Paul Burgess’ Post

It is EVs. An interesting take of the Chinese on the bleeding obvious, China would hurt Italy and France the most in Europe, and China would hurt Germany the most in China, if the EU Evs tariffs against Chinese social & environmental dumping, illegal subsidies and any other Power Trade, or better, trade war, is applied in Chinese exports to Europe.

EU offered some token discounts on the tariffs. China offered some token measures to restrict sales into EU. And there is not enough leverage to get a deal done. But it is hard. EU claims China has way over-subsidised its EV industry and have expansive claims over what constitutes subsidies (direct and indirect); and China denies over-subsidising because what is the right level of subsidies? The tariffs will be enacted. And then both sides trade some bards and tariffs before they talk again. Remember it is not the strongest that wins, it is whose weakness that is more urgent and compelling that forces that side to soften its demands. Right now, EU does not give a damn about green energy - as long as jobs are at stake. (And taxes).

My comments to the "Washington Post" about the rationale for Biden's new EV tariffs: “If you don’t push back on Chinese subsidies, you lose your industry… This is not solvable. This is the nature of their system.” In fact, the problem of Chinese subsidies is among the oldest irritants in US-China trade relations and these EV tariffs are the logical result of more than two decades of friction. The US was initially reluctant after China joined the WTO in 2001 to bring dumping cases, then tried dialogues and negotiations, and has finally decided to take proactive action to prevent an anticipated flood of subsidized goods. We have now entered a new phase in the US-China trade conflict and the US is likely to adopt such proactive measures to address Chinese subsidies in other sectors as well. 

Historically insightful patterns on "free trade" presented by Ben Norton across 1860s Britain and today's USA. "Biden's tariffs on China expose US hypocrisy on 'free trade' & tech subsidies. The Joe Biden White House imposed high tariffs on Chinese technological products, including electric vehicles (EVs), solar panels, batteries, and semiconductors. Ben Norton analyzes the hypocrisy of US government accusations that Beijing provides unfair subsidies to its industries, while Washington is spending trillions on industrial policy -- and how this exposes the "free trade" dogma spread by neoliberal economists as a myth." https://lnkd.in/dVpfuKFQ

U.S. President Joe Biden, a Democrat seeking re-election, is set to announce new #China #tariffs as soon as Tuesday, targeting sectors including #electricvehicles, medical supplies and #solar equipment. Biden has taken a tough-on-China approach that would maintain existing tariffs on many Chinese goods set by former President Donald Trump, his expected Republican challenger. The impact on Chinese industries, however, is expected to be limited. Read about what's at stake, and more on the #energytransition, at Kathari.News

China wants EU to scrap proposed higher tariffs and 'abide by WTO rules,' state media reports #China #EU #Tariffs #WTO #Trade #Economy #Internationaltrade #Globalnews #Tarifftensions #Worldtradeorganization #EV #EVs #Internationalrelations #Newsalert #Economicpolicy #Policydebate #Tradeagreement

Proclaiming that "I'm a big believer in tariffs," former President Donald Trump on Monday indicated he's likely to reinstitute duties on foreign goods should he win election to a second term.In a CNBC interview, Trump cited both economic and political benefits from targeting foreign goods entering the U.S."I #AsiaEconomy #businessnews #China #DonaldTrump #economy #Foreignpolicy #Governmentandpolitics #JoeBiden #politics #Trade #Worldeconomy

I write in POLITICO POLITICO Europe abt the European response to Trump tariffs - persuasion - disuassion - retaliation - alliances with other countries #Trump #trade #tariffs #europe 👇 https://lnkd.in/decVKA8b

🚗🇩🇪 Germany is trying to have it their way against #EU decision! The German government is reportedly working to soften or prevent the EU's proposed new tariffs on Chinese #EVs. They say they want to protect German interests and avoid a tariff war. 🇩🇪🤝🇨🇳 Economy Minister Habeck will discuss solutions in China next week. #TradeTensions #EVMarket #Germany #EU #China https://lnkd.in/eGmYKM3y

United States Secretary of the Treasury Janet Yellen's visit to #China is likely to focus on US concerns about Chinese clean-tech subsidies. But rather than imposing tariffs on Chinese EVs and other products, the US should fight fire with fire, say Gernot Wagner and Shang-Jin Wei.