. We invested over $10 billion since 2011 at our facilities. We hired 25,000 people with plans to hire another 8,500 folks. It’s important for us to be successful in our home market and we love what we do for the economy.”

It wasn’t the first time Fields responded to Trump, who accused the carmaker of backing off plans to expand U.S. operations. In an earnings call with investors in October, Fields said: “Facts are stubborn things, and at Ford we’re proud of the facts. Unfortunately, we suspect the facts are getting lost in the politics.”
Trump has mentioned Ford throughout his presidential campaign, but that’s not the only company he’s singled out.
In February, he also blasted air-conditioner maker Carrier, a unit of United Technologies Corp., after it announced plans to close a factory in Indianapolis and fire 1,400 employees.

By moving the plan to Monterrey, Mexico, Carrier could pay employees $6 an hour instead of $34, according to a United Steelworkers representative cited by TheIndyChannel.com.

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