National Security Advisor John Bolton Alex Wong / Getty Images hide caption change caption Alex Wong / Getty Images National…
Alex Wong / Getty Images
The arrest and possible extradition of a Chinese business executive highlights ongoing US-China trade tensions as national security advisor John Bolton says will be an important focus for negotiations over the next three months.
These tensions contributed to another roller coaster day on Wall Street. Dow Jones Industrial Average was down over 700 points on Thursday, but recovered to close less than 80 points. It followed a 799 point drop in Dow on Tuesday.
Meng Wanzhou, Chief Financial Officer of China’s Huawei Technologies, was arrested in Canada on Saturday at the request of US authorities and faces any extradition to the United States. In an interview with NPR’s Steve Inskeep, Bolton refused to address the causes of her arrest, but said that the United States had long been concerned about what it considered as the company’s theft of technical know-how.
“Do not blind eyes when states, as a matter of national policy, steal intellectual property rights from their competitors,” Bolton told NPR’s Morning Edition. Huawei is a company we have been worried about. There are others too. Huawei is one of the world’s leading manufacturers of smartphones and telecommunications equipment. Meng is the daughter of the founder of the company. She is expected to be shown to a citizen’s court in Vancouver on Friday. The Justice Department refused to comment on the reason for Meng’s arrest.
Coat of Arms
She was detained on the same day President Trump and China President Xi Jinping held a working dinner in Buenos Aires, Argentina.
The two leaders Trump agreed to impose additional charges on Chinese imports for 90 days while negotiations continued on China’s commercial practice.
“The most important thing is to protect US jobs and US companies from the unfair treatment they have received in the hands of the Chinese government, says Bolton. “They do not beat other countries in fair competition. They steal from them.”
Vice President Pence also warned China’s growing self-esteem in a speech in the fall of the Hudson Institute.
“America had hoped that economic liberalization would bring China into a bigger partnership with us and with the world,” said Pence. “China has instead chosen economic aggression, which in turn has developed its growing military.”
Bolton generally shares these Hawaiian views, but he stressed that the United States did not try to limit China’s economic growth.
“I do not think that national security demands it at all “Bolton said.” What I think national security demands is that the economic growth that China is blessed will be by playing the rules. “
He repeated the vice president’s skepticism that prosperity would automatically lead to political change in China.
“I’ve heard go back years:” Just let the Chinese economy grow a bit and you’ll see democracy spread throughout the country, “s gives Bolton. “We know today that the connection is far from some.”
“I’m a Tariff Man”
The financial markets initially welcomed the Trump-Xi fire, with stocks rallying on Monday. But doubt soon screamed that it would remain, especially after Trump tweeted his support for customs on Tuesday.
“I’m a taxman,” wrote Trump. “When people or countries come in to threaten the great wealth of our nation, I want them to pay for the privilege of doing that. It will always be the best way to maximize our economic power. We are currently taking $ billions in tariffs. “
In fact, Trump’s Chinese import tariffs cost US companies and consumers $ 2.2 billion in October, the first month then These tariffs were fully operational, according to an analysis of US census data from the trading partnership, an economic research company.
“Americans pay these taxes and they pay more than ever before,” says former Rector Charles Boustany, R-La., Who serves as a spokesman for a advocacy group, Tariffs Hurt the Heartland.
Boustany notes that tariffs targeting China tariffs did little to counteract imports or encourage domestic production, but repurchase charges introduced by China have lowered US exports. Imports from China subject to customs duties increased by 2 percent in October, while exports covered by China’s repayment duties fell 42 percent.
When combined with charges on steel, aluminum and other imports, the total price tag for Trump’s administration tariffs was $ 2.8 billion in October. It drove the federal government’s monthly customs revenues to a record of 6.2 billion dollars.
Tariffs could go even higher if the US and China failed to reach an agreement on the sticky issues of intellectual property and forced technology transfer. Bolton said businessmen have the right to worry.
“What cautious people should do is look at how China works and ask about trade and investment in an economy that exploits its trading partners and risks their intellectual property rights is something they want to engage in.
Bolton also expressed skepticism about North Korea’s willingness to abandon its illegal nuclear program, even though he advocates a second meeting between the president and Kim Jong Un.
“President Trump tries to give North Koreans a chance to live up to the commitments they made at the Singapore Summit,” said Bolton. “He has kept the door open to them. They must go through it. “