Trade Wars

[dgreco]

Yup, Barack has done it again...

With President Obama slapping down an anti dumping tax on Chinese made tyres, he single handedly irked the Chinese government and started what might become known as the auto wars.

China did not take too kindly to its tyres being priced out of the US market thanks to anti dumping taxes, and plans on probing US built cars that are imported into China. Currently several US car manufacturers are relying on Chinese sales to keep them afloat during rough economic times, the big three are the ones that are affected most, but it looks like GM and Chrysler are going to be taking this one hard:

*Buick Enclave
*Hummer models,
*Cadillac CTS, Escalade, SRX, CLX and XLR
*Dodge – Journey, Caliber, and Avenger
*Jeep – Patriot, Compass, Wrangler, Grand Jeep
*Ford – Lincoln Navigator, and Escape

According to media reports, the ministry of commerce has received information from the China Association of Automobile Manufacturers (CAAM) regarding the probing of anti dumping taxes on vehicles (including sedans and SUVs) that were produced in the USA, and have engine displacements over 2.0L. CAAM believes that this market segment is causing serious harm to domestically produced vehicles.
http://www.chinacartimes.com/2009/11/09 ... r-imports/

[dbackjon]

So you want Obama to roll over like past Presidents and allow China to dump shit on the US, but not allow the US free access to Chinese Markets?

[dgreco]

I think he needs to look at the Cost-Benefit Analysis of this situation and see that maybe this isn't the best option.

It also doesn't help that they are our largest creditor and clearly are upset with the way things are going.

Chinese Premier Wen Jiabao has warned the US about its current spending, maybe we will listen to them since we refuse to listen to other countries who oppose are spending such as France.

http://news.yahoo.com/s/nm/20091108/bs_ ... _financial

and recently the G-20 will no longer support the US Dollar, which is not good for us or China and further hurts us.

http://finance.yahoo.com/tech-ticker/ar ... JI,%5EGSPC

If you look at the projected spending vs. Clinton/Bush you will see it is way out of hand and unsustainable.

http://www.washingtonpost.com/wp-dyn/co ... 00104.html

I think we do need to roll over for this case and a few others, because we have no room to piss off China. If China wants to collect on those notes we will be worse than Tanzania and have 2000% inflation and a completely useless economy and dollar.

[dbackjon]

We ALWAYS roll over for the Chinese, and one reason why we are in the economic predicament we are in today.

Fuck the Chinese - either they play by the same rules, or GTFO.

[dgreco]

But the problem is in the american people. We want a certain good, we cannot afford that good. We look to the government for this good, the government cannot afford what we want. So instead of saying you cannot have this good, we go to China and China buys our debt so that our money does not reach super-inflation. They do this so we can continue to buy their goods, some 60 million a year ( http://www.bloomberg.com/apps/news?pid= ... Oe4em9noD4 ).

The problem is if we don't roll over and listen to them our money loses value. We then cannot buy those Chinese goods, China loses a good amount of GDP (and this is already happening - http://www.theepochtimes.com/n2/content/view/24095/ ), their economy hurts, they collect on our bad debt, and our economy collapses.

We really have no other choice.

[dbackjon]

So you are saying we should all just learn Chinese and become their serfs? FUCK THAT

[dgreco]

So you are saying we should all just learn Chinese and become their serfs? FUCK THAT

I am saying instead of spending 1.85 trillion on budget spending for hardly tangible things invest that into tangible products. Actually rebuild bridges and roads. Have all the products come from the US be built in the US and by US citizens. Be a protectionist country while we have the dollar gain value, and as it gains value do something about our debt. Cut programs, like Obama said we should do, that are just a waste of money and use that excess money to fix our problems.

Keynesian economics do not work and that is especially true during recessions and depressions.

[dgreco]

Just to add another point of bad spending.

