CHINA TARIFFS WORK FOR USA & ALLIES

The most revealing figure in the May data, however, is the annual decline in trade and the trade gap between the U.S. and China. Imports from China in May fell $10.3 billion from a year ago.  In the first five months of the year, imports have fallen $24.4 billion to $180.9 billion, almost a 12 percent decline.
This suggests that the trade dispute i

U.S. policymakers regard that shift out of China and into third countries as a victory for the Trump administration’s policies, both because it makes U.S. consumers and retailers less dependent on goods from China and because it increases the pressure on China to reform what the U.S. says are unfair and illegal trade practices. The shift may also strengthen the U.S. diplomatically by aligning other nation’s economic interests with its trade dispute against China.