Trump does it again - strikes deal with EU's Juncker, avoids trade war

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SP33Demon

Lifer
Jun 22, 2001
27,928
142
106
Like keeping the steel tariffs and lower soybean prices is helping farmers. They are huge consumers of steel (tractors, silos, barns, etc), so input costs go up, meanwhile prices go down.

Margins get squeezed and they are pissed.

Trump offers welfare. They and everyone else yells him to fuck off.

Yes. Master negotiator. Amazeballs. How did he ever bankrupt all those casinos with such a brilliant business mind like that.
lol what? Agribusiness is more high tech than ever and owned by large corporations. Most of the farming infrastructure is already in place. Steel isn't going to affect them at all.

Welfare is just a stopgap until NAFTA gets reworked, just like the EU did.
 

Jhhnn

IN MEMORIAM
Nov 11, 1999
62,365
14,681
136
Speedy is quite the cheerleader, huh?

U.S. soybean exporters have few options other than to target the EU after China imposed an additional 25% tariff on American soy imports. Still, European purchases aren’t likely to make up for reduced Chinese demand. The Asian country is the world’s biggest soybean importer and is forecast to buy more than six times the bloc’s 15.3 million metric tons in 2018-19. Last year, China bought about 33 million tons from the U.S.

https://www.bloomberg.com/news/arti...s-eu-purchases-dwarfed-by-china-s-u-s-imports

His understanding of the steel market is piss poor, as well. Mills have become specialized & much more horizontally integrated at the international scale. It takes huge capital investment to tool up to produce different kinds of steel. Outfits like Evraz won't do it on the basis of Trumpian whim so American users of their Canadian products will just have to pay more.

https://www.evrazna.com/LocationsFacilities/RockyMountainSteelMills/tabid/71/Default.asp

LNG? There are no EU tariffs on LNG & no obligation to buy they stuff unless the deal is right-

“Will U.S. LNG reach Europe? Yes, but only if there is an arbitrage opportunity that makes sense,” he said.

https://www.reuters.com/article/us-...in-europe-to-face-reality-check-idUSKBN1KG275

It's like the N Korea deal. Ain't nuthin' there.

It just shows once again that facts have a liberal bias.
 

HomerJS

Lifer
Feb 6, 2002
36,730
28,908
136
So you don't think this is a huge win for both sides? And you don't think Trump won't be pimping this "yuge" haul for America? He did something Obama and W never had the balls to do - ask for more. Just like when you are negotiating salary when you're hired - you ask for as much as they're willing to give you. In this case, it wasn't even really greed but the fact that other countries were ripping us the fuck off.

Trump has a gift, just admit it. He played Juncker and the EU like a fiddle and this will help mitigate any damage to our farmers if the China trade war continues (which it probably won't past mid terms). Though not sure how much work he actually had to do considering we had all the leverage anyway, economically and militarily. They aren't going to do something stupid like severe military ties which leaves them vulnerable to Russia if we pack up and leave.
If Trump is such your hero boy what the fuck is up with the 12B welfare check for farmers.
 

Jhhnn

IN MEMORIAM
Nov 11, 1999
62,365
14,681
136
Trump has a gift, just admit it.

You don't even know what it is, do you?

HIMv0eo.png
 

fskimospy

Elite Member
Mar 10, 2006
85,634
50,860
136
I called it exactly. The EU made some meaningless ‘concessions’ so that Trump could declare victory in solving a problem he created.

The EU played him the same way everyone else has played him.
 

rommelrommel

Diamond Member
Dec 7, 2002
4,410
3,183
146
Didn't Bayer (a German company) just buy Monsanto who has a virtual monopoly on soybean's sold in the US as well as Round Up the weed killer they drown the soybeans in? Good for a Germany company and their stockholders I guess.

Roundup is the trade name for glyphosate, it’s long off of patent and anyone can make it. Monsanto does make roundup ready seed tho, you can spray the fields with glyphosate and kill the weeds without killing the plants.
 

cytg111

Lifer
Mar 17, 2008
23,993
13,519
136
A giant nothing burger... with a little gravy.
My takeaways
1. Juncker came in smart with a gameplan, suck up to the man, use his rethoric publically, give alot of nothings in return. Where have we seen this before?
2. I dont know how much natural gas we are talking about but if it puts a dent in nordstream2 then great.
 

TheVrolok

Lifer
Dec 11, 2000
24,254
4,090
136
I called it exactly. The EU made some meaningless ‘concessions’ so that Trump could declare victory in solving a problem he created.

The EU played him the same way everyone else has played him.
Exactly this. Whats (not) amazing is that his supporters just don't get it. It's as if they, also, have absolutely no idea what the fuck they're talking about.
 

Demo24

Diamond Member
Aug 5, 2004
8,356
9
81
A giant nothing burger... with a little gravy.
My takeaways
1. Juncker came in smart with a gameplan, suck up to the man, use his rethoric publically, give alot of nothings in return. Where have we seen this before?
2. I dont know how much natural gas we are talking about but if it puts a dent in nordstream2 then great.


