Next week, Trump is set to have an “extended meeting” with Chinese President Xi Jinping to consider trade negotiations between the two countries. The president and his team have been working to level the playing field between the U.S. and China when it comes to economic dealings.
Had a very good telephone conversation with President Xi of China. We will be having an extended meeting next week at the G-20 in Japan. Our respective teams will begin talks prior to our meeting.
— Donald J. Trump (@realDonaldTrump) June 18, 2019
China is known for subsidizing its industries and stealing U.S. intellectual property, leaving the Trump administration to implement tariffs rather than free trade because it claims there cannot be free trade without fair trade.
While these negotiations have been ongoing, some Americans have felt uncertain, as tariffs and countertariffs from other countries have started to wreak havoc for U.S. industries such as agriculture. Recent polls from Fox News show that Americans are concerned about the impact of tariffs on the economy.
During an interview on Fox News, Kudlow explained that he believes China “will pay” for the brunt of the tariffs. He says he’s optimistic that Trump will arrive at a deal that creates a “level playing field.”
Watch Kudlow’s comments:
“Any impact on American consumers will be very, very limited and de minimis — point number one. Point number two: China is, in fact — in economic terms, China is going to wind up paying for a good chunk of these tariffs, whether production moves to the U.S., or whether Chinese companies have to slash prices and hurt their own the profits and bottom line. So I think this is well worth it, the president’s policy. We’ve got to have fair — right, we’ve got to have fair, level playing field, reciprocal trade with China. So let’s stay the course.”
Kudlow noted that the Dow was up on Tuesday following Trump’s G-20 meeting announcement and that, overall, the economy is strong.
“We are in good shape,” Kudlow noted.