Justin from Canada presents one of the most ridiculous contexts for the U.S. 232 Steel and Aluminum tariff decision. Justin proclaims the imposition of countervailing duties by the U.S. indicates that President Trump considers Canada a national security threat. Seriously, I’m not kidding, that’s what he is stating – watch.  Additionally, his feelings are hurt.

Apparently Justin from Canada cannot draw a distinction between an industry being lost, and that loss being a national security risk, and the hurt feelings of the Canadian Prime Minister. Intensely ridiculous… even for Justin. Obviously the irrational liberals in both the U.S. and Canada will likely draw the same ridiculous and illogical conclusions.

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China, the EU, Canada and Mexico have been exploiting weak U.S. trade policy for years. Through the effective utilization of targeted tariffs, with multiple opportunities -and warnings- to avoid the outcome, President Trump and Wilbur Ross cut the Gordian Knot.

The Big Club, driven almost entirely by the U.S. Chamber of Commerce and Tom Donohue are going bananas….. They can’t believe Trump actually did it. He actually followed through. The Wall Street consortium of multinationals are apoplectic.

Decades of economic gaslighting upon the U.S. electorate; massive manipulative multinational corporate influences; hundreds of millions spent purchasing U.S. politicians; and POTUS has just punched it all square in the face.

Amid ongoing trade stalemates with NAFTA and the EU, Commerce Secretary Wilbur Ross announced the U.S. Commerce Department will no longer provide exemptions for the European Union, Canada or Mexico on Steel/Aluminum tariffs.

In addition, a week ago, President Trump “instructed Secretary Ross to consider initiating a Section 232 investigation into imports of automobiles, including trucks, and automotive parts to determine their effects on Americas national security.

Section 232 of the Trade Expansion Act of 1962 (19 U.S.C. §1862) authorizes the Secretary of Commerce to conduct comprehensive investigations to determine the effects of imports of any article on the national security of the United States. As often stated by President Trump, Treasury Secretary Mnuchin and Commerce Secretary Wilbur Ross: “economic security is national security.”

In its current form NAFTA became an exploited doorway into the coveted U.S. market. Asian economic interests, large multinational corporations, invested in Mexico and Canada as a way to work around any direct trade deals with the U.S. By shipping parts to Mexico and/or Canada; and by deploying satellite manufacturing and assembly facilities in Canada and/or Mexico; China, Asia and to a lesser extent EU corporations exploited a loophole.

Through a process of building, assembling or manufacturing their products in Mexico/Canada those foreign corporations can skirt U.S. trade tariffs and direct U.S. trade agreements. The finished foreign products entered the U.S. under NAFTA rules. This exploitative approach, a backdoor to the U.S. market, was the primary reason for massive foreign investment in Canada/Mexico; it was also the primary reason why candidate Donald Trump, now President Donald Trump, wanted to shut down that loophole and renegotiate NAFTA.

Why ship directly to the U.S., or manufacturer inside the U.S., when you could just assemble in Mexico and Canada and use NAFTA to bring your products to the ultimate goal, the massive U.S. market?

All nuanced trade-sector issues put aside, the larger issue is always how third-party nations will seek to gain access to the U.S. market through Canada and Mexico. [It is the NAFTA exploitation loophole which has severely damaged the U.S. manufacturing base.] President Trump, Secretary Wilbur Ross and U.S.T.R. Lighthizer well understand this structural problem. ONLY Trump, Ross, Mnuchin and Lighthizer were willing to confront this problem. If Trump had lost the election, Clinton would have joined the multinationals and U.S. workers would have suffered greatly.

The issue of Canada/Mexico making trade agreements with other nations (especially China), while brokering their NAFTA position with the U.S. as a strategic part of those agreements, is a serious issue that could not adequately be resolved while U.S. remains connected to NAFTA. With the tax reform benefits, American workers are realizing they are getting more money in their paychecks; and as the U.S. economy continues to gain momentum, that’s the backdrop timing for President Trump/Sec Ross making the announcement today.

The Automobile Sector is one of the biggest points of contention within varying trade negotiations. In the NAFTA discussion the auto-sector, via rules of origin, runs at the heart of NAFTA’s fatal flaw. The fatal flaw = use of Asian, mostly Chinese, auto components within auto manufacturing. Mexico and Canada arguing to allow more Chinese auto parts in North American manufacturing; and President Trump demanding more North American parts for North American auto manufacturing.

The auto-sector is representative of much of the manufacturing exploitation by multinational corporations beyond vehicle production. China has supported the exploitation because they produce the components for multiple sectors (furniture, appliances etc).

The auto-sector is much more than just complete assembled vehicles. In many ways the core trade issues of part origination, manufacturing and assembly of multiple durable goods sectors are represented within the auto industry process.

Current trade negotiations with the EU, China and NAFTA reached a loggerhead status around these core issues. Multinational ‘Wall Street’ corporations unwilling to lose their prior multi-billion investments and take a new ‘America-First’ approach. POTUS Trump is rightly angered by many of them because he specifically offset any investment losses with a new U.S. corporate tax structure.

All of that said, the issues with the auto-sector have now rippled out into other trade sectors with discussions coming to a standstill until the auto issues are resolved. Enter President Trump and Commerce Secretary Wilbur Ross with the plan.

Knowing all of the outlier, generally lesser, trade sectors are being impacted over the Chinese auto component issue, President Trump cuts the Gordian Knot and tells Commerce Secretary Wilbur Ross to consider a Section 232 review of auto industry as it pertains to imports.

Additionally, amid ongoing trade stalemates with NAFTA and the EU, Commerce Secretary Wilbur Ross has announced the U.S. Commerce Department will no longer provide Steel and Aluminum tariff exemptions for the European Union, Canada or Mexico. During a telephone briefing with reporters today Secretary Ross announced at midnight tonight the 25% steel, and 10% aluminum, tariffs on imported goods will begin.

Australia, Brazil and South Korea (KORUS) have completed trade agreements with the U.S. and will remain exempt from any countervailing steel and aluminum duty. However, Canada and Mexico (NAFTA), as well as the EU, have been unwilling to reach reciprocal and balanced trade agreements with the U.S. and will now be subject to the tariff.

White House:

“The United States was unable to reach satisfactory arrangements, however, with Canada, Mexico, or the European Union, after repeatedly delaying tariffs to allow more time for discussions.”

The U.S. Chamber of Commerce representing Wall Street multinational interests are going bananas. DC politicians, and the multinational media, who are fully purchased by the U.S. CoC lobbyists are attacking the Trump administration….. all predictable.

U.S. Secretary of State Mike Pompeo and North Korea Vice-Chair Kim Yong-chol have concluded two days of discussions and meetings surrounding an agreement for the DPRK to eliminate all nuclear weapons and retreat from their nuclear ambitions.

Secretary Pompeo and Vice-Chairman Kim Yong-chol continue working toward a possible meeting between President Trump and North Korean Chairman Kim Jong-un in Singapore on June 12th.   After their meetings Secretary Pompeo held a press conference:

President Trump spoke briefly about the ongoing negotiations:

Amid ongoing trade stalemates with NAFTA and the EU, Commerce Secretary Wilbur Ross has announced the U.S. Commerce Department will no longer provide exemptions for the European Union, Canada or Mexico.

As anticipated, during a telephone briefing with reporters Secretary Ross announced at midnight tonight the 25% steel, and 10% aluminum, tariffs on imported goods will begin.

Via Reuters: U.S Commerce Secretary Wilbur Ross told reporters on a telephone briefing that a 25 percent tariff on steel imports and a 10 percent tariff on aluminum imports from the EU, Canada and Mexico would go into effect at midnight (0400 GMT on Friday).

“We look forward to continued negotiations, both with Canada and Mexico on the one hand, and with the European Commission on the other hand, because there are other issues that we also need to get resolved,” he said.