Colorful simple cards to explain this also apparently helped:

http://thehill.com/policy/finance/i...used-colorful-simplified-cue-cards-to-explain

Almost like Trump has no idea how any of this works. Or perhaps he might be incredibly dumb. :anguished:

I would be somewhat surprised if the EU actually ends up importing significantly more soybeans. Per this they could literally import just one additional bushel and call it good. Course the EU can't really force any particular member state to do this.
 
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cytg111

Lifer
Mar 17, 2008
23,993
13,519
136
Colorful simple cards to explain this also apparently helped:

http://thehill.com/policy/finance/i...used-colorful-simplified-cue-cards-to-explain

Almost like Trump has no idea how any of this works. Or perhaps he might be incredibly dumb. :anguished:

I would be somewhat surprised if the EU actually ends up importing significantly more soybeans. Per this they could literally import just one additional bushel and call it good. Course the EU can't really force any particular member state to do this.
Yea that link... I wish they would stfu about that.. luckily Trump has other headlines to fill his head with these coming days... days of Cohen..
 

kage69

Lifer
Jul 17, 2003
28,745
40,187
136
Colorful simple cards to explain this also apparently helped:

http://thehill.com/policy/finance/i...used-colorful-simplified-cue-cards-to-explain

Almost like Trump has no idea how any of this works. Or perhaps he might be incredibly dumb. :anguished:

I would be somewhat surprised if the EU actually ends up importing significantly more soybeans. Per this they could literally import just one additional bushel and call it good. Course the EU can't really force any particular member state to do this.

It's simply amazing how devoid of basic smarts republicans can be, reminds me of poor simple Dubya getting briefs from Rumsfeld in the form of cartoons with bible quotes.

This is a band aid for an injury Dump inflicted intentionally, look at the easily impressed sock puppets pretend he just pulled off heart surgery. lol
 
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VRAMdemon

Diamond Member
Aug 16, 2012
7,017
8,545
136
Isn't what he is now getting ready to call a victory in negotiating with the EU is pretty much what he cancelled TPP over? Saying he'd done a great thing for the American workers. And when announcing the first tariffs he wasn't just presenting them as negotiation pressure, he also praised tariffs as a good thing in and of themselves.

Is Trump just raising tariffs just because he can? Congress gave that power to the President. So Trump sees a button and he pushes it because it's there. He gets in the news by doing something Presidential without any thought going in to whether or not what he's doing is a good idea.

A couple of months back, Trump began issuing pardons for what was probably the same reason. Before that, he was issuing a bunch of executive orders. Or firing members of his staff. Next month, he may be renaming aircraft carriers.

We're all trying to figure out what deep strategy Trump is signalling when all he's really doing is fidgiting. inflaming and causing chaos.
 

SP33Demon

Lifer
Jun 22, 2001
27,928
142
106
Speedy is quite the cheerleader, huh?



https://www.bloomberg.com/news/arti...s-eu-purchases-dwarfed-by-china-s-u-s-imports

His understanding of the steel market is piss poor, as well. Mills have become specialized & much more horizontally integrated at the international scale. It takes huge capital investment to tool up to produce different kinds of steel. Outfits like Evraz won't do it on the basis of Trumpian whim so American users of their Canadian products will just have to pay more.

https://www.evrazna.com/LocationsFacilities/RockyMountainSteelMills/tabid/71/Default.asp

LNG? There are no EU tariffs on LNG & no obligation to buy they stuff unless the deal is right-



https://www.reuters.com/article/us-...in-europe-to-face-reality-check-idUSKBN1KG275

It's like the N Korea deal. Ain't nuthin' there.

It just shows once again that facts have a liberal bias.
From your own article:
A number of European companies have already announced plans to buy LNG from a new wave of planned U.S. projects.

Portugal’s Galp, Italy’s Edison, Britain’s BP and Royal Dutch Shell are all lining up to lift LNG from Venture Global’s planned Calcasieu Pass project in Louisiana.

But supply from these and other projects will not be ready for years and even then there is no guarantee it will come to Europe in meaningful quantities if more lucrative markets, such as China, emerge.

The benefit of lifting supplies from the U.S. is that a buyer can divert shipments to the highest bidder anywhere in the world without needing the approval of the seller.
That sure as shit seems like a big win for us for now. They pose big "what if's" as if these companies will work with China and assume LNG will stay tariff free from China. Fat chance, especially if contracts are in place.

Reuters doesn't know if there are now contracts, even verbal, in place. They are speculating and playing armchair QB like they did when they claimed the trade war was the end of the world. Now that the end of the world isn't here, all of a sudden everyone is an expert and it's still the end of the world b/c we didn't get anything right now in July 2018. lol

On paper this is a huge win for us, it's undeniable.
 

