If China changes its behavior “in a meaningful
way in that area ... then we will have ended up
in a better place. That’s what I’m hoping for. But
let’s be honest. In the meantime, we’re doing
damage. It’s a double-edged sword,” he said.
To try to force Beijing to reform its trade
practices, the Trump administration has imposed
import taxes on billions of dollars’ worth of
Chinese imports, and China has retaliated with
tariffs on U.S. exports.
“It’s a good thing taking on China. Unfortunately,
he’s done it the wrong way,” said AFL-CIO President
Richard Trumka said on “Fox News Sunday.”
“To take on China there has to be a multilateral
approach. One country can’t take on China to try
to dry up its overcapacity because they just send
it through to you in other ways,” he said.
Trump has insisted that China itself pays the
tariffs. But in fact, economic research has
concluded that the costs of the duties fall on U.S.
businesses and consumers. Trump had indirectly
acknowledged the tariffs’ impact by delaying
some of the duties until Dec. 15, after holiday
goods are already on store shelves.
study by J.P. Morgan found that Trump’s tariffs
will cost the average U.S. household $1,000 a
year. That study was done before Trump raised
the Sept. 1 and Dec. 15 tariffs to 15% from 10%.
The president has also announced that existing
25% tariffs on a separate group of $250 billion of
Chinese imports will increase to 30% on Oct. 1.
That cost could weaken an already slowing
U.S. economy. Though consumer spending
grew last quarter at its fastest pace in five years,
the overall economy expanded at just a modestImage: Manuel Balce Ceneta