Ross offered little detail about what the EU, Canada and Mexico could do to have the tariffs lifted. (link)

The imposition of the import tariffs will likely break the impasse on current trade negotiations with multiple countries as they will now move to try and get their products exempted.

Australia, Brazil and South Korea (KORUS) have completed trade agreements with the U.S. and will remain exempt from any countervailing steel and aluminum duty.  Japan is close to signing a similar trade agreement.  However, Canada and Mexico (NAFTA), as well as the EU, have been unwilling to reach reciprocal and balanced trade agreements with the U.S. and will now be subject to the tariff.

The U.S. Chamber of Commerce representing Wall Street multinational interests will likely go bananas.  Those DC politicians who are fully purchased by the U.S. CoC lobbyists will likely attack the administration….. all predictable.

(Via NBC) […] The European Commission fired back at the White House’s trade decision with a lawsuit, saying the E.U. “stands now ready to react to the U.S. trade restrictions on steel and aluminum in a swift, firm, proportionate and fully WTO-compatible manner. The E.U. will launch legal proceedings against the U.S. in the WTO on 1 June. The level of tariffs to be applied will reflect the damage caused by the new U.S. trade restrictions on E.U. products.”

Mexico’s Ministry of Economy released a statement saying “Mexico deeply regrets and rejects the decision of the United States to impose these tariffs on imports of steel and aluminum from Mexico as of June 1, under the criterion of national security. Mexico will impose equivalent measures to various products in the face of U.S. protectionist measures.”

[…]  “These tariffs are totally unacceptable,” said Canadian Prime Minister Justin Trudeau in a press conference Thursday afternoon. “Over the past 150 years, Canada has been the most steadfast ally. The idea that Canada could be considered a national security threat to the United States is inconceivable.”

Starting July 1, Canada will levy “dollar-for-dollar” tariffs on a selection of American-made goods, said Foreign Minister Chrystia Freeland, announcing that the government had drawn up two lists of products that would be subject to either 25 percent or 10 percent taxation, until the U.S. changed its position.  (read more)

U.S. Secretary of State Mike Pompeo began the first meeting with North Korean emissary Kim Yong-chol today in New York.  Over the next two days the two leaders are anticipated to discuss terms of North Korean denuclearization and the possibility of a summit in Singapore between President Donald Trump and North Korean Chairman Kim Jong-un.

Pompeo arriving like a boss

Kim Yong-chol, is one of the most influential North Koreans outside of the Kim Jong-un family.  Premier Kim Yong Chol has been closely involved in with talks with South Korea and is the most senior DPRK official to set foot in the US since 2000.

Over the next two days Secretary Pompeo and Premier Kim Yong-chol are anticipated to discuss the granular details of North Korea giving up all nuclear weapons.  There is a great deal of responsibility on the shoulders of Pompeo to ensure clarity of expectations in advance of any further diplomatic meetings.

North Korean’s leader’s right hand man, arrived at a New York apartment near the UN headquarters for a steak dinner meeting shortly after Secretary Pompeo arrived: VIDEO:

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The Wall Street Journal is publishing a report the European Union is likely to lose their exemption on Friday June 1st, from the U.S. Steel (25%) and Aluminum (10%) tariffs. Despite their article outline almost everything is still speculation at this point; however, our own review of the trade position indicates the administration is very prepared to begin delivering the metal tariffs on all nations, including NAFTA partners, without reservation.

President Trump positioning the auto-industry 232 review, May 23rd, was one of the key ‘leverage signals‘ something was about to change.

Despite massively one-sided EU imposed tariffs against U.S. products, the EU is demanding to be permanently exempted from any U.S. reciprocal tariff measures or they will block the import of U.S. products. The hypocrisy is typically European.

Adding fuel to the speculation the tariff exemptions will be allowed to expire Commerce Secretary Wilbur Ross stated earlier today, at the Organization for Economic Co-operation and Development (OECD) summit – a multinational trade conference, that any/all trade discussions are entirely possible regardless of whether the U.S. begins the tariff against steel and aluminum imports.

