After the G-20 summit, many were excited to know that President Trump and President Xi had called truce and would not increase or raise tariffs, but in recent statement President Trump has declared himself a “Tariff Man” and stressed that he will not hesitate to raise tariffs on China if they don’t agree to fundamentally change their trade practices.
President Trump has however promised that he would extend the 90-day truce if China would make progress towards a deal.
“President Xi and I want this deal to happen, and it probably will. But if not remember, I am a Tariff Man,” Trump said in a series of tweets.
“When people or countries come in to raid the great wealth of our Nation, I want them to pay for the privilege of doing so,” he continued.
“It will always be the best way to max out our economic power. We are right now taking in $billions in Tariffs. MAKE AMERICA RICH AGAIN.”
“The negotiations with China have already started. Unless extended, they will end 90 days from the date of our wonderful and very warm dinner with President Xi in Argentina,” Trump tweeted.
“China is supposed to start buying the Agricultural product and more immediately.”
President Trump’s threats plunged the Dow Jones Industrial Average by more than 500 points on Tuesday afternoon as his threats contrasted his tone after brokering the agreement with President Xi over dinner on the sidelines of the G-20.
“It’s an incredible deal,” Trump said. “If it happens, it goes down as one of the largest deals ever made.” National Economic Council Director Larry Kudlow said Beijing did agree to reduce auto tariffs but added that no “specific agreement” on tariff levels or timing had been reached.
White House trade adviser Peter Navarro earlier did not confirm if there was any such deal in place.
Trump tweeted Sunday that China “agreed to reduce and remove tariffs on cars coming into China from the U.S,” in what would be a major shift from its 40 percent tariff rate.
Chinese officials did not confirm an auto tariff deal, nor did they mention a 90-day cutoff for negotiations but China has shown signs that they are willing to address U.S. complaints, and subsequently have announced new penalties for companies that steal intellectual property. The Chinese government has also stated that these companies could face restrictions on access to loans and funding from the Chinese government, according to Bloomberg.
Trump has tapped U.S. Trade Representative Robert Lighthizer to lead the negotiations. The president tweeted that Lighthizer “will be working closely” with Mnuchin, Kudlow, Navarro and Commerce Secretary Wilbur Ross.