Wednesday, July 25, 2018

Former GM executive Bob Lutz on the current and ongoing trade negotiations.

What President Trump is trying to do is eradicate decades of trade inequity, where the U.S. has almost no tariffs on certain things and other countries have gigantic tariffs to where we have ongoing, monumental trade deficits, which are just sucking the wealth of our country and it’s time for somebody to put an end to that.
President Trump has decided this is the time and by George, I’m with him 100 percent. Now, is that going to cause some problems, some dislocation, some trouble in a system that’s been based on cheap imports of just about everything? And never mind if we export anything or not. Yeah, yeah, trade deficit doesn’t matter.
That’s all not true. It does matter and it’s time to get things in balance. I guarantee you the U.S. will come out of this trade war as a winner, with other countries cutting tariffs on key American commodities. I’ll bet you Europe eliminates the automotive tax. It’s too early to get upset about all of this. We’re in the midst of a negotiation.
Lutz knows what he's talking about, and it is high time someone squarely addressed this issue.

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