WSJ – […]  Mr. Trump has threatened to punish EU car exports if the bloc retaliates, and Mr. Ross is pursuing a study of car and auto-part imports similar to the one he completed on steel and aluminum.

Officials in some EU member states are already angry at Washington over Mr. Trump’s decision to pull out of the Iran nuclear deal. Still, others, including some German officials, want to seek a solution that prevents economic damage.

French President Emmanuel Macron said Wednesday the EU shouldn’t respond to pressure with weakness.

“The day before an important decision I want to repeat this: Unilateral responses and threats of trade war resolve none of the serious imbalances in global trade,” Mr. Macron said at the gathering with Mr. Ross. “A trade war is always a war lost by everyone.”

“Independently of this decision we must do everything to protect our interests and act with self-confidence and yet preserve free trade as much as possible,” said Peter Altmaier, Germany’s minister of economic affairs, following a meeting with Mr. Ross.

Mr. Ross said in Paris that “every country’s primary obligation is to protect its own citizens and their livelihoods.”  (read more)

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Expanded discussion segment:

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Canada is vowing to retaliate against the U.S. if President Trump subjects NAFTA partners to the same tariffs as other trade nations and eliminates the NAFTA loophole. {Go Deep}

The NAFTA Loophole allows Canada and Mexico to broker independent trade deals with Asian and European companies; then use their Mexican and Canadian access to the U.S. market as a backdoor around U.S. Tariffs.

This loophole has been exceptionally rewarding for both Canada and Mexico and for more than a decade they have structured their economies around loophole retention. U.S. corporations, seeing advantages from cheap Asian parts in Mexico and Canada, have moved some manufacturing there to take advantage.  In an effort to reset the trade imbalance created by the loophole President Trump is threatening to close it.

OTTAWA (Reuters) – Canada will “respond appropriately” to any U.S. steel and aluminum tariffs, Foreign Minister Chrystia Freeland said on Wednesday, less than two days before the punitive measures are due to kick in.

“The government is absolutely prepared to – and will defend – Canadian industries and Canadian jobs. We will respond appropriately,” Freeland told reporters when asked about possible U.S. action.

Canadian government officials have said they are prepared to impose retaliatory tariffs should the Trump administration make a move but have not revealed what they have in mind.

Trump says the steel and aluminum tariffs would be imposed for security reasons, which Freeland said was “frankly absurd”. Canada has repeatedly rejected any suggestion it could be a threat to the United States.

Freeland spoke after returning from Washington, where she met U.S. Trade Representative Robert Lighthizer to discuss NAFTA. The negotiation “will take as long as it takes to get a good deal”, she said. (read more)

Foreign Minister Freeland will not allow Canada’s economic needs to be ignored:

Earlier today President Trump signed S. 204, the “Right to Try Act”. The legislation provides terminally ill patients with the right to try experimental medicine and medical procedures. Detail: authorizes certain patients to seek access to certain unapproved investigational drugs directly from a drug sponsor or manufacturer; limits the use of clinical outcomes and liability arising from the provision of such drugs; and provides reporting requirements for the use and outcomes of the new authority.

[Transcript] 12:31 P.M. EDT – THE PRESIDENT: Thank you very much, everybody. I really appreciate it. This is — to me, this is a very important moment, a very important day. Been looking forward to this for a long time, along with Senator Ron Johnson. And I will tell you, we worked hard on this. I never understood why it was hard.

They’ve been trying to have it passed for years. I never understood why. Because I’d see people — friends of mine, and other people I’d read about, where they’d travel all over the world looking for a cure. And we have the best medical people in the world, but we have trials and we long time — 12 years, 15 years. Even when things look really promising, so many years. And I never understood why they didn’t do this. And we worked very hard.

And I want to thank Vice President Pence for helping us so much. Mike was in there, and I’d say, “Mike, how we doing? We got to get it approved.” And he was — he was really working it. And in my State of the Union Address, four months ago, I called on Congress to pass Right to Try. It’s such a great name. Some bills, they don’t have a good name. (Laughter.) Okay? They really don’t. But this is such a great name, from the first day I heard it. It’s so perfect. Right to Try.

