If US publishes a list of 100 billion U.S. dollars, China will immediately fight back

[Offshore]

yes i do think while US has likely included such a possiblity, they do not expect that china will make such a move. Otherwise, trump's advisor would not be unilaterally claiming that the disputes are opened to 'negotiations':

https://www.cnbc.com/2018/04/06/kud...t-with-china-but-this-is-not-a-trade-war.html

• National Economic Council Director Larry Kudlow says the U.S. is open to trade talks with China, but no formal discussions have begun.

https://www.reuters.com/article/us-...ina-no-session-set-yet-official-idUSKCN1HC31H

WASHINGTON (Reuters) - The United States is willing to negotiate with China on trade, but only if talks are serious, as previous attempts produced little progress, a senior U.S. official told Reuters late on Thursday as trade tensions between the two nations escalated.

= US is claiming negotiations are going on/gonna take place

But China says:

https://www.ft.com/content/623ce760-39a5-11e8-8b98-2f31af407cc8

US stocks tumbled on Friday after China rejected the idea of negotiating with the US to ease escalating trade tension and Donald Trump’s treasury secretary said “there is the potential of a trade war.”


"The US started its [IP] investigation and proposed another $100bn of tariffs. Against this backdrop, China will not negotiate"

-Chinese commerce ministry

= China will not negotiatie


Also, a major collateral victim would be India. India's central bank is Rothschild-controlled(just like most of the world, except China, Russia, Iran and N.korea).

https://rbidocs.rbi.org.in/rdocs/content/PDFs/89634.pdf
page 19

Thus, India banking system is a pawn of the US banking system which in turn, is part of the international Rothschild banking system . India's fiscal health is intertwined with that of the US's- there is no escape.

Face it, any disturbances to the US economy will its banking situation and thus- directly affect India's.

india rupee Will as good as toilet paper

 

[ohmrlobalobayeh]

If China sells off a trillion+ dollar worth of treasury bonds, it will only reduce the price of these T-bonds. So, in the process of 'getting back at US' by selling their bonds, China will be at a loss of billions of dollars. Also, if China decides to drop T-Bonds ever wonder what would happen with those Chinese private companies who have billions of US holdings and liquid assets?

You are implying that China will make a guaranteed loss selling those bonds.

hence, in the first place,how would u know whether that will be so?

Also, China is US's major adversary. If the government gives instructions to those companies with overseas assets in the US, they will have to comply.

Anyways, there are many other ways besides using their treasury bonds as leverage in a trade war- such as dramatically reducing the Yuan's value against the dollar to make its exports cheaper.

In a nutshell, the Chinese have an array of options available to them.....















......while Indians like u can only stand on one side and watch the big boys fight


Hahah thanks.

 

[Huan]

China's Ministry of Commerce: If US publishes a list of 100 billion U.S. dollars, China will immediately fight back.

Daily Economic News 2018-04-06 20:44


On April 4th, after China released a list of tax items worth US$50 billion from the United States, Trump said that it will levy taxes on Chinese goods worth US$150 billion, up from 50 billion. Dollars. In response, the Chinese Ministry of Commerce will hold a press conference on Sino-US trade issues at 20:00 p.m. on April 6.

Chinese Ministry of Commerce:

The United States misjudged the situation. The U.S. action was extremely wrong. China is ready to respond and will not hesitate to respond. If the United States announces a list of 100 billion U.S. dollars, China will immediately fight back.

China has very detailed countermeasures. China does not rule out any options. We believe that this is a contradiction between unilateralism and multilateralism, a contradiction between free trade and protectionism, and harming China’s core interests.

After the United States released the 301 investigation report, and after the list, China resolutely responded, and the United States has put forward an additional 100 billion US dollars of product list. China has made a firmer response.

In accordance with the way we think at the bottom line, we are ready for further U.S. escalation actions, and we have formulated very specific countermeasures. We will not pick anything but if someone picks things up, we will fight against them. The Chinese have always been very Seriously, we must say to do it (daily economic news according to the press conference site).

