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Tariffs Catch-All

  • Thread starter Thread starter BubbaOtis
  • Start date Start date
  • Replies: 4K
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  • Politics 
Rare Earths are going to be the new oil.

Saudi Arabia has always faced something of a tightrope: they want to sell their oil at high prices, obviously, but if prices get too high they invite more drilling or companies to build alternatives to fossil fuels (e.g. EVs). So their strategy has been, over the years, to yo-yo oil prices. They raise them for a few months or a year, and just when people start talking about weaning from foreign oil, they lower the prices again.

This is a six month reprieve by China. Same pattern, I think.
 

China’s Exports to U.S. Suffer Biggest Decline Since 2020​

Shipments to the rest of the world jump, but overall export growth slows​


🎁 —> https://www.wsj.com/economy/chinas-...3?st=yC6rTP&reflink=desktopwebshare_permalink

“A U.S.-China trade truce wasn’t enough to stem a sharp drop in shipments from China to America last month, a sign of the havoc that President Trump’s tariffs have wrought on trade between the world’s two largest economies.

Chinese shipments to the U.S. sank 35% from a year earlier in May, according to government data released Monday. It was the biggest percentage decline in U.S.-bound shipments since February 2020, when exports were hit by Covid-induced shutdowns, and followed a 21% drop in U.S.-bound exports in April.

As was the case last month, the decline in exports to the U.S. was offset by a jump in outbound shipments to other regions of the world, including Southeast Asia and the European Union. Overall, China’s exports rose 4.8% in dollar-denominated terms in May from a year earlier, though that figure was weaker than the 5.6% expected by economists and down from April’s 8.1% increase.…”
 
nycfan said:

China’s Exports to U.S. Suffer Biggest Decline Since 2020​

Shipments to the rest of the world jump, but overall export growth slows​


🎁 —> https://www.wsj.com/economy/chinas-...3?st=yC6rTP&reflink=desktopwebshare_permalink

“A U.S.-China trade truce wasn’t enough to stem a sharp drop in shipments from China to America last month, a sign of the havoc that President Trump’s tariffs have wrought on trade between the world’s two largest economies.

Chinese shipments to the U.S. sank 35% from a year earlier in May, according to government data released Monday. It was the biggest percentage decline in U.S.-bound shipments since February 2020, when exports were hit by Covid-induced shutdowns, and followed a 21% drop in U.S.-bound exports in April.

As was the case last month, the decline in exports to the U.S. was offset by a jump in outbound shipments to other regions of the world, including Southeast Asia and the European Union. Overall, China’s exports rose 4.8% in dollar-denominated terms in May from a year earlier, though that figure was weaker than the 5.6% expected by economists and down from April’s 8.1% increase.…”
Click to expand...
“… Following the trade truce in Geneva last month, some U.S. importers and Chinese manufacturers have raced to ship previously-frozen orders before the 90-day reprieve ends. Freight bookings from China to U.S. ports and container prices, which had fallen under the escalating trade war, surged after the truce.

But many executives have remained cautious, betting that the trade war is far from over. A government and private gauge of manufacturing activity in China showed ongoing contraction in new export orders in May….”
 
If it happens, the "deal" will be rare earths for semiconductors (perhaps six month old Nvidia ones like in Giden Admin).
 
nycfan said:
IMG_7342.jpeg
Click to expand...

U.S. and China Agree to Get Geneva Pact Back on Track​

Trump says ‘full magnets, and any necessary rare earths, will be supplied, up front, by China’ as part of the deal​


🎁—> https://www.wsj.com/economy/trade/u...5?st=Fo5PU1&reflink=desktopwebshare_permalink

“… Representatives from the countries said the framework would essentially restore a pact they agreed to in Switzerland last month, a deal that saw both sides lower tariffs and was premised in part on Beijing’s promise to speed up critical mineral-export licenses while the negotiators kept talking.
… Tariffs will stay at levels agreed to in the deal signed in Switzerland, an administration official confirmed. Trump tweeted that the U.S. would set a “total of 55% tariffs”—a reference to the 30% tariffs applied in his second term, added to duties imposed during the president’s first term.…”
 
UNCatTech said:
I'll be really surprised if China agreed to such an American leaning agreement.
Click to expand...
Not really. It is more or less another TACO - reverting the positions to where they were right after Liberation Day and before Trump went nuts escalating with multiple. China made their point with control over rare earth minerals and Trump made his point with being sort of insane.
 
nycfan said:
Not really. It is more or less another TACO - reverting the positions to where they were right after Liberation Day and before Trump went nuts escalating with multiple. China made their point with control over rare earth minerals and Trump made his point with being sort of insane.
Click to expand...
What absolutely did not happen was China promising in good faith to deliver rare earth metals up front.
 
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