And a lot of that trying is going to be successful. I really believe that. I really believe it.

So we did it. And we went through the Senate, we went through the House. The House had a bill. The Senate had a bill. We’d go and mesh them together. We got to go back and take votes. And I said, do me a favor — tell me, which is the better bill for the people? Not for the insurance company, not for the pharmaceutical companies. I don’t care about them. I really don’t. I couldn’t care less. (Applause.)

And that’s the bill I — I won’t tell you which one. But I took the one that was — (laughter) — they said one in particular was great for the people. Not so good for the others, but great for the people. We don’t care about the others right now. And it’s giving terminally ill patients the right to try experimental lifesaving treatments. And some of these treatments are so promising.

And we’re moving that timeline way up anyway, beyond this. We’re moving it way up. But it’s still a process that takes years. Now it takes up to 15 years; even 20 years, some of these treatments are going. But for many years, patients, advocates, and lawmakers have fought for this fundamental freedom. And as I said, incredibly, they couldn’t get it. And there were reasons. A lot of it was business. A lot of it was pharmaceuticals. A lot of it was insurance. A lot of it was liability. I said, so you take care of that stuff. And that’s what we did.

Today I’m proud to keep another promise to the American people as I sign the Right to Try legislation into law. (Applause.)

Right? (Speaks to participant on stage.) You’re so beautiful. So beautiful.

If I looked like that, I would have been President 10 years earlier. (Laughter.) If I had that face, if I had that head of hair, I would have been President so long ago. (Laughter.) That’s great.

So I want to thank a couple of people. Secretary Azar is here. Where’s the Secretary? Secretary? Please stand up. You have worked so hard on this. (Applause.) Thank you very much. You’ve really done a great job. And we’re going to have another exciting news conference over the next, what, three weeks? Four weeks? Two weeks? What do you think? On healthcare. We’re going to have great healthcare. We’ll get rid of the individual mandate. Without that, we couldn’t be doing what we’re doing in a few weeks. We’re going to have great, inexpensive, but really good healthcare.

And we have two plans coming out. We also have, through our great Secretary of Labor, we have a great plan coming out, and that’s through associations. We’re going to have two plans coming out. For the most part, we will have gotten rid of a majority of Obamacare. Gotten tremendous — (applause) — yeah. Could have had it done a little bit easier, but somebody decided not to vote for it, so it’s one of those things.

I want to thank Secretary Azar, and I want to thank Commissioner Gottlieb. Where’s Scott? Scott, stand up. (Applause.) Ooh, I like those — I like those socks, Scott. And, Scott, let me ask you. So it takes years and years to get this approved, right? You’re bringing down — beyond this, you’re bringing down that period of time. What is the average time now it takes for, you know, a major medicine or cure? What’s the average time it takes to go through the system and get an approval?

COMMISSIONER GOTTLIEB: Depends on the medicine. Probably three to seven years.

THE PRESIDENT: Three to seven. And some go long over 10, right?

COMMISSIONER GOTTLIEB: Some can go much longer.

THE PRESIDENT: And you’re bringing that down? You’re trying to bring that down? You know, for safety. Very good. And you, in particular, you’re very happy with this. Aren’t you?

COMMISSIONER GOTTLIEB: We are.

THE PRESIDENT: You have a lot of good things in the wings that, frankly, if you moved them up, a lot of people would have a great shot. Right?

COMMISSIONER GOTTLIEB: We’re trying to get (inaudible), Mr. President, under your leadership.

THE PRESIDENT: Right. That’s fantastic. Well, thank you, Scott. We’re very proud of the job you’re doing.

