Trump threatens tariffs on all $505 bln of Chinese imports

Share

"As usual, not a level playing field", he continued.

Business Insider points to a report from Chinese publication Global Times claiming that Chinese textile manufacturers that produce Trump gear are having greater trouble getting their goods into the United States thanks to the current trade war between the USA and China.

Trump has twice this week weighed in on the Fed's decisions to raise rates, and he expressed displeasure with Fed leadership during his 2016 presidential campaign.

Trump, in posts on Twitter, also lamented the strength of the US dollar and accused the European Union and China of manipulating their currencies. After keeping rates at near zero for years, the Fed has hiked its benchmark interest rate seven times since 2015, and more are planned because the USA economy is heating up.

Trump's threat comes as the trade war with China threatens to go into overdrive.

China's central bank is allowing its tightly controlled currency to drift lower against the dollar, a move that could help Chinese exporters cope with USA tariff hikes.

But President Trump broke with that tradition, saying in a CNBC interview, "I'm not thrilled" about the Fed's interest-rate hikes. That episode ultimately triggered runaway inflation that took a decade to tame and required raising the Fed's policy rate above 15 per cent - more than eight times the rate's current average.

Presidents have historically avoided criticizing the Fed, which is created to be independent from political interference.

In excerpts of an interview with USA television network CNBC aired Thursday, Trump said a strong dollar "puts us at a disadvantage", adding that the Chinese yuan "has been dropping like a rock".

An important part of the Fed's role is its political independence.

President Trump isn't happy with the Federal Reserve-but the fact that he said so is surprising.

"I don't want them to be scared".

"My experience at the Fed is consistent with what Jay Powell recently said - being non-political is deep in the Fed's DNA - and I believe that Jay will keep it that way".

Donald Trump Unveils Details of Bold Air Force One Makeover
Air Force budget documents released in February for fiscal year 2019 disclosed a $3.9 billion cost for the two-aircraft program. Declaration of Independence. "It's a travesty to break from tradition and put a new paint job on the plane", Hagerman said.

Trump told CNBC the hikes could damage America's ongoing economic recovery from the Great Recession.

The Federal Reserve got a rare piece of advice from the president Thursday.

The Fed has raised interest rates seven times since December 2015 and has penciled in two more rate hikes for this year.

Doing so slows growth, as it raises the cost of borrowing, but can also prevent the economy from overheating and tipping into recession.

Trump has threatened to slap a 25% tariff on imported cars and components, with a commerce department review underway to establish whether this is justified on national security grounds. But at the same time I'm letting them do what they feel is best'.

The dollar slid against the euro and pound Friday as US President Donald Trump adopted an aggressive posture on trade and foreign exchange, stoking talk of a currency war in addition to a trade war.

In February, Jerome Powell, Trump's hand-picked choice, became Fed chairperson.

The rate rises, which make borrowing more expensive, are meant to head off uncontrolled price rises as the USA economy expands.

In congressional testimony this week, though, he expressed concern about Trump's confrontational trade policies.

Former President Richard Nixon was criticized for bullying the Fed into keeping interest rates low, pressure that led to debilitating inflation.

Trump said he was unconcerned that his remarks might spark criticism as he was merely stating long-held personal views.

"Trump wants to win over more voters by starting a trade war", the cartoon says.

Share