Reply to post: Re: China supply the world

Trump pulls trigger in US-China tit-for-tat tariff tiff: 10% slapped on $200bn of imported kit

Spazturtle Silver badge

Re: China supply the world

If the tariffs make it cheaper to manufacture in India then China that US companies will move to India. As Indian manufacturing expands and gets cheaper then even more manufacturing will move there. The Chinese government have been worried about India stealing their manufacturing base for a while now.

And more and more companies are getting fed up with China for stealing their products and ignoring their IP, look at what happened to Micron. A Chinese company started making DRAM using Micron's designs and IP, so Micron sued them but the Chinese courts turned around and said that this Chinese company was the owner of these designs and IP and that Micron had to stop manufacturing DRAM.

Trump might not know what he is doing, but he didn't draw up these tariffs, career civil servants did, and they do know what they are doing and targeted areas where China is most vulnerable. These tariffs are bad for the US, but worse for China and in Trump's mind if you hurt somebody more then they hurt you then you have won, even if there was no reason for anyone to get hurt to begin with.

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