We’re also working very hard in getting the cost of medicine down. And I think people are going to see, for the first time ever in this country, a major drop in the cost of prescription drugs. Right? (Applause.) And, Mr. Secretary, that’s already happening. Right? That’s already happening. You were telling me yesterday that we’re seeing a big — a tremendous improvement. And you’re going to have some big news. I think we’re going to have some big — some of the big drug companies in two weeks. And they’re going to announce — because of what we did, they’re going to announce voluntary massive drops in prices. So that’s great. That’s going to be a fantastic thing.

You know, we’re working on some really great things. Aren’t we? When you think about it. Ron, pretty good. Huh? We could do some of those — healthcare, drug prices. But this is the baby. Right now.

We would not be here today without the tireless efforts of dedicated members of Congress. That’s so true. I want to especially thank Senator Ron Johnson — stand up please, Ron — (applause) — for his tremendous leadership. You know, I just tell you, he doesn’t stop. He doesn’t give up. You know, it’s good. It’s good for all of us. This guy, Ron, very capable, very — he just doesn’t give up. So when we started working, I knew this was going to happen.

I also want to thank Senator Donnelly. Senator Donnelly, thank you very much. That’s really great. Appreciate it. Thank you. Thank you. (Applause.) A fantastic young gentleman, Brian Fitzpatrick of Pennsylvania. Brian, congratulations. And I know how hard you work, Brian. (Applause.) And Dr. Michael Burgess. Do you like being called “Doctor” or “Congressman”? I think “Doctor” is better. I like “Doctor.” (Laughs.) So we’ll call him Doctor. (Applause.) Thank you, Michael, very much. Great job. You worked — I know how hard everybody worked, and I really appreciate it. Everybody appreciates it. The country appreciates it. Because nobody understood why this wasn’t happening. You know, they’ve been talking about this for how long, Ron? Twenty-five years?

SENATOR JOHNSON: A long time.

THE PRESIDENT: A long time. A lot of talk. Politicians. It’s a lot of talk.

I also want to thank Energy and Commerce Committee Chairman Greg Walden, who’s not here. But he really worked hard with us. He really did. (Applause.) And thanks, as well, to state and local officials here today who fought for this important cause. They fought so hard, so many of them. I want to thank you for the incredible work that you’ve done on behalf of these and all wonderful Americans. I mean, anybody can be there someday. Anybody can be there. Could you all stand up — the state, local people that worked so hard on this? Because you really have been — thank you. Yep. Thank you, fellas. (Applause.) Couldn’t have done it without the state and local, and I appreciate it. Really great job. Thank you.

Most of all, we’re honored to be joined by several brave Americans for whom this bill is named. Matthew Bellina, who is battling ALS, and his incredible wife Caitlin. Matthew. Right? (Applause.) Thank you. Thank you. Laura McLinn and her son, Jordan, who is battling muscular dystrophy. Some good answers. (Applause.) That’s so great. Thanks. Thanks for being with us, Jordan. We’re going to have some good answers for you. (Laughter.) Matthew, you’re going to be happy. You are happy. Frank Mongiello, who’s battling ALS, and who’s joined by his wife, Marylin, and their six children. Wow. That’s fantastic. That’s fantastic. (Applause.) Thank you. Six children. And finally, I want to thank for being here and introduce Tim Wendler, who tragically lost his wife Trickett to ALS, and joined also by their three children. So, Tim, thank you very much. Thank you, Tim. (Applause.)

I want to thank you all for being here. You have extraordinary courage, determination, and love. You have love. Real love. And thanks to you, the countless American lives will ultimately be saved. We will be saving — I don’t even want to say thousands, because I think it’s going to be much more — thousands and thousands, hundreds of thousands. We’re going to be saving tremendous numbers of lives. And it’s so great that you’re up here with us and that we’re all on this front line together.

Each year, thousands of terminally ill patients suffer while waiting for new and experimental drugs to receive final FDA approval. It takes a long time, and the time is coming down. While we were streamlining and doing a lot of streamlining, the current FDA approval process can take, as Scott just said, many years — many, many years. And for countless patients, time, it’s not what they have. They don’t have an abundance of time.

