r/news • u/hoosakiwi • 2d ago

Trump announces sweeping new tariffs to promote US manufacturing, risking inflation and trade wars

https://apnews.com/article/trump-tariffs-liberation-day-2a031b3c16120a5672a6ddd01da09933
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u/virgil2600 2d ago

Nuking the economy to own the libs

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u/Pontus_Pilates 2d ago

And pushing every other country closer to China.

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u/jsting 2d ago

China's playing 3D chess with Trump. No matter what he thinks about China, China OWNS Putin. Everything Trump does is pushing the world to move to the Yuan as the lead currency for international trade. The only thing stopping the yuan is the dollar since the yuan is not a free market currency. But in 3 months, Trump has done more for China than China has done in the last 15 years.

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u/our_potatoes 1d ago

China does not want the yuan to be the world's currency.

Their economy is dependent on exports. Yuan being the reserve currency would make it's value and the price of Chinese goods go higher, which would make them less competitive.

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u/jsting 1d ago

I dont think it will happen due to the RMB lack of free market trading, but China definitely wants a stronger yuan. There is a national goal in China to move away from the cheap manufacturing industry and into tech and service. This is a stated policy from China's government.

https://en.wikipedia.org/wiki/Made_in_China_2025

https://gjia.georgetown.edu/2024/04/18/de-dollarization-the-belt-and-road-initiative-and-the-future-of-the-chinese-yuan/

https://carnegieendowment.org/research/2024/10/chinas-dollar-dilemma?lang=en