The tariff war of Donald Trump, Live | The White House guarantees that the rates of 104% in China will apply from tomorrow | International
The United States consider “a big mistake” the Chinese response to rates: “They have a losing hand”
The secretary of the United States Treasury, Scott Bestent, warned that China’s response to the rates imposed by the United States, which has so far consisted in the increase in its rates, is “a mistake” because it believes that Beijing has a “loser hand”, given that Chinese exports in the United States are much more substantial than the Americans in China.
“I think it’s a big mistake, this Chinese escalation – the Asian giant said Tuesday that” will fight until the end “in the tariff war – because they are playing with a couple of doses,” Bestent said in an interview in the CNBC chain. “What do we lose if the Chinese load the rates? They export a fifth of what they export us, so they have a losing hand,” he underlined.
He also rejected that the collapses of the stock market torching Trump’s administrative arm in his position on rates. The negotiations that are making their way with different countries, they said, are produced by the calls that the White House is receiving from the affected countries, not due to the falls of the share market. Bestent also affirmed in an interview in the CNBC chain that Trump himself is involved in negotiations with the countries on rates. “If we succeed, the rates will somehow be a cube of ice that melts,” he said, in reference to the fact that the negotiations can lead to the end of the commercial war unleashed by Washington. “If there are good proposals, we can end up with good agreements,” he said.
“Everything is on the table,” said the Treasury Secretary, including VAT in the case of the commercial relationship with the EU. The Trump administration believes that VAT is a tax that affects its exports to Europe, although in reality it is a direct tax that all consumers pay.