With the Right to Try law I’m signing today, patients with life-threatening illnesses will finally have access to experimental treatments that could improve or even cure their conditions. These are experimental treatments and products that have shown great promise, and we weren’t able to use them before. Now we can use them. And oftentimes they’re going to be very successful. It’s an incredible thing.

The Right to Try also offers new hope for those who either don’t qualify for clinical trials or who have exhausted all available treatment options. There were no options, but now you have hope. You really have hope.

Matthew Bellina, who is here with us, is just one example of many Americans who today has new cause for hope. Due to the late progression of Matt’s ALS, he doesn’t qualify for any clinical trials in the United States. He wouldn’t qualify; couldn’t do it. They tried; he didn’t qualify.

Despite his limited mobility and budget, he was planning on traveling thousands of miles away, to Israel, to receive a treatment that is still awaiting FDA approval in America. No one in Matt’s position should ever have to travel from our great country to another continent or another country to receive a treatment.

Now, with the passage of this bill, Americans will be able to seek cures right here at home, close to their family and their loved ones. We are finally giving these wonderful Americans the right to try. So important. (Applause.)

America has always been a nation of fighters who never give up. Right? We never give up, ever. Right? Never give up. We’re fighters, like the amazing patients and families here today.

Now, as I proudly sign — and this is very personal for me. But as I proudly sign this bill, thousands of terminally ill Americans will finally have the help, the hope, and the fighting chance — and I think it’s going to be better than chance — that they will be cured, that they will be helped, that they’ll be able to be with their families for a long time or maybe just for a longer time. But we’re able to give them the absolute best, as to what we have at this current moment, at this current second. And now, we’re going to help a lot of people. We’re going to help a lot of people.

So it’s an honor to be signing this. And if I might, I think I’ll present — I think I have to do this, Ron. I have to present this good-looking guy with the first pen. Is that okay? You don’t mind, right? Okay, good. I’m going to do that. (Applause.)

(The bill is signed.) (Applause.)

So I want to thank — (laughter) — it’s going to be fantastic.

Thank you all very much. This, to me, is very exciting. And you’re going to see some tremendous results. We’re going to have some incredible, incredible results.

So thank you all for being here. And all of the people in the audience who have been so helpful, thank you very much. It’s going to be something very, very special. Thank you. (Applause.)

END

Buried in a Wall Street Journal article outlining their shock and horror over President Trump following through with a Phase-I trade penalty of $50 billion, you find the following quote from Captain Obvious at Cornell University:

“The Trump administration is clearly signaling, ahead of Wilbur Ross’s trip to Beijing, that the gloves are off given China’s unwillingness to agree to a trade deficit reduction target or to make broader trade concessions,” said Eswar Prasad, a Cornell University professor of international trade. In addition, the “hardline stance may partly reflect the perception that China played a part in nearly derailing the Trump-Kim summit.” (link)

Gee, ya think?

The White House announced today it will clarify by June 15 a final list of $50 billion in imports from China that would be subject to tariffs of 25%, with the duties implemented “shortly thereafter.”  Additionally, future investment restrictions aimed at preventing Chinese acquisition of American technology will be announced by June 30.

Statement from the White House:

♦ YEARS OF UNFAIR TRADE PRACTICES: China has consistently taken advantage of the American economy with practices that undermine fair and reciprocal trade.

For many years, China has pursued industrial policies and unfair trade practices—including dumping, discriminatory non-tariff barriers, forced technology transfer, over capacity, and industrial subsidies—that champion Chinese firms and make it impossible for many United States firms to compete on a level playing field.

• China’s industrial policies, such as its “Made in China 2025” plan, harm companies in the United States and around the world.
• China imposes much higher tariffs on United States exports than the United States imposes on China.
• China’s average tariff rate is nearly three times higher than the average United States rate.
• Certain products are even more imbalanced, for instance the United States charges a 2.5 percent tariff on Chinese cars, while China currently maintains a 25 percent tariff on cars from the United States.
• China has banned imports of United States agricultural products such as poultry, cutting off America’s ranchers and farmers from a major market for their goods.
• China has dumped and unfairly subsidized a range of goods for the United States market, undermining America’s domestic industry.

