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Jack Ma: Alibaba is no longer planning to create 1 million U.S. jobs

Jack Ma, founder and chairman of Alibaba, says the Chinese retail giant no longer promises to create 1 million U.S. jobs in the wake of an escalating trade conflict.

www.cnbc.com|Jillian D'Onfro

Ma made his original job creation pronouncement during a high-profile meeting with Donald Trump in January 2017 before Trump's inauguration as president.

"The promise was made on the premise of friendly US-China partnership and rational trade relations," Ma told Chinese news site Xinhua on Wednesday. "That premise no longer exists today, so our promise cannot be fulfilled."

Apple Avoids U.S. Tariffs on Smartwatches, Earbuds

Apple dodged stinging duties on its smartwatches and wireless earbuds after the U.S. excluded those gadgets from tariffs on $200 billion in Chinese goods.

www.wsj.com|Tripp Mickle

Because Apple assembles almost all of its gadgets in China, its watches, AirPods and other devices are vulnerable to the Trump administration’s plans to widen the scope of tariffs on Chinese imports—a risk Apple warned about earlier this month.

That reliance also could make the iPhone and other devices vulnerable if Chinese officials follow through on retaliatory moves to restrict sales of materials, equipment and parts key to U.S. manufacturers—measures The Wall Street Journal on Sunday reported that Beijing is considering.

The timing of the countries’ new measures could be especially bad for Apple, which this week starts shipping two of its three new iPhones and a new smartwatch. Those new devices are expected to help fuel the company’s sales in the final three months of the year, when Christmas shopping helps deliver about one-third of Apple’s annual revenue.

Amid Trade Tensions, China Issues Travel Alert to Citizens About Dangers of US

In a move considered to be politically motivated, the Chinese Embassy in Washington issued a travel advisory warning its citizens about the dangers of visiting the United States. The Chinese embassy website posted the advisory on June 28, telling Chinese tourists that expensive medical bills, the threats of public shootings and robberies, searches and seizures …

www.theepochtimes.com

• 2.97 million Chinese tourists traveled to the US in 2016, spending a total of $33 billion,  US Commerce Department 
• “Chinese tourism is a big deal for Los Angeles. China is driving more than one billion dollars into the city’s economy ANNUALLY.”, Kathy Smits, Vice President International Tourism
• “Chinese visitors already spend more in the U.S. than other international visitors, at roughly $7,200 per person, according to the U.S. Travel Association”, AP News
• “Chinese tourist arrivals are forecast to reach 4.5 million by 2022 by the U.S. National Travel and Tourism Office. Were they to spend just 10 percent per person more than they did in 2016, that would amount to almost $56 billion”, Reuters -  Chinese visitors can hit nerve tariffs don’t reach 

• “Despite the growth in the global tourism, the U.S. share of the market has declined roughly 13% over the past few years. International visitors have declined 7.4 million over that time period.”,  NASDAQ.com - June 13, 2018
• 15 U.S. Cities Losing Millions in Tourism Business Under Donald Trump, The Cheat Sheet -  June 8, 2018
• “Economic data proved the new president’s first year in office was dreadful for the industry, with $32 billion in revenue and 40,000 jobs lost.”, The Cheat Sheet -  March 10, 2018
• Foreign tourism is America’s $236 billion export, supporting 2.5 million U.S. jobs. 
• “Foreigners spend $100 billion more each year visiting the U.S. than they spend importing our crops, meats, and dairy.”
• “They spend nearly five times more visiting the U.S. than they spend buying our movies, software, video games, music, and other IP.”, Business Forward -  June 4, 2018 

#Trudeau rings in #CanadaDay with $12.6B in retaliatory #tariffs. What does this mean for the #WTO and the possibility of a #TradeWar? Find out in Ep 1 of TRADECRAFT, a new biweekly podcast exploring the craft of trade policy w @Georgetown prof. Marc Busch https://soundcloud.com/user-885686084/ep-1-not-your-grandparents-trade-war …

— TRADECRAFT  🎙 Podcast‏ @tradecraft_pod July 1, 2018

IT'S ON: Trump's trade war is set to kick off with tariffs on $34 billion worth of Chinese goods

President Donald Trump's tariffs on $34 billion worth of Chinese exports to the US will take effect at midnight. The move is a culmination of months of fighting between the Trump administration and Chinese officials. Economists also worry that its the start of an economically damaging trade war.

www.businessinsider.com|Bob Bryan

The 25% duty will apply to $34 billion worth of Chinese goods, ranging from aircraft to chicken incubators.

On June 15th #China retaliated to trade threats by providing a list of U.S. goods subject to #tariffs on July 6th - $19.5 billion of which were agricultural. Here is a general look at how those futures markets have performed since. #soybeans #cotton #hogs #dairy #wheat #corn

— Matthew Pot‏ @MatthewPot -  July 5, 2018

How China hit Donald Trump’s supporters where it hurts as tariffs target Republican Party’s heartlands

Beijing’s levies on agricultural products – which will directly affect areas represented by senior Republicans, including House Speaker Paul Ryan and Senate Majority Leader Mitch McConnell – will do little to calm the party’s jitters

www.scmp.com

1. China has a strategy and it’s tactically executing its plan. When will Xi call in some of America’s $1.17 trillion debt holdings?
2. China knows the key groups of the GOP and Trump base: farmers, manufacturers, White Evangelicals and rich #GOPDonors
3. China hitting Republicans in the only place they feel pain — wallets, donation plates, bottom lines and stock market  #TrumpEconomy #TrumpJobs #FoodStamps

The impact of a 15 per cent duty on ginseng, which was announced before the latest round of tariffs and came into effect on Monday, will be felt particularly acutely in Wisconsin, which accounts for 85 per cent of US exports of the crop to China.

The 25 per cent levies on tobacco and whiskey will hit Kentucky – the heartland of bourbon production and home to Senate Majority Leader Mitch McConnell.

25% tariff on Pork hurts American producers BUT helps producers in China. Iowa is the home to one-third of US pork production.

“The fact that Beijing put soybeans on its list is a signal that China is not going to pull any punches,” Christine McDaniel, who served as senior trade economist in the George W. Bush administration 

• China to Target Trump’s Base in Tariff Response, WSJ
• Trump Country May Be Hit Hardest by Chinese Tariff Retaliation, Bloomberg
• China’s targeted tariff retaliation threatens Trump heartland, FT
• In a U.S.-China trade war, Trump voters likely get hurt the most, Washington Post
• With sorghum warning shot, Beijing targets Trump's core farm base, Reuters
• Trump states would be hit hard by new Chinese tariffs, CNBC
• China Tariffs Could Wreck Republicans in November, Bloomberg

China hits the United States with tariffs on $3 billion of exports

China is showing the United States that it will make good on its trade threats, imposing tariffs on 128 American products Monday.

money.cnn.com|Daniel Shane

Beijing says the new sanctions on 128 US products, which it first proposed 10 days ago, are in response to President Donald Trump's tariffs on imports of steel and aluminum from China and some other countries.

China will put 15% tariffs on American cherries, almonds, wine, ethanol and steel pipes, and 25% on pork meat and recycled aluminum.

• Pork: $487.9 million exported to China, 9% of all US pork exports 
• Fruit: $260.1 million exported to China, 6% of all US fruit exports 
• Nuts: $224.9 million exported to China, 3% of all US nuts exports 
• Wine: $74.6 million of wine exported to China, 5% of all US wine exports 
• Recycled Aluminum?