Addressing the report that China has slapped an additional $60 billion in tariffs on products that American consumers crave, a CNN panel highlighted what President Donald Trump has wrought in the latest escalation of his trade war.
As host Jim Sciutto pointed out that Wall Street was expected to take a beating on the China announcement — released just before the opening stock market bell — the panel explained what products would be affected, with tariffs on some products jumping from 10 percent to 25 percent.
According to CNN economic analyst Rana Foroohar, “China has a mission. — they are trying to transition to be a consumer economy. They have plenty of stimulus and plenty of political will. That’s the advantage of autocracy.”
“I don’t see the Chinese backing down here,” she continued. “We have to remember that Trump is asking them to do things that are fundamentally impossible within their political context. He’s saying don’t subsidize state-owned businesses, you have to privatize everything. Well, that’s not the way China works.”
According to CNN’s Christine Romans, consumers can expect to see increases in iPhones, Nike products, toys, sporting goods, clothing, fabrics, appliances and metals used by manufacturers.
“This is what a trade war looks like,” she bluntly advised.
The panel later stated the tariffs — including the ones that are devastating U.S. farmers — will likely impact President Trump’s ability to get re-elected since Americans vote based upon their pocketbooks.
Watch the video below: