China Agrees To Cut Tariffs On Imported Cars

[angelatc]

https://twitter.com/realDonaldTrump/...41198157455360

[dannno]

Womp womp

[Swordsmyth]

Womp womp

Sounds legit.

[Itsback]

If you would like to know about Asia, China etc..

Best Singapore forum: https://sgtalk.org/mybb

[dannno]

This is sorta a big deal.

[EBounding]

https://twitter.com/realDonaldTrump/...41198157455360

What was the tariff before Trump was president?

[dannno]

What was the tariff before Trump was president?

Best I can tell it was 25%, not sure though.

Edit: Looks like they were all over the place

China imposed antidumping tariffs of 2 to 8.9 percent on American cars and S.U.V.s with an engine displacement of more than 2.5 liters in December 2011, saying that these vehicles were being sold to dealers in China for less than the full cost of manufacturing them. China also imposed additional anti-subsidy tariffs of 12.9 percent on large-engine passenger vehicles from General Motors and 6.2 percent on these vehicles, mainly Jeeps, from Chrysler.

May 2014

https://www.nytimes.com/2014/05/24/business/wto-ruling-on-chinese-tariffs-on-us-cars.html

[presence]

cysogtfo

Trump got China to eliminate their 40% tariff on imported cars.

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

lol

http://journal.sjdm.org/15/15923a/jdm15923a.pdf

[CCTelander]

What was the tariff before Trump was president?

I'm pretty sure @Anti Federalist posted an essay last week that said Chinese tariffs on US auto imports ranged between 10% and 25% depending on type. That's from memory tho so don't take it as gospel.

[Brian4Liberty]

Let me guess. They will drop them to 15%...

In July, China reduced auto import duties from 25 per cent to 15 per cent, a boon for international carmakers keen to grow sales in the world's largest auto market.

But as trade tensions ratcheted up with the US this summer, Beijing retaliated by slapping vehicles imported from the US with an extra 25 per cent tariff, bringing the total tariff rate to 40 per cent.
...
https://www.straitstimes.com/world/u...-us-cars-trump

[nobody's_hero]

Let me guess. They will drop them to 15%...

[Swordsmyth]

One of the catalysts bolstering the overnight rally, which sent auto stocks surging both in the US and across the Atlantic, was a late night tweet by Donald Trump according to which "China has agreed to reduce and remove tariffs on cars coming into China from the U.S. Currently the tariff is 40%" without giving any further details.
This however prompted even more questions about the outcome of his meeting with counterpart Xi Jinping as this was the first time that this aspect of the US-China trade agreement had been unveiled.
On Monday morning, Treasury Secretary Steven Mnuchin confirmed Trump's tweet, saying that China has agreed to eliminate tariffs on imported automobiles but declined to give details.
"The first part was to reduce the surcharge, but yes there have been specific discussions on where auto tariffs will come down to, but I’m not prepared to talk about the specifics," Mnuchin told reporters outside the White House, leaving the mystery intact.
A little later, Trump's chief economic advisor, Larry Kudlow, told reporters that the Chinese are “going to roll back their auto tariffs,” adding “that’s got to be part of the deal" talking back Trump's definitive assessment that China had agreed to "reduce and remove" (which is it?) auto tariffs.
Speaking later, Kudlow added some more confusion when he said that he "assumes" China will put car tariffs on the table right away, a statement that certainly does not imply China had "agreed" to anything.
Finally, confirming that there was - in fact - no agreement, speaking to NPR earlier today, Peter Navarro refused to confirm that China had cut auto tariffs, instead saying only that that topic "certainly came up" in Buenos Aires.

Peter Navarro on @npr refuses to confirm that China has cut auto tariffs — says only ‘that certainly came up’ in Buenos Aires
— Glenn Thrush (@GlennThrush) December 3, 2018

Meanwhile, from the Chinese side, there was little mention of car tariffs being part of a deal. In fact, there was no mention at all: in a briefing in Beijing a few hours after the tweet, China’s foreign ministry spokesman Geng Shuang declined to comment on any car tariff changes.
As Bloomberg notes, the uncertainty about a deal on car tariffs stems from the unusual nature of the G-20 negotiation. The outcome of the talks wasn’t recorded in a joint statement, and so the two sides have instead emphasized different results. China hiked its tariff on U.S.-made cars to 40% earlier this year in retaliation for tariffs Trump imposed on Chinese imports, and Beijing has made no announcement about reducing the car tariff.