We are opposed to off shore drilling, but Obama loaned 2 billion to Brazil to do that offshore drilling. If we are going to drill offshore anyway, and other countries already drill offshore near our country why not save that $2 billion and give those jobs to Americans and produce our own product. Instead, we are loaning money to another country and buying their product.

http://online.wsj.com/article/SB1000142 ... 24166.html

This could all just of been Haliburton part two... idk

http://www.bloomberg.com/apps/news?pid= ... V5sgGzdsQY

His New York-based hedge-fund firm, Soros Fund Management LLC, sold 22 million U.S.-listed common shares of Petrobras, as the Brazilian oil company is known, according to a filing today with the U.S. Securities and Exchange Commission. Soros bought 5.8 million of the company’s U.S.-traded preferred shares.

So Soros, the money-man behind obama's election, dives in right before obama makes a commitment like this... Of course insider trading will never be brought up here though.

I think again until we fix our problems we have to roll over to a country like China. 2 billion could of been used here or used in other ways to fix our problems.

China has a right to complain when they are keeping us afloat and we continue to do stuff like this.

[Chizzang]

is a Tyre..?

[Grizalltheway]

But the problem is in the american people. We want a certain good, we cannot afford that good. We look to the government for this good, the government cannot afford what we want. So instead of saying you cannot have this good, we go to China and China buys our debt so that our money does not reach super-inflation. They do this so we can continue to buy their goods, some 60 million a year ( http://www.bloomberg.com/apps/news?pid= ... Oe4em9noD4 ).

The problem is if we don't roll over and listen to them our money loses value. We then cannot buy those Chinese goods, China loses a good amount of GDP (and this is already happening - http://www.theepochtimes.com/n2/content/view/24095/ ), their economy hurts, they collect on our bad debt, and our economy collapses.

We really have no other choice.

And if our money loses value, their $800 billion in treasuries lose value as well.

[AZGrizFan]

But the problem is in the american people. We want a certain good, we cannot afford that good. We look to the government for this good, the government cannot afford what we want. So instead of saying you cannot have this good, we go to China and China buys our debt so that our money does not reach super-inflation. They do this so we can continue to buy their goods, some 60 million a year ( http://www.bloomberg.com/apps/news?pid= ... Oe4em9noD4 ).

The problem is if we don't roll over and listen to them our money loses value. We then cannot buy those Chinese goods, China loses a good amount of GDP (and this is already happening - http://www.theepochtimes.com/n2/content/view/24095/ ), their economy hurts, they collect on our bad debt, and our economy collapses.

We really have no other choice.

And if our money loses value, their $800 billion in treasuries lose value as well.

Exactly. You're swimmin' upstream here, dgreco.

[native]

We ALWAYS roll over for the Chinese, and one reason why we are in the economic predicament we are in today.

**** the Chinese - either they play by the same rules, or GTFO.

I feel the same way, Jon,

...but have not yet decided upon the most rational way forward.

[Wedgebuster]

Still like to give that Chinese gymnastics team a good pelvis popping.

[dgreco]

And if our money loses value, their $800 billion in treasuries lose value as well.

Exactly. You're swimmin' upstream here, dgreco.

Yes the Chinese economy is connected to the American dollar but they are no idiots. They have an actual stimulus of almost a trillion dollars that is to rebuild their economy and fix and boost their money. They also have been diversifying their credits (Such as the soft loans to the Sino-African communities and other Southeast Asian countries). The Renminbi is just going to continue to get stronger as they build off other forms of currency and lower the percentage connected to the US Dollar.

[houndawg]

So you are saying we should all just learn Chinese and become their serfs? **** THAT

I agree with the sentiment, Jon, but really, when was the last time you got tough with your banker?

[Ivytalk]

is a Tyre..?

Britspeak for "tire." It's just a horse of a different colour!

[dbackjon]

So you are saying we should all just learn Chinese and become their serfs? **** THAT

I agree with the sentiment, Jon, but really, when was the last time you got tough with your banker?

Last week. They need our business as much as we need their money

[houndawg]

I agree with the sentiment, Jon, but really, when was the last time you got tough with your banker?

Last week. They need our business as much as we need their money

Our business isn't going anywhere, unless we can find somebody else willing to finance our wars, and who's going to do that? The only ones who can do that would require a non-Muslim opponent.