Donald Trump: ‘Our country was built on Tariffs’

U.S. President Donald Trump on Wednesday morning took to Twitter, as he often does, to lambaste some of his favourite targets: the U.S. Justice Department, the “rigged Russian witch hunt” (a.k.a. the Robert Mueller investigation), and of course, undocumented immigrants.

He also brought up one of his past greatest hits, tariffs, writing that the United States was “built on Tariffs, and Tariffs are now leading us to great new Trade Deals” (capitalization his, not ours).

Of course, tariffs have been a mainstay in Canadian headlines for the past several months, with Trump levying duties on U.S. imports of Canadian steel and aluminum. The U.S. president has recently threatened more tariffs on Canada’s auto industry.

He’s also slapped massive duties on goods from China, Mexico and, most recently, Turkey. Those nations, along with Canada, have come back with retaliatory tariffs of their own.

Many users on Twitter are pointing out the holes in Trump’s latest tweet. Like the fact that no new trade deals have actually been signed:

Or that many of the people Trump claims his tariffs will help aren’t really happy with them at all:

The Wall Street Journal points out that Trump’s action against Turkey actually goes against longstanding U.S. policy of minimizing foreign crises:

[Yahoo]

Trump Insists Tariffs Will Make Our Country ‘Much Richer’: ‘Only Fools Would Disagree’

On Saturday, President Donald Trump praised his tariff plan and insisted, “steelworkers are working again, and big dollars are flowing into our Treasury.”

“Tariffs are working far better than anyone ever anticipated,” Trump tweeted out. “China market has dropped 27% in last 4 months, and they are talking to us. Our market is stronger than ever, and will go up dramatically when these horrible Trade Deals are successfully renegotiated. America First.”

Then in the first follow-up tweet, he added: “Tariffs have had a tremendous positive impact on our Steel Industry. Plants are opening all over the U.S., Steelworkers are working again, and big dollars are flowing into our Treasury. Other countries use Tariffs against, but when we use them, foolish people scream!”

He was not done yet.

A few minutes later, he tweeted again, writing, ” Tariffs will make our country much richer than it is today. Only fools would disagree. We are using them to negotiate fair trade deals and, if countries are still unwilling to negotiate, they will pay us vast sums of money in the form of Tariffs. We win either way.”

Trump then concluded: “China, which is for the first time doing poorly against us, is spending a fortune on ads and P.R. trying to convince and scare our politicians to fight me on Tariffs- because they are really hurting their economy. Likewise other countries. We are Winning, but must be strong!”

[Mediaite]

Trump says ‘vicious’ China targeting U.S. farmers on trade, urges critics to ‘be cool’

President Donald Trump on Wednesday blamed China for targeting U.S. farmers in an effort to undermine trade negotiations with Beijing, and he urged critics of his escalating trade war to “be cool.”

“China is targeting our farmers, who they know I love & respect, as a way of getting me to continue allowing them to take advantage of the U.S.” Trump posted in one of a series of tweets on Wednesday. “They are being vicious in what will be their failed attempt. We were being nice – until now!”

The tweets come as Trump’s trade policy is increasingly under fire from Republicans on Capitol Hill, especially those representing farm states where China’s retaliatory tariffs are affecting crop prices. The Trump administration rolled out a $12 billion subsidy plan on Tuesday to help farmers, but the measures were widely criticized by Republicans.

“When you have people snipping at your heels during a negotiation, it will only take longer to make a deal, and the deal will never be as good as it could have been with unity,” Trump wrote Wednesday. “Negotiations are going really well, be cool. The end result will be worth it!”

Trump is set to meet Wednesday with European Commission President Jean-Claude Juncker after months of criticism directed at European tariffs. The two leaders are expected to discuss Trump’s threat to impose tariffs on European cars.

There is also a domestic political component to Trump’s trade and tariff policies.

Trump political advisers are clearly worried about how tariffs are affecting farmers, key sources of votes throughout the Midwest. They could be decisive as Republicans face tough election battles in November to keep control of the House and Senate.

The president himself expressed a rare note of anxiety in a speech to veterans Tuesday in Kansas City, Mo., a key agricultural state.

“The farmers will be the biggest beneficiary” of his trade policies, Trump said. “Watch. We’re opening up markets. You watch what’s going to happen … Just be a little patient.”

Trump travels Thursday to two more agriculture states, Iowa and Illinois.

[USA Today]

Trump: Tariffs are ‘the greatest,’ president says ahead of EU chief’s visit

“Tariffs are the greatest!” Trump said on Twitter, following up with what he called a simple choice: “Either a country which has treated the United States unfairly on Trade negotiates a fair deal, or it gets hit with Tariffs.” He added, “It’s as simple as that — and everybody’s talking!”