A Chinese commentator (Zhang) replied to the new tariff threat:
"Does it matter if these are threats or plans? Chinese people are canceling American travel plans and planning to refuse buying Apple products, soybeans and so forth, and required Chinese government to show a list of all American goods in China so people can make sure there is no single American product would be purchased...... Unfortunately you guys don’t read Chinese, otherwise you can check the overwhelming comments under the exact same news in Chinese medias. Your president is playing fire, China isn’t an immigrant country, we only have one mind one dream about the future of our mutual home where our ancestors lived for 5000 years... Also I suggest American people to remind the president to check China’s National anthem’s lyrics which was written in 1935 in Shanghai."

 

[AndrewJin]

You are implying that China will make a guaranteed loss selling those bonds.

hence, in the first place,how would u know whether that will be so?

Also, China is US's major adversary. If the government gives instructions to those companies with overseas assets in the US, they will have to comply.

Anyways, there are many other ways besides using their treasury bonds as leverage in a trade war- such as dramatically reducing the Yuan's value against the dollar to make its exports cheaper.

In a nutshell, the Chinese have an array of options available to them.....















......while Indians like u can only stand on one side and watch the big boys fight


Hahah thanks.

In such trade wars, both USA and China will of course lose something.
But small economics could be easily wiped out from the collateral influences.
Those agrarian countries like SP2012 wish to start their industrialisation, too wild a dream in such context.

 

[Samlee]

If China sells off a trillion+ dollar worth of treasury bonds, it will only reduce the price of these T-bonds. So, in the process of 'getting back at US' by selling their bonds, China will be at a loss of billions of dollars. And the US will be happy their debts slide as the interest for it will be down. You think the US hasn't anticipated such a move. Also, if China decides to drop T-Bonds ever wonder what would happen with those Chinese private companies who have billions of US holdings and liquid assets?

Such a move is good for talking in here and waiting for US economy to collapse over a trillion dollar bonds. In the end, it will affect US and China the most. rest of the world comes later.

Wow Just Wow!!!!! You Don't Have The Slightest Idea How Financial Instruments Work Don't You

yes i do think while US has likely included such a possiblity, they do not expect that china will make such a move. Otherwise, trump's advisor would not be unilaterally claiming that the disputes are opened to 'negotiations':

https://www.cnbc.com/2018/04/06/kud...t-with-china-but-this-is-not-a-trade-war.html

• National Economic Council Director Larry Kudlow says the U.S. is open to trade talks with China, but no formal discussions have begun.

https://www.reuters.com/article/us-...ina-no-session-set-yet-official-idUSKCN1HC31H

WASHINGTON (Reuters) - The United States is willing to negotiate with China on trade, but only if talks are serious, as previous attempts produced little progress, a senior U.S. official told Reuters late on Thursday as trade tensions between the two nations escalated.

= US is claiming negotiations are going on/gonna take place

But China says:

https://www.ft.com/content/623ce760-39a5-11e8-8b98-2f31af407cc8

US stocks tumbled on Friday after China rejected the idea of negotiating with the US to ease escalating trade tension and Donald Trump’s treasury secretary said “there is the potential of a trade war.”


"The US started its [IP] investigation and proposed another $100bn of tariffs. Against this backdrop, China will not negotiate"

-Chinese commerce ministry

= China will not negotiate(against being imposed on by demands with tariffs as threats)




Also, a major collateral victim would be India. India's central bank is Rothschild-controlled(just like most of the world, except China, Russia, Iran and N.korea).

https://rbidocs.rbi.org.in/rdocs/content/PDFs/89634.pdf
page 19

Thus, India banking system is a pawn of the US banking system which in turn, is part of the international Rothschild banking system . India's fiscal health is intertwined with that of the US's- there is no escape.

Face it, any disturbances to the US economy will its banking situation and thus- directly affect India's.

India Has Become More Vulnerable Than Ever.It's Forex Is Based On Foreign Capital Inflows.If China Starts Massive Selling Of US Bonds The Bond Market Value Falls and As A Consequence The Fed Will Have To Raise Rates.The Moments This Happens,Investors Will Pull Out From Indian Capital Markets

 

[Yaseen1]

china can do swaps of u.s t bills with other instrument if possible and free them from u.s debt

 

[Hyperion]

Choot kay dhakkan Indians ko yeh bhee nahi patta kay what does dumping 1.2 trillion look like. It will not only devalue dollar in the immediate term, but will kill it's so called stability. The very next day smaller economies (fake states) that have their worthless currencies pegged to the dollar will die a horrible death.