Hayabusa Rider

Admin Emeritus & Elite Member
Jan 26, 2000
50,879
4,266
126

hal2kilo

Lifer
Feb 24, 2009
24,222
10,877
136
Isn't what he is now getting ready to call a victory in negotiating with the EU is pretty much what he cancelled TPP over? Saying he'd done a great thing for the American workers. And when announcing the first tariffs he wasn't just presenting them as negotiation pressure, he also praised tariffs as a good thing in and of themselves.

Is Trump just raising tariffs just because he can? Congress gave that power to the President. So Trump sees a button and he pushes it because it's there. He gets in the news by doing something Presidential without any thought going in to whether or not what he's doing is a good idea.

A couple of months back, Trump began issuing pardons for what was probably the same reason. Before that, he was issuing a bunch of executive orders. Or firing members of his staff. Next month, he may be renaming aircraft carriers.

We're all trying to figure out what deep strategy Trump is signalling when all he's really doing is fidgiting. inflaming and causing chaos.
Hey, you got the man down pat.
 

SP33Demon

Lifer
Jun 22, 2001
27,928
142
106
Yep, forgot to add we got another thing in our haul:
"Both sides agreed to work to decrease industrial tariffs and adjust regulations to allow US medical devices to be traded more easily in European markets."
Will add to the OP.

We get:
1) The EU will buy more liquefied natural gas from the U.S.
2) The EU will buy more soybeans from the U.S.
3) The EU will help us reform the WTO with respect to punishing China
4) The EU will help adjust regulations to allow US medical devices to be traded more easily in European markets.
4.5) US import tariffs of 25% on steel and 10% on aluminium, imposed in March, will remain in place

EU gets:
1) No tariff on autos

Both sides get:
1) Zero tariffs, zero non-tariff barriers, and zero subsidies on non-auto industrial goods

Look like a good deal. Shit, Trump needs to start threatening tariffs more often.... oh wait.
 
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Bitek

Lifer
Aug 2, 2001
10,676
5,238
136
lol what? Agribusiness is more high tech than ever and owned by large corporations. Most of the farming infrastructure is already in place. Steel isn't going to affect them at all.

Welfare is just a stopgap until NAFTA gets reworked, just like the EU did.


Do you have something other than the hole in your ass to back that conclusion up?

It's not just Harley having to increase prices to cover tarriff costs.

Deere is being driven by the profitablity of the soy bean market. What happens if that gets fucked?

Also, there are indicators that since of the growth we are seeing is due to people trying to get spending in early in order to beat the tariffs, which means spending and growth will slow later.

John Deere to Raise Prices to Cover Increased Steel Costs- proag.com

"...

Deere joined a host of U.S. manufacturers reporting rising expenses as a growing U.S. economy drives up prices for materials and shipping. Prices for steel and aluminum have been pushed up by U.S. tariffs on imported metal.

Deere executives said they had to pay more to get their shipments made early this year, pushing up transport costs. They said they would raise prices to reflect that and higher steel expenses as Deere begins taking orders on 2019 models later this year.

We do expect the pricing we’re going to take for 2019 to be more than offsetting the inflation we’re seeing,”
...
Deere forecast a 14% increase this year in sales of its iconic green and yellow farm machinery and landscaping equipment after several years of tough sales in its home market. U.S. farm incomes remain constrained by low commodity prices. Many farmers have been planting more soybeans in recent years to offset anemic corn prices.

But the market for U.S. soybeans has grown increasingly precarious in recent months as China’s government threatens to impose a tariff on U.S. bean exports in retaliation for U.S. tariffs on Chinese metal and other goods."
 
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Bitek

Lifer
Aug 2, 2001
10,676
5,238
136
More links. What also should be considered is rising change-over costs to new crops as soy profitability drops. Farmers may not be able to afford switching crops.

Ultimately, farmers will be forced to pass on rising costs to us at the grocery store.

Ag Equipment Manufacturers Seeing Impacts of Steel Tariffs
The tariffs will mean his annual purchase of this specialty steel will jump $85,000. “In the end, we have to pass those costs onto our consumers, which are ultimately farmers. We sell through dealers and distributors.” he says.

The cost hike translates to an additional 5 cents per acre in operating costs for farmers, he adds."

Farmers worry about impact of tariffs on farm equipment

"Trade is huge. When you start talking about affecting your bottom line, then you affect the things you can purchase the things you can do, and how your operation functions,” adds Jeff Nalley, a farm broadcaster for Cromwell Radio Group.

Officials with the Association of Equipment Manufacturers claim higher steel tariffs make it more expensive to make new equipment and jeopardize the more than 1.3 million jobs in the farm equipment manufacturing industry. Tariffs on imported steel and aluminum went in to effect last month.

In the meantime, some farmers like Strode say they'll be focusing more on maintenance and less on new purchases. Strode's also using equipment less by not tilling land for future crops for now.