His tweet came one day before EU President Jean-Claude Juncker is scheduled to visit the White House for discussions on trade and other matters. Trump has imposed tariffs on imports of steel and aluminum and threatened new ones on cars. Juncker will reportedly focus on arguing that the EU is Washington’s friend, not foe.

[Marketwatch]

Trump threatens Harley-Davidson: If it moves operations overseas, ‘they will be taxed like never before!’

President Donald Trump threatened on Tuesday that Harley-Davidsonwill be “taxed like never before” if the motorcycle maker moves production overseas. He claimed that the iconic U.S. company was using increased trade tensions as an excuse to justify planned changes in manufacturing.

“A Harley-Davidson should never be built in another country-never! Their employees and customers are already very angry at them. If they move, watch, it will be the beginning of the end – they surrendered, they quit! The Aura will be gone and they will be taxed like never before!” Trump said in a tweet.

Harley said Monday it was moving some production overseas due to increased costs from the EU’s retaliatory tariffs against the Trump administration’s duties on steel and aluminum. No production will be moving to Europe as a result of the tariffs, according to the company. Harley’s overseas manufacturing plants are in Brazil, India, Australia and Thailand.

[CNBC]

Trump told Macron EU worse than China on trade

President Donald Trump told French President Emmanuel Macron that the European Union is worse than China on trade during a conversation that portended the tense end to this year’s G7 summit.

In a meeting at the White House during the French president’s visit to Washington in April, Macron suggested the United States and France should work together to resolve shared trade problems with Beijing, prompting Trump to make his remark, a person in the room told CNN.

Trump told Macron during their meeting in Washington that there are too many German cars in the United States, the source previously told CNN. The source did not say Trump explicitly said he wanted all German-made cars out of the US. Trump focused his conversation with Macron on German trade for about 15 minutes in the one-hour meeting.

Trump has been on a tear about German trade and cars in particular, bringing up the issues with other European leaders with whom he has met over the last few months, the source said.

The details of the conversation, which Axios previously reported, come amid fears of a looming trade war over the Trump administration’s move to impose steep tariffs on steel and aluminum imports from the European Union, Canada and Mexico. Those tensions boiled over during the G7 summit in Canada on Saturday, with Canadian Prime Minister Justin Trudeau and European leaders reaffirming plans to institute retaliatory measures and Trump lashing out in response byrefusing to endorse the group of industrialized nations’ communique.

That, in turn, prompted harsh reactions from European officials and members of Congress, including Republican Sen. John McCain, who said Americans would continue to stand with the nation’s historical allies.

“To our allies: bipartisan majorities of Americans remain pro-free trade, pro-globalization & supportive of alliances based on 70 years of shared values,” the Arizona senator tweeted. “Americans stand with you, even if our president doesn’t.”

Senior Trump aides escalated the rhetoric on Sunday morning’s news shows, with chief economic adviser Larry Kudlow calling Trudeau’s remarks “a betrayal” on CNN’s “State of the Union” and top trade adviser Peter Navarro saying on “Fox News Sunday” that “there’s a special place in hell” for the Canadian leader.

Trump, who is in Singapore for negotiations with North Korea, continued to rip into US trading partners late Sunday night Eastern Time, repeating complaints about the US trade deficit and contributions to NATO.

“Fair Trade is now to be called Fool Trade if it is not Reciprocal,” Trump wrote in a series of postson Twitter. “According to a Canada release, they make almost 100 Billion Dollars in Trade with U.S. (guess they were bragging and got caught!). Minimum is 17B. Tax Dairy from us at 270%. Then Justin acts hurt when called out!”

“Why should I, as President of the United States, allow countries to continue to make Massive Trade Surpluses, as they have for decades, while our Farmers, Workers & Taxpayers have such a big and unfair price to pay?” the President continued. “Not fair to the PEOPLE of America! $800 Billion Trade Deficit … And add to that the fact that the U.S. pays close to the entire cost of NATO-protecting many of these same countries that rip us off on Trade (they pay only a fraction of the cost-and laugh!). The European Union had a $151 Billion Surplus-should pay much more for Military!”

[CNN]

Trump invokes War of 1812 in testy call with Trudeau over tariffs

President Donald Trump and Canadian Prime Minister Justin Trudeau had a testy phone call on May 25 over new tariffs imposed by the Trump administration targeting steel and aluminum imports coming from Canada, including one moment during the conversation in which Trump made an erroneous historical reference, sources familiar with the discussion told CNN.

