No more cathode ray tubes from China, says Trump Administration
A 58-page list of Chinese imports that will be subject to a 25% tariff, mainly old-economy staples, has been released by the US Trade Representative
The US Trade Representative just released a 58-page list ofChinese imports that will be subject to a tariff of 25%, and it reads like something fished out of a time capsule buried in the 1950s.
President Donald Trump declared today that “the United States can no longer tolerate losing our technology and intellectual property through unfair trade practices.” As a remedy, his trade team fixed their sights on such Chinese exports as video monitors with cathode ray tubes, dishwashers, bulldozers, motorcycles, locomotives, as well as “black and white or other monochrome video projectors.” Cathode ray tubes disappeared from the market when plasma screens became available. Plasma screens aren’t on the tariff list, presumably because Americans wouldn’t like to pay more for the product.
The list doesn’t mention popular consumer items like smartphones, computers, and so forth which make up the lion’s share of Chinese exports to the US. Trump gets high marks for drawing attention to an urgent problem, namely the erosion of America’s technological edge, but his team has given him an ineffective policy.
The Trade Representative’s statement released on Friday morning states: “On May 29, 2018, President Trump stated that USTR shall announce by June 15 the imposition of an additional duty of 25% on approximately $50 billion worth of Chinese imports containing industrially significant technologies, including those related to China’s ‘Made in China 2025’ industrial policy. [Friday’s] action comes after an exhaustive Section 301 investigation in which USTR found that China’s acts, policies and practices related to technology transfer, intellectual property, and innovation are unreasonable and discriminatory, and burden US commerce.”
The actual list of items subject to tariffs has little if anything to do with China’s industrial policy. It looks more like a symbolic than a substantive action, an “Art of the Deal” opening salvo for negotiations.