Billy Gee

China Currency Issue: A Red Herring

The currency issue is part of a comprehensive approach to trade practice reform with China. There needs to be a stop to Intellectual Property theft and counterfeitting of U.S. prodcuts in China. There needs to be a stop to government insistence on joint ventures for U.S. companies wanting to sell in China (cinduit for tech transfer). There needs to be a stop to illegal trade practices such as export subsidies and rebates of taxes to exporters in China.

The red herring argument on currency is not sound because it is part of a comprehensive solution to an intolerable situation for the U.S. economy.

Chinese Exports: Can Emerging Markets Replace the U.S. Consumer?

The manipulation by China of its currency also makes China's exports to emerging markets have an unfair advantage of U.S. exports in these markets. Yuan manipulation allows a significant advanatage for Chinese products both in China and other markets where U.S. products compete with Chinese goods and services.

Will Barak Obama press China to allow the Yuan to float against the U.S. Dollar? Does the U.S. president even realize the devastation of jobs lost in the U.S. do to unfavourable market conditions for U.S. goods and services in export markets?

How to Boost U.S. Exports

Ben Gee, my possible distant relative, people are underemployed in the U.S. with their hours cut and most people cannot get by on 30 hours. People want to work 60 hours a week and many do holding two low wage jobs. The terms of trade agreed to by China to allow access to the U.S. and other markets are not being are not being fulfilled by China. The consumer class in China would benefit greatly if the U.S. could have the access promised. Read what the Office of The U.S. Trade Representative reports here:www.ustr.gov/sites/def....

FAA fines for United parent UAL Corp. (UAUA) could reach $3.8M and US Airways (LCC) $5.4M for safety violations - in United's case, for operating a 737 for more than 200 flights with shop towels covering the oil sump, rather than protected caps.

Is the 787 flying secretly for UAL because many other airlines would like to be flying them? The 787 has not flown yet so there is a typo.

China Wants a Global Currency? Here's How

It is interesting that so many commenters justify the 58% trade deficit the U.S., has in goods and services, with China as being simply a case the U.S. has nothing to sell them. Over half of U.S. exports are intellectual property based and this is gfowing. The problem is China does not want to pay for U.S. intellectual property and instead have a regime of lax enforcement of IP rights. Almost all of the movie and music dvds and business software is pirated as well pervasive counterfeitting (especially pharmaceuticals). There are also various schemes to transfer technology under the guise of joint ventures and arbitrary and unusual certifications requirements.

www.uschamber.com/ip

Is Obama Mimicking 'W.' on Trade?

China is now the third biggest economy in the world and yet theirr currency is for internal use only -- this is rediculous and yet government does not insist on this situation ending.

China still has a situation within its borders where foreign intellectual property is copied without regard for trade treaties. 80% business software pirated; 90% music and movie dvds; pervasive counterfeitting of pharmaceuticals. Joint venture competition and certification vetting for the purpose of copying trade secrets.

The American and Chinese people are suffering in the non-compete arrangement being tolerated by the U.S.

China, U.S. Trade War Will Damage Both Economies

Your charts neatly avoid the most damaging comparison -- the trade deficit. China accounts for 16% of the merchandise imported into the U.S. but accounts for a staggering 58% of the deficit. What does this mean? China refuses to allow a flow of U.S. finished goods into China by managing with nontariff means such as rolling certification standards or making companies compete for marketing rights in China by being forced into trade secret transferring joint-ventures.

The 58% statistic is probably much higher when pirated dvds and business software are figured in with the rate of theft at over 80%. Then there is the problem of counterfeitting which is pervasive and most significantly pharmaceuticals.

Obama Is Wrong to Impose Punitive Tariffs on Chinese-Made Tires

The tire tariff dustup is diverting attention from China's further increase iin its trade deficit with the U.S. (60% of the goods deficit with the U.S.). The tire tariff is not Smoot -Hawley like or even similiar but what is <A HREF=www.ustr.gov/sites/def...;" that seven years after China's WTO accession many U.S. industries complain they face significant nontariff barriers to trade...these examples include regulations that set high thresholds into service sectors such as banking, insurance and telecommunications, selective and unwarranted inspection requirements for agricultural imports... Many U.S. industries have also complained that China manipulates technical regulations and standards to favor domestic industries"</A>

U.S. Trade Deficit with China up Again in July

" many of the things the U.S. imports from China were only assembled there -- the initial value came from elsewhere"

This is the common retort for criticism of the bizarre trade with have with China. China has over two trillion U.S. dollars that they regard as investible funds for being just an assembly point as well as rising to the # 3 economy in the world being an assembly stop. This assembly thing is working out well for China but not the U.S. If the U.S.had an administration with intellect, will and comptency these trillions of U.S. dollars would return the U.S. as payment for purchase orders of U.S. goods and services. China wants to hoard commodities and dollars and hide behind the modern Great Wall of Non-Tariff barriers that harms the citizens of both China and the U.S.

How Much of China's Export Industry Is Owned by U.S. Corporations?

Foreign companies account for 80% of Chinese exports is a fact? What is the basis of this assertion?

Foreign companies involved in joint ventures with Chinese concerns (local and national gov't as well as private) seem to be the basic make-up of most exporters. The foreign companies are allowed to operate in China as minority owners so that control stays local and expertise is transferred to the joint venture. The Free Trade Zone is a dynamic image but it is only an image to a limited extent for which the author has extrapolated as the the reason for export success.

Economic Hurdles for Uncle Sam

Commentator User ... above wants to portray our import problems as oil based. A lot of oil importation is bad and our consumers as well as U.S. gov't are becoming very conscious of this with resulting green and enerty efficient iniatives. The problem that User wants us to take our attention from is the trade inbalance with China.

The huge problem is: 16% of manufactured imports into the U.S. are from China BUT China accounts for 58% of the trade deficit. Mr. Morici very consicely states the reasons why China has extreme advantages and that the timid U.S. administration does not want to successfully address them.

The Shanghai Market Calls the Tune

Mr. Pettis, thank you for your interesting articles.

Are all companies on the Shanghai Index under either national or local government control with minority investment available to other investors?

A Closer Look at the LEI's .6% Rise

Mr. Sutton, I would like to know if trade deficits that result in large soverign wealth funds of U.S. dollars and "sterilization" is having a big impact on the slowing of the velocity of M2? I , like Bob Allard above, am concerned, and why this issue is not a major issue?

Actually, China's Not the World Leader in Manufacturing or Exports

Mr. "Galt", You write that that the U.S. exports movies, music and Silicon Valley software BUT according to the U.S.-China Economic and Security Commission Report to Congress for 2008: 80% of business software and 90% of music/movies is pirated (stolen) that is being used in China. Let us not pretend that the world's third largest economy has not reached the level of being held to the same level of accountability as the other top economies in the world have with their customers.

Still Missing the Last Green Shoot: Jobs

The last green shoot for employment will be exports of goods and services from the U.S. exceeding imports. Consumption will not lead us back to prosperity because the home equity financed spnding of the recent past is gone for a generation at least.