According to the sources, Trudeau pressed Trump on how he could justify the tariffs as a “national security” issue. In response, Trump quipped to Trudeau, “Didn’t you guys burn down the White House?” referring to the War of 1812.

The problem with Trump’s comments to Trudeau is that British troops burned down the White House during the War of 1812. Historians note the British attack on Washington was in retaliation for the American attack on York, Ontario, in territory that eventually became Canada, which was then a British colony.

When asked if the comment was received as a joke, one source on the call said: “To the degree one can ever take what is said as a joke. The impact on Canada and ultimately on workers in the US won’t be a laughing matter.”

The White House declined to comment and the National Security Council did not immediately return a CNN request for comment.

Asked about the state of US-Canada relations, National Economic Council Director Larry Kudlow acknowledged some short-term tensions, but said he believes relations between the two countries remain “very good.”

“I have no doubt that the United States and Canada will remain firm friends and allies whatever short-term disagreements may occur,” Kudlow said.

During the Burning of Washington, on August 24, 1814, first lady Dolley Madison famously rescued a portrait of George Washington before fleeing the White House.

Trudeau has publicly denounced the “national security” justification for the new tariffs.

“The idea that we are somehow a national security threat to the United States is, quite frankly, insulting and unacceptable,” Trudeau told NBC’s Meet the Press.

Canada’s Minister of Foreign Affairs Chrystia Freeland questioned the Trump administration’s move on CNN.

“And I would just say to all of Canada’s American friends — and there are so many — seriously? Do you really believe that Canada, that your NATO allies, represent a national security threat to you?” Freeland asked on CNN’s “State of the Union.”

Freeland met with Senate Foreign Relations Committee Chairman Bob Corker Monday to relay Canada’s concerns regarding the tariffs, a Corker spokeswoman told CNN.

Corker, whose state of Tennessee is home to foreign and domestic auto plants, questioned Trump’s national security justification in a statement last week.

“There is no reason to use this provision to consider imposing tariffs on the automobile industry, and this appears to be either an attempt to affect domestic politics ahead of the election or for some other transactional purpose regarding ongoing trade discussions. This is a dangerous course and should be abandoned immediately,” Corker said in the statement.

Trump defended his decision on tariffs on Canada and other US allies in a tweet over the weekend.

“The United States must, at long last, be treated fairly on trade,” the President tweeted on Saturday.

A senior administration official declined to discuss the specifics of Trump’s phone call with Trudeau but acknowledged some of the President’s conversations with his foreign counterparts on the subject of trade have been confrontational.

“It’s understandable that change causes friction,” the official said, noting some of Trump’s recent tariff announcements have brought stubborn trading partners back to the negotiating table.

Canadian officials confirm to CNN that months ago Trump personally assured Trudeau that Canada would likely be exempt from steel and aluminum tariffs. The Trump administration at one point granted Canada and Mexico a last-minute reprieve from tariffs in March as negotiations to rework the North American Free Trade Agreement, known as NAFTA, continued.

In April, Canada tried to address what Trump said were concerns about Chinese steel and aluminum being dumped into Canada and then being shipped into the United States.

Trudeau announced increased funding and border vigilance “to prevent transshipment and diversion of unfairly priced foreign steel and aluminum into the North American market,” according to a statement released in April.

It was the understanding of Canadians officials at the time that this would satisfy the Trump administration and allow for Canada to receive a permanent exemption from tariffs.

Just days before Trudeau is set to host a G7 Summit in Quebec, Canadian officials tell CNN they are just trying to “keep Trump happy.”

Asked about Trump’s remark that the Canadians burned down the White House, aides to the President and to Canada’s Trudeau declined to comment.

[CNN]

Reality

Canada wasn’t a country until 1840.

Trump’s phone call with Macron described as ‘terrible’

A call about trade and migration between US President Donald Trump and French President Emmanuel Macron soured last week after Macron candidly criticized Trump’s policies, two sources familiar with the call told CNN.

“Just bad. It was terrible,” one source told CNN. “Macron thought he would be able to speak his mind, based on the relationship. But Trump can’t handle being criticized like that.”

A short White House readout of last Thursday’s call said the conversation was focused on trade and immigration.

“Both leaders discussed the migration problem in Libya, and timelines to solve it. President Trump underscored the need to rebalance trade with Europe,” the readout states.

The call came the same day the United States announced a unilateral decision to slap steel and aluminum tariffs on American allies, including Mexico, Canada, and the European Union.