This is going to be fun.

Wow Just Wow!!!!! You Don't Have The Slightest Idea How Financial Instruments Work Don't You

 

[Samlee]

Choot kay dhakkan Indians ko yeh bhee nahi patta kay what does dumping 1.2 trillion look like. It will not only devalue dollar in the immediate term, but will kill it's so called stability. The very next day smaller economies (fake states) that have their worthless currencies pegged to the dollar will die a horrible death.

This is going to be fun.

The Fact That Southie Thinks That A Decrease In The Open Market Value of A Debt Instrument Decreases It's Yield Is Enough To Show His Knowledge of Finance

china can do swaps of u.s t bills with other instrument if possible and free them from u.s debt

For The Past Few Years China Has Been Selling It's US Holdings And Investing In Gold.Gold Is The Best Investment B'Coz Unlike Sovereign Debt and Currency Your Wealth Is Not Hostage To Another Governments Policies

That Means Get Your Shovels And Report To Chagai Immediately We Are About To Get Filthy Rich

 

[Kiss_of_the_Dragon]

American corporation will have a hard time in China , I think Japanese, Korean and EU companies are eager to see what actions China will take, there is an saying in French " Le Malheur des un faire le Bonheur des autres".
China will take the opportunity to clean the mess at home with some restructuring to cope with the after effect the crisis. I think China is prepared to brace the impact of this economical collision.

 

[somsak]

This is a good time for China to divert "division of labour" toward central asia.
I guess the US will win the trade war. Not by tariff, but buy starving China from semiconductor chips.

 

[Cybernetics]

China Should Stop Agricultural Imports From USA And Import From Your Good Friend Pakistan Which Right Now Has Surplus Stock Of Wheat Rice and Maize As Well As Massive Ethanol Production Potential

You Don't Even Need Dollars Just Pay Us In Yuan

China won't stop all agricultural imports from the USA, in addition a firm from Henan owns Smith-field Foods. The tariffs are targeted at specific items where China won't be hurt as much and have a political impact on the US (especially Trump's base). For example with soybeans China can import more from Brazil, Russia, and Argentina.

I do however agree that China should import more from Pakistan and work towards becoming an export market for Pakistani goods. That is something for the businessmen and officials to figure out. Exporting goods is a good way to upgrade domestic industries.

"In MY 2017/18, Russian soybean exports are focused on the key importers. So, export shipments to China grew to 227.6 KMT versus 89 KMT a year ago, while those to Iran rose to 17.4 KMT versus 5.9 KMT in 2016/17. These were the largest volumes ever supplied by Russia to the above countries."
http://www.blackseagrain.net/novosti/russian-soybean-exports-to-china-hitting-new-highs

American farmers for free trade ad

A Chinese commentator (Zhang) replied to the new tariff threat:
"Does it matter if these are threats or plans? Chinese people are canceling American travel plans and planning to refuse buying Apple products, soybeans and so forth, and required Chinese government to show a list of all American goods in China so people can make sure there is no single American product would be purchased...... Unfortunately you guys don’t read Chinese, otherwise you can check the overwhelming comments under the exact same news in Chinese medias. Your president is playing fire, China isn’t an immigrant country, we only have one mind one dream about the future of our mutual home where our ancestors lived for 5000 years... Also I suggest American people to remind the president to check China’s National anthem’s lyrics which was written in 1935 in Shanghai."

Good point, "March of the Volunteers" was a war time song and a simple song. The lyrics reminds every Chinese the necessity of sacrifice, fighting until the last breath and unity during times of peril. Normally Chinese people just go about their business but during "times of peril" unity is more easily achieved compared to some other nations and is able to coordinate grassroots movements regarding trade.

"把我们的血肉， 筑成我们新的长城!" Create a new great wall out of our flesh and blood

Another interesting song is "When That Day Comes"

I also like the Russian song "Sacred War", here's the Chinese version:

 

[my2cents]

Wow Just Wow!!!!! You Don't Have The Slightest Idea How Financial Instruments Work Don't You





India Has Become More Vulnerable Than Ever.It's Forex Is Based On Foreign Capital Inflows.If China Starts Massive Selling Of US Bonds The Bond Market Value Falls and As A Consequence The Fed Will Have To Raise Rates.The Moments This Happens,Investors Will Pull Out From Indian Capital Markets

Yes it could happen in short run and we have seen its effects on capital markets in India. Tell me one country that is immune to these Global forces ???

