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Many people complain that the founding of the country only has a business mindset and does not understand governance. This time, it's a bait and switch, a public rise and private fall. First, they stir up chaos, using tariffs to deal with disobedient countries. When those countries can't hold on any longer and compromise, they lower tariffs for allies, making it seem like prices have dropped, and everyone breathes a sigh of relief. But immediately after that, they will start the printing press and print money like crazy. In the short term, the economy looks prosperous as if it has been injected with steroids, but in the long run, the inflation bomb will explode sooner or later. Prices may have dropped, but they will surge back up, and by then, the money we hold will be worth less and less.
This wave of operations can, on one hand, support American domestic enterprises, reduce imports, and provide American citizens with more choices of domestic products; on the other hand, it can also give more negotiating power at the trade negotiation table, forcing other countries to make concessions.
Chinese goods are subjected to a 54% tax, which is quite harsh! Simply put, it's like this: however much you charge me, I will charge you half. China imposes a 67% tax on American goods, Trump imposes 34%, and with the original 20%, it skyrockets directly to 54%. Other countries also have to add at least 10%.
This practice completely disregards international trade rules and is a typical example of unilateral bullying. As tariffs rise, global trade costs soar, and supply chains are thrown into chaos. American consumers are paying more for imported goods, and other countries are beginning to retaliate, leading to an imminent global trade war.
The already unstable cryptocurrency market faces this chaotic trade situation, making the future trend even more uncertain.
Stay rational: Do not be disturbed by rumors, and stick to your own judgment.
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