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Okay, I’ll admit: The headline here is clickbait.
But here’s a data point which I think proves Donald J. Trump — if, in fact, this needs proof — is blowing steam out of his pie-hole. (I’m not trying to dive into the Trump vs. GOPe argument. I’m just trying to help Rob run a business here. I want people to read this post, think about the data point I’m writing about, and then join Ricochet.)
Chinese exports plunged 20 percent last month:
The weaker trade figures will be a fresh blow for Beijing’s economic policymakers who are trying to persuade markets around the world that the nation’s economy is sound.
The economy grew at its slowest pace in a quarter of a century last year and analysts are also worried about the weakness of the nation’s currency and capital flowing out of the country.
Among China’s key exports, labour-intensive products such as toys and shoes fell 12.4 per cent in the first two months of the year.
Exports of cars decreased 33.5 per cent, the customs administration said.
“It’s really frightening to see trade fall like this,” said Zhou Hao, an economist at Commerzbank in Singapore. “Net exports, on the surface, don’t matter much for China’s headline growth, but the real role of exports for China is far bigger if employment and the related value chain are considered.”
China just doesn’t look to me like it’s killing us:
China used to be a currency manipulator to our detriment. (Remember when Mitt Romney was banging on about that? He was probably blowing steam out of his pie-hole, too. I think it was true, but that was in about 2007. Probably wasn’t true by 2012.)
Anyway, they’re not anymore, or if they’re manipulating it, it’s to our benefit. Now they seem to be propping the yuan up, not holding it down. So if anything, Chinese exports are now artificially expensive — which is one reason their trade is plummeting.
I just don’t think they’re killing us. Look:
The trend seems pretty clear. We’re doing well from China having MFN status. How else could those charts and those trendlines be interpreted?
Anyone have a different interpretation?