1/
Trump administration puts forward a fascinating WTO proposal **CLEARLY** directed at China:
"The Importance of MARKET-ORIENTED Conditions to the World Trading System"
So this is new. And this is interesting.
But it is MADDENINGLY INCONSISTENT with Trump's own policies...
Trump administration puts forward a fascinating WTO proposal **CLEARLY** directed at China:
"The Importance of MARKET-ORIENTED Conditions to the World Trading System"
So this is new. And this is interesting.
But it is MADDENINGLY INCONSISTENT with Trump's own policies...
2/
Trump wants WTO General Council to express "its serious concerns with non-market-oriented policies and practices that have resulted in damage to the world trading system"
Such a conversation could be useful, if it were even-handed and backed up by evidence of harm.
BUT...
Trump wants WTO General Council to express "its serious concerns with non-market-oriented policies and practices that have resulted in damage to the world trading system"
Such a conversation could be useful, if it were even-handed and backed up by evidence of harm.
BUT...
3/
MADDENING is how this proposal is INCONSISTENT with Trump's own "Phase One" deal with China
Problematic is prioritization of China making $200 (or was it $300? $400? $500?) billion of purchase commitments, which was clearly done for campaigning...
cnbc.com/2020/01/21/wef…
MADDENING is how this proposal is INCONSISTENT with Trump's own "Phase One" deal with China
Problematic is prioritization of China making $200 (or was it $300? $400? $500?) billion of purchase commitments, which was clearly done for campaigning...
cnbc.com/2020/01/21/wef…
4/
China's $200 billion of purchase commitments are almost certainly unreachable
The ONLY way China gets close is if Beijing acts more and more in a "non-market" way by DIRECTING companies (eg, its SOEs) to buy from America and NOT the rest of the world
piie.com/blogs/trade-an…
China's $200 billion of purchase commitments are almost certainly unreachable
The ONLY way China gets close is if Beijing acts more and more in a "non-market" way by DIRECTING companies (eg, its SOEs) to buy from America and NOT the rest of the world
piie.com/blogs/trade-an…
5/
Why should the rest of the world sign up at the WTO to such a Trump proposal?
Even for those who could believe in the value of market-orientation, Trump has already shown he is fine with throwing markets under the bus for political gain.
Why should the rest of the world sign up at the WTO to such a Trump proposal?
Even for those who could believe in the value of market-orientation, Trump has already shown he is fine with throwing markets under the bus for political gain.
6/
I and others have been thinking A LOT (probably too much?) about how important the issue of “market orientation” is for the WTO.
It would just be nice if the US administration engaged with it seriously, consistently, and by relying on evidence.
piie.com/publications/w…
I and others have been thinking A LOT (probably too much?) about how important the issue of “market orientation” is for the WTO.
It would just be nice if the US administration engaged with it seriously, consistently, and by relying on evidence.
piie.com/publications/w…
