President Trump issued a series of tweets Monday morning commenting on the current trade situation with China, warning President Xi that his country will be “hurt very badly” if a deal is not made.
“I say openly to President Xi & all of my many friends in China that China will be hurt very badly if you don’t make a deal because companies will be forced to leave China for other countries,” Trump said. “Too expensive to buy in China. You had a great deal, almost completed, & you backed out!”
Last week it appeared a deal between the two countries was close to being made but China tried to renegotiate at the last minute, forcing President Trump to raise tariffs from 10 to 25 percent on $200 billion worth of Chinese goods. Trump also cautioned China against retaliating, which they said they would do Friday.
“Their is no reason for the U.S. Consumer to pay the Tariffs, which take effect on China today. This has been proven recently when only 4 points were paid by the U.S., 21 points by China because China subsidizes product to such a large degree,” Trump tweeted.
“Also, the Tariffs can be completely avoided if you by from a non-Tariffed Country, or you buy the product inside the USA (the best idea). That’s Zero Tariffs. Many Tariffed companies will be leaving China for Vietnam and other such countries in Asia,” he said. “..There will be nobody left in China to do business with. Very bad for China, very good for USA! But China has taken so advantage of the U.S. for so many years, that they are way ahead (Our Presidents did not do the job). Therefore, China should not retaliate-will only get worse!” he added.
Update: China has just announced how it will retaliate against the Trump administration’s tariff hike.