♦In 2018 alone, the Trump Administration has found dumping or unfair subsidies on 13 different products, including steel wheels, cold-drawn mechanical tubing, tool chests and cabinets, forged steel fittings, aluminum foil, rubber bands, cast iron soil pipe and fittings, and large diameter welded pipe.

♦In January 2018, the Trump Administration found that China’s overproduction of steel and aluminum, and the resulting impact on global markets, is a circumstance that threatens to impair America’s national security.

♦The United States has run a trade in goods deficit with China for years, including a $375 billion deficit in 2017 alone.

♦ UNDERMINING AMERICAN INNOVATION AND JOBS: China has aggressively sought to obtain technology from American companies and undermine American innovation and creativity.

• The cost of China’s intellectual property theft costs United States innovators billions of dollars a year, and China accounts for 87 percent of counterfeit goods seized coming into the United States.
• United States Trade Representative’s (USTR) Section 301 investigation identified four of China’s aggressive technology policies that put 44 million American technology jobs at risk:

•Forced technology transfer;
•Requiring licensing at less than economic value;
•Chinese state-directed acquisition of sensitive United States technology for strategic purposes; and
•Outright cyber theft.

• China uses foreign ownership restrictions, administrative review, and licensing processes to force or pressure technology transfers from American companies.
• China requires foreign companies that access their New Energy Vehicles market to transfer core technologies and disclose development and manufacturing technology.
• China imposes contractual restrictions on the licensing of intellectual property and technology by foreign firms into China, but does not put the same restrictions on contracts between two Chinese enterprises.
• China directs and facilitates investments in and acquisitions of United States companies to generate large-scale technology transfer.
• China conducts and supports cyber intrusions into United States computer networks to gain access to valuable business information so Chinese companies can copy products.

♦ STANDING UP TO CHINA’S UNFAIR TRADE PRACTICES: President Trump has taken long overdue action to finally address the source of the problem, China’s unfair trade practices that hurt America’s workers and our innovative industries.

• In January 2018, the President announced his decision to provide safeguard relief to United States manufacturers injured by surging imports of washing machines and solar products.
• This was the first use of Section 201 of the Trade Act of 1974 to impose tariffs in 16 years.
• These actions responded to injurious trade practices by China and other countries, including attempts to avoid legally imposed antidumping and countervailing duties.
• Following the decision, Whirlpool announced 200 new jobs in Ohio.
• USTR and the Department of Commerce are working together to defend the right of the United States to continue treating China as a non-market economy in antidumping investigations until China makes the reforms it agreed to when it joined the World Trade Organization (WTO).
• President Trump’s Administration has successfully litigated WTO disputes targeting unfair trade practices and upholding our right to enforce United States trade laws.
• In February 2018, USTR won a WTO compliance challenge against China’s unfair antidumping and countervailing duties on United States poultry exports and China announced the termination of those duties.

♦PROTECTING AMERICAN INNOVATION AND CREATIVITY: President Trump has worked to defend America’s intellectual property and proprietary technology from theft and other threats.

In August 2017, the Administration initiated a Section 301 investigation into China’s practices related to forced technology transfer, unfair licensing, and intellectual property policies.

After USTR completed its Section 301 report in March 2018, the President directed the agencies to explore numerous actions to protect domestic technology and intellectual property.

Under President Trump’s leadership:

• The United States will impose a 25 percent tariff on $50 billion of goods imported from China containing industrially significant technology, including those related to the “Made in China 2025” program. The final list of covered imports will be announced by June 15, 2018.
• USTR will continue WTO dispute settlement against China originally initiated in March to address China’s discriminatory technology licensing requirements.
• The United States will implement specific investment restrictions and enhanced export controls for Chinese persons and entities related to the acquisition of industrially significant technology. The list of restrictions and controls will be announced by June 30, 2018.

WH LINK

“Oh dear”..

“Check!”