Paper Tiger: China is Bluffing on Tariffs, Time to Invite Others to Bid UPDATE 1 Graphics Added

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Alert Reader based in China and heavily invested in Chinese manufacturing brokerage reports that Trump tariffs are exactly what has been needed to bring the Chinese to the table so as to correct the imbalance that may have been fair 30 years ago but is grossly unfair to US companies and workers now.

He reports that over 100 factories have closed overnight as US companies have started cancelling orders that would not arrive in time to miss the new 10% tariffs that start 24 September, and that the Chinese government is under massive pressure to work with Trump to avoid triggering the 25% tariff rate that would be implemented on 1 January 2019 if talks do not progress.

The Chinese are acutely aware that US companies have been in dialog with Mexico, Malaysia, and India, among others, and that those countries are in turn acutely aware that they have a massive opportunity in the next 30-90 days to offer the US alternative trade arrangements that are fairer to US companies and US workers.

If the US Trade Representative, perhaps in alliance with the National Economic Advisor, were to host a by-invitation summit in early October and put on the table all of the production categories where China is out of harmony with US needs and expectations, this could have a most beneficial effect on the dialogue between the USA and China.

As a side note, the China trade arbitrager warns US companies against paying in advance rather than upon delivery to a US port — Chinese companies are starting to ask for such terms; a significant number of them are expected to default and cash out by defrauding those foolish enough to pay in advance.

ROBERT STEELE: The US continues to lack a grand strategy that balances ends, ways, and means. The US continues to over-invest in a military that cannot win wars and an oversized government as well as protected sectors that are toxic to the average American (big agriculture, big pharma, among others). There is a desperate need to re-design America toward localized and decentralized, getting away from “too big to fail” which Nassim Nicholas Taleb so brilliantly documents as precisely that which should fail because the managers of all these too big to fail enterprises have no skin in the game — they harvest the profits for themselves and transfer the risks and costs to the taxpayer. There is so much to be done, including the destruction of the social media ecology controlled by the Deep State and its Zionist underbelly; the re-purposing of Hollywood toward civic education and patriotic virtue; the reduction of the federal government by 70% starting with the military and secret intelligence community; electoral reform; and so much more.

I have devised a few starting points, the most developed being with respect to grand strategy for national security, in three monographs at the first link. The other three links are starting points for a dialog with a Coalition Cabinet such as I would form if I were running for President or advising the current President.

Robert Steele: Grand Strategy, Global Reality, & Re-Inventing US National Security Centered on Re-Inventing the US Army

Vice President & Secretary General for the Commonwealth

Secretary General for Education, Intelligence, and Research

Secretary General for Global Engagement

Below is a holistic analytic matrix of all the things that break in a country. The USA is “in the red” in all categories without exception. President Trump has made a good start on some very big challenges, but he does not have an intelligence community capable of supporting him across the board, as as best I can tell, no one on his team thinks holistically or considers true cost economics and second, third, and fourth level implications of decisions in any given domain.

Learn more about USA Pre-Conditions of Revolution.

Then there is the entire matter of whether anyone will ever help the President understand that shifting the US economy toward Open Source Everything Engineering (OSEE) at the same time that he localized and decentralizes, can cut 90% of the costs and gut the Deep State that takes 90% of the costs as profit. This is not only important to the USA, it is how we keep all the illegal aliens happy at home (along with not financing and arming their dictators).

UPDATE 1:

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