 

[Chhatrapati]

You are implying that China will make a guaranteed loss selling those bonds.

hence, in the first place,how would u know whether that will be so?

Why not, it's basic. If you start to sell bonds at this scale the value will go down. And even if you sell them, other countries would buy these bonds at a lower price.

Also, China is US's major adversary. If the government gives instructions to those companies with overseas assets in the US, they will have to comply.

Anyways, there are many other ways besides using their treasury bonds as leverage in a trade war- such as dramatically reducing the Yuan's value against the dollar to make its exports cheaper.

In a nutshell, the Chinese have an array of options available to them.....

If government force hand on Chinese companies to sell their assets, who do you think the losers will be?

Yes, Chinese government could retaliate on US companies in China like Apple, Intel Qualcom. But, let me ask you, who would suffer more when consumer electronics prices in China goes up and these production centers shift to Vietnam or any any other country.

If China reduces Yuan's value, why would any government buy that currency if the prices are artificially controlled by the Chinese government? That's not something the Chinese government wants who looks to replace Dollar someday with RMB.

So, the options for Chinese are limited, the US will easily get the Chinese to the negotiation table. It has happened in the past, it will happen even now. You simply don't know the influence of the US.

China Should Immediately Dump Dollar Bonds In Favour Of Gold and Start Trading In Other Currencies.The Only Reason China Kept US Afloat Was That It Was The Largest Export Market

LMAO at your suggestion. This is what masters in the commerce do to you.

......while Indians like u can only stand on one side and watch the big boys fight

ow! Where did I say that? All the countries with a considerable amount of T-Bills will be losers. And India will also be affected but that's not the discussion is it?

Wow Just Wow!!!!! You Don't Have The Slightest Idea How Financial Instruments Work Don't You

Apparently, you don't.

India Has Become More Vulnerable Than Ever.It's Forex Is Based On Foreign Capital Inflows.If China Starts Massive Selling Of US Bonds The Bond Market Value Falls and As A Consequence The Fed Will Have To Raise Rates.The Moments This Happens,Investors Will Pull Out From Indian Capital Markets

wow! Just wow! Now you are repeating what I said. Adding to that, the Bond market is already worth half a trillion a day.

Lastly, why would China sell the T-Bills? To get back at US at the cost of billions of dollars?

It will not only devalue dollar in the immediate term, but will kill it's so called stability. The very next day smaller economies (fake states) that have their worthless currencies pegged to the dollar will die a horrible death.

This is going to be fun.

Provided the US simply sit back and enjoy dollar crashing down.

 

[TaiShang]

I expect China to hit back harder.

"Chinese are aware that the only option now is to hit the US hard enough so that it will remember the pain. Otherwise Washington will go more recklessly and cause more losses"

http://www.globaltimes.cn/content/1096751.shtml

 

[Viva_Viet]

You are implying that China will make a guaranteed loss selling those bonds.

hence, in the first place,how would u know whether that will be so?

Also, China is US's major adversary. If the government gives instructions to those companies with overseas assets in the US, they will have to comply.

Anyways, there are many other ways besides using their treasury bonds as leverage in a trade war- such as dramatically reducing the Yuan's value against the dollar to make its exports cheaper.

In a nutshell, the Chinese have an array of options available to them.....

......while Indians like u can only stand on one side and watch the big boys fight


Hahah thanks.

US's major adversary is Russia wt vast lands and resources plus strong military power, see how Russia thrashing US army and her allies in Syria ??

CN is just easy prey, weak economy, poor resource, corrupted-coward army, defeated in TW conflict

Strength
92,000 704 215,000
Casualties and losses
440 ROC troops killed[1] 460 PRC troops killed, 218 civilians killed.
https://en.wikipedia.org/wiki/Second_Taiwan_Strait_Crisis


. Trump make right choice when withdrawing from Syria and destroying CN instead. CN have no single chance to resist except Xi beg for protection from Russia.