More at: https://www.zerohedge.com/news/2018-...-add-confusion

[Brian4Liberty]

"The first part was to reduce the surcharge, but yes there have been specific discussions on where auto tariffs will come down to, but I’m not prepared to talk about the specifics," Mnuchin told reporters outside the White House, leaving the mystery intact.

Which points to the fact that a “tariff” is only one type of tax. Duties, excise taxes, surcharges, licensing fees, port fees, environmental fees, carbon tax, shipping, handling and processing fees. The list is endless. The devil is in the details.

[Root]

Good news for Volvo.

[Itsback]

Good news for Volvo.

It will be "America First", "China First", "Europe First", "India First" etc.. Donald Trump has hit the hornets nest. When Pakistan has made JF-17 fighter jets, now cars are toys for all the countries.

Made in Africa cars are similar to American cars

[bunklocoempire]

lol

Way to nail the FED, the PUSA is a goddamned genius.

[presence]

cysogtfo

[TheCount]

Sounds legit.

Correct answer. Didn't take long to find out that it was bull$#@!, now did it?

[Swordsmyth]

Correct answer. Didn't take long to find out that it was bull$#@!, now did it?

Actually we don't know yet, we will see what China does before the end of the tariff ceasefire.

[TheCount]

Actually we don't know yet, we will see what China does before the end of the tariff ceasefire.

Sounds legit.

[Swordsmyth]

Correct answer. Didn't take long to find out that it was bull$#@!, now did it?

Actually we don't know yet, we will see what China does before the end of the tariff ceasefire.

Sounds legit.

According to Bloomberg, China is moving to cut its trade-war tariffs on US autos. US equity futures spiked on the news, mirroring their reaction from last Monday after Trump bragged about the concession twitter, only for Treasury Secretary Steven Mnuchin and advisor Larry Kudlow to pour cold water on the president's boasts by saying that the cuts had merely bee "discussed".

Bloomberg said China is planning to cut tariffs on US-made cars to 15% from the current 40% has been submitted to China’s Cabinet to be reviewed in the coming days. China boosted tariffs on US-made cars to 40% as part of a raft of retaliatory measures against the US imposed over the summer. To be sure, nothing is set in stone just yet. The decision is being reviewed, and could still change.
While US automakers will undoubtedly benefit from the move, Bloomberg pointed out that European automakers like Mercedes-Benz and BMW will be the biggest beneficiaries after both companies - which have sizable manufacturing operations in the US - warned about lower profits this year.

More at: https://www.zerohedge.com/news/2018-...futures-higher

We temporarily don't add more and they remove some that they had already implemented.


#Winning

[TheCount]

Sounds legit.

[Zippyjuan]

https://www.marketwatch.com/story/ch...ers-2018-12-12

China cutting U.S. auto tariffs is big news — for German auto makers

Two-thirds of U.S. auto exports to China are from the German luxury car producers

The news that China is slashing the tariffs on U.S.-made cars is a big boost — to the bottom line of German companies.

As part of the effort to reduce trade tensions, China has agreed to cut tariffs on U.S. autos to 15% from 40%, The Wall Street Journal reported. That brings the tariff rate back down to levels they were before getting raised as part of the trade war between the two nations.

But that won’t mean much for the major U.S.-based auto makers, General Motors GM, +3.57% , Ford Motor Co. F, +1.58% and the Chrysler unit of Fiat Chrysler Automotive FCAU, +3.11% .

According to data from LMC Automotive, Germany’s BMW BMW, +2.83% and Daimler DAI, +2.43% exported two-thirds of the 267,000 vehicles shipped to China from the U.S.

Sport utility vehicles like the BMW X5 and Mercedes-Benz GLE aren’t built in China, so they’re exported from U.S. plants in South Carolina and Alabama.

More at link.

The US produced 12 million cars so exports to China accounted for about two percent of US production. Not going to have much impact.

Also worth noting that this is only a proposal at this point. China's tariff on all cars was 15% for all countries. China raised it to 40% on US cars only when Trump imposed tariffs on them.