In a statement issued by the Elysee Palace ahead of the call, Macron said he “regrets the US decision to confirm tariffs in steel and aluminum.”

“This decision is not only illegal, it is a mistake on many points. It is a mistake because it responds to a worldwide unbalance that exists in the worst ways through fragmentations and economic nationalism,” the statement continued, with Macron adding that “if these kind of things impacted our relations, it would have been the case since day one because he has decided to leave the Paris (climate) agreement.”

“I prefer to say things directly and not through the press; and I will tell him what I told you, which are my convictions that he knows already,” he said in the statement.

Thursday’s strained call is particularly notable because Macron is arguably the European leader to whom Trump is closest. In an interview with the BBC in January, Macron said he had a “very direct relationship” with his US counterpart.

“I’m always extremely direct and frank. He is. Sometimes I manage to convince him, and sometimes I fail,” Macron said at the time.

Trump can expect a similar call from British Prime Minister Theresa May on Monday, sources tell CNN. It’s not her style to be combative, but one source said May is expected to be direct in her criticisms and that Trump could expect a tough conversation.

[CNN]

Trump tears into Canada for treating U.S. farmers ‘very poorly’

President Donald Trump attacked Canada on Friday morning, seemingly offering a defense of the controversial tariffs he imposed this week and accusing America’s northern neighbor of treating U.S. agricultural industries “very poorly.”

“Canada has treated our Agricultural business and Farmers very poorly for a very long period of time. Highly restrictive on Trade!” the president wrote on Twitter. “They must open their markets and take down their trade barriers! They report a really high surplus on trade with us. Do Timber & Lumber in U.S.?”

Trump has made resetting U.S. trade relationships around the globe a key priority for his administration, most notably with China, but also with top U.S. allies and trade partners like Mexico and Canada. He has complained previously about Canada’s treatment of the U.S. lumber and dairy industries, among others.

His attack against Canada came just hours after tariffs on imports of steel and aluminum from three key U.S. trade partners — Mexico, Canada and the European Union — went into effect at midnight Friday, after the administration said on Thursday that exemptions would not be extended.

Canadian Prime Minister Justin Trudeau offered a blistering rebuke to Trump during a news conference on Thursday.

“Let me be clear: These tariffs are totally unacceptable,” Trudeau said. “Canadians have served alongside Americans in two world wars and in Korea. From the beaches of Normandy to the mountains of Afghanistan, we have fought and died together.”

The tariffs have proved to be a controversial step that has also drawn the ire of prominent Republicans who have long supported free trade policies.

House Speaker Paul Ryan (R-Wis.) said in a statement that “I disagree with this decision” and that “instead of addressing the real problems in the international trade of these products, today’s action targets America’s allies when we should be working with them.” Sen. Ben Sasse (R-Neb.), a regular and outspoken critic of the president’s, said the tariffs were similar to the policies that he said sparked the Great Depression.

“This is dumb. Europe, Canada, and Mexico are not China, and you don’t treat allies the same way you treat opponents,” Sasse said. “‘Make America Great Again’ shouldn’t mean ‘Make America 1929 Again.’”

[Politico]

Ivanka Trump’s clothing company will be spared from tariffs, thanks to her dad

The steel and aluminum industries in China will soon be slapped with tariffs up to $50 billion by President Donald Trump. On Thursday, after China announced their intentions to retaliate against the United States with $50 billion in tariffs of their own against U.S. goods, Trump warned that his administration would respond with another set of tariffs, this time targeting $100 billion worth of Chinese goods.

Exempt from the proposed tariffs against China, however, is the clothing manufacturing industry.

U.S. officials say they used an algorithm to determine which goods to exclude from new tariffs. According to the Washington Post, the list was drafted to achieve “the lowest consumer impact,” ensuring goods like clothing and toys were excluded so as not to raise the cost on domestic consumer goods.

Exempting clothing from the tariffs provides a big break to American clothing companies that hold trademarks in China. One of those clothing companies belongs to the First Daughter of the United States, Ivanka Trump.

A recent report by the Huffington Post found that the president’s daughter and closest adviser rakes in a total of $1.5 million a year from the Trump Organization while still working at the White House.

Her dual role as adviser to the president and private business executive has continuously raised ethical red flags. No one can be entirely sure that public policy by this administration isn’t being driven by business motives, or whether countries may pursue business deals with the Trump family as a means to curry political favor with the administration.

The clearest example of this ethical line-blurring comes from early in the Trump presidency, when Ivanka dined with Chinese President Xi Jinping at the Trump family’s resort in West Palm Beach on the same day China approved three new trademarks for Ivanka’s company.

[ThinkProgress]

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