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So this is the 'reason' of Oleary?
They're so damn stupid. They think that China is so afraid of big tariff figures. Let Trump impose 1000% tariffs, and China still wont care. Their trade networks have already been poised to be rerouted.
Chinese companies and various MNCs have already build their re-export supply chains outside of China since Trump's first trade war. The more tariffs that Trump puts on China, the more useful these re-export hubs become. If they register shell companies in Singapore or Ireland, then they can go around tariffs or restrictions aimed at Chinese companies.
Even if China wants to buy something from the US, they can either get them from the Chinese factories of US companies, or they can buy it through intermediary countries who were slapped with much lower tariffs from Trump.
Trump and Mr Wonderful have no meaningful leverage on "Supreme Leader" Xi. The Chinese stock market is controlled by the government, so Trump's tariffs can only do so much damage. It is America who is ultimately gonna experience more inflation pain as they have practically tariffed the whole world.
In a trade war, or even a hot war. The side who actually produces useful stuff is always more powerful than the side who mostly produces overvalued paper and noise.
