Bloomberg (October 22)
“Six months into Donald Trump’s trade war, the resilience of Chinese exports is proving just how essential many of its products remain even after US levies of 55%.” The weaknesses of Trump’s tariffs are becoming clear. They “appear somewhat limited in their ability to control what American firms import, as China’s sway over sectors such as rare earths and electronics makes its products hard to dislodge.” On top of that, loopholes play a factor. “American importers are able to pay a lower levy by declaring the customs value of goods based on their first sale in a third country, and then raising the price when the items reach a US port. Transhipping via Mexico or Vietnam means some firms are likely not paying the full tax.”
Tags: China, Customs value, Dislodge, Electronics, Essential, Exports, Importers, Loopholes, Mexico, Price, Products, Rare earths, Resilience, Tariffs, Trade war, Transhipping, Trump, U.S., Vietnam
CNN (July 14)
“The Port of Los Angeles rebounded in June for a record-breaking month as importers raced to get cargo into the port before the ‘reciprocal’ tariff pause ended July 9…. President Donald Trump has since pushed that deadline to August 1.” The port, which “gets more goods from China than any other country,” benefitted from a “whipsaw” effect in June and with the tariff postponement is also expecting a flurry of activity in July. However, the National Retail Federation’s port tracker then expects a “fall by double digits through the end of the year.”
Tags: August, Cargo, China, Importers, June, Los Angeles, National Retail Federation, Port, Rebounded, Reciprocal tariff, Record breaking, Trump, Whipsaw
Market Insider (September 30)
“Japan and Korea have dumped billions of dollars into the foreign exchange market to prop up” their currencies. Nevertheless, “the dollar has surged 26% against the yen and has risen 21% versus the won.” The yen and won are hardly unique. “Both developed and emerging market economies, have slumped against the dollar,” but both currencies “have also been hurt by trade deficit concerns” as their “economies are importers of oil.”
Tags: Currencies, Developed, Dollars, Economies, Emerging, Forex, Importers, Japan, Korea, Market, Oil, Prop up, Slumped, Surged, Trade deficit, Won, Yen
