Month: May 2019

President Donald Trump let loose with a morning round of tweets Friday that downplayed the possible consequences of his trade war with China.        Trump minimized the worth of China’s purchases of U.S. goods and services, which support nearly 1 million jobs in the U.S.; misstated the trade deficit; and ignored the inevitable rise in many costs to consumers when imports are heavily taxed.     The tweets came as his tariffs kicked in on $200 billion worth of Chinese goods, with another round of tariffs in the offing, and as U.S. and Chinese officials negotiated in Washington. With trade relations between the economic giants seemingly rupturing and the stock market sinking, Trump called the talks “congenial.”     A look at some of his statements:     Trump: “Your all time favorite President got tired of waiting for China to help out and start buying from our FARMERS, the greatest anywhere in the World!”     The facts: The notion that China doesn’t buy from U.S. farmers is false. China is the fourth-largest export market for U.S. agriculture. It bought $9.3 billion in U.S. agricultural products last year.     As for calling himself “your” favorite president, polls find Trump’s approval rating to be high among Republicans, but it generally ranges between 35% and 45% among Americans overall.      Trump: “We have lost 500 Billion Dollars a year, for many years, on Crazy Trade with China. NO MORE!”     The facts: That’s wrong. When sizing up the trade deficit, Trump always ignores trade in services — where …

With a ring of the opening bell, Uber began picking up passengers as a newly minted public company Friday and investors waited to bet on a service with huge potential, but a long way from turning a profit. Shares in the ride-hailing giant were sold in an initial public offering for $45 each, raising $8.1 billion, but it will take several hours for new investors to show how much they’re interested. Officials expect trading to start around 11:30 a.m. CEO Dara Khosrowshahi and other company officials stood on a balcony above the New York Stock Exchange and clapped as the bell rang to signal the start of the day’s trading. The IPO price on Thursday came in at the lower end of Uber’s targeted price range of $44 to $50 per share. The caution may have been driven by escalating doubts about the ability of ride-hailing services to make money since Uber’s main rival, Lyft, went public six weeks ago. Jitters about an intensifying U.S. trade war with China have also contributed to the caution. Stocks opened broadly lower on Wall Street after the two countries failed to reach a deal before Friday’s tariff deadline. Even at the tamped-down price, Uber now has a market value of $82 billion — five times more than Lyft’s. Before the opening bell, Khosrowshahi tried to manage expectations for the first day of trading. “Today is only one day. I want this day to go great, but it’s about what we build in the …

The United States and China appear to have ended their latest round of trade negotiations without announcing any agreement. On Friday, U.S. Treasury Secretary Steven Mnuchin and U.S. Trade Representative Robert Lighthizer met briefly with the Chinese delegation led by Vice Premier Liu He. After the talks, Mnuchin briefly spoke to reporters saying that discussions had been “constructive.” There have been no further comments from the administration.The Chinese delegation is scheduled to return to Beijing late Friday. After the talks ended, U.S. President Donald Trump tweeted Friday that the relationship with Chinese President Xi Jinping remains “a very strong one” and that conversations “will continue” but that the U.S. is imposing tariffs on China which “may or may not be removed.”   Earlier in the day, Trump sent a series of tweets on the escalating trade war with China, as the U.S. increased tariffs from 10% to 25% on $200 billion worth of Chinese imports.  Beijing has vowed to retaliate for the U.S. action. “We have lost 500 Billion Dollars a year, for many years, on Crazy Trade with China. NO MORE!” Trump went on to tweet that trade talks with China are proceeding in a “congenial manner” and “there is absolutely no need to rush” to finalize a trade agreement. ​ The president threatened to impose 25% tariffs on an additional $325 billion worth of Chinese goods. He noted that Washington sells Beijing about $100 billion worth of goods, and with the more than $100 billion in tariffs received, …

The International Chamber of Commerce, the world’s largest business organization, has become the latest group to criticize a proposed change to Hong Kong law that would allow for criminal extradition to mainland China.  In a scathing letter issued to legislators Wednesday, the ICC questioned why Hong Kong is fast-tracking such significant changes to its legal system with a limited public consultation, calling the move “most unbecoming in terms of public governance.”  The ICC’s letter follows similar concerns echoed by the European Union, the American Chamber of Commerce, the Hong Kong Bar Association and US Consul General Kurt Tong.  The bill was introduced in April and is set to be voted on in July by its semi-democratic legislature, in which the majority is held by pro-establishment legislators.  If passed, it would allow the city to extradite to other jurisdictions where it lacks a permanent extradition agreement, including China and Taiwan, on a case by case basis. Chief Executive Carrie Lam has previously said that such changes would close legal “loopholes.” ​It follows a high profile murder case last year in which a Hong Kong man was accused of murdering his pregnant girlfriend while on holiday in Taiwan, where the autonomous Chinese city also lacks a long term extradition agreement. The government has said speed is necessary as the murder suspect, who is serving a prison sentence on related money laundering charges, could be released as early as October.  The changes, however, and the speed at which they have been introduced have …

The United States has increased tariffs from 10% to 25% on $200 billion worth of Chinese imports. China on Friday said it “deeply regrets” the increased tariffs and will take the “necessary countermeasures” without giving any details. The increases are going into effect amid talks between Chinese Vice Premier Liu He, U.S. Trade Representative Robert Lighthizer and U.S. Treasury Secretary Steven Mnuchin. On Thursday the U.S. and Chinese trade negotiators ended the first of two days of talks aimed at saving a trade deal even as President Donald Trump said the new “very heavy tariffs” on Chinese products would go ahead. The White House said Thursday evening that “Ambassador Lightizer and Secretary Mnuchin met with President Trump to discuss the ongoing trade negotiations with China. The ambassador and secretary then had a working dinner with Vice Premier Liu He and agreed to continue discussions tomorrow morning at USTR.” Talks on Friday Liu He is leading the Chinese negotiating team for the talks, which threatened to collapse after the Trump administration accused Beijing of backtracking. “We were getting very close to a deal, then they started to renegotiate the deal,” said Trump Thursday in the Roosevelt Room of the White House. “It was their idea to come back” and resume discussion ahead of the Friday deadline for additional tariffs, the president said. Trump said he had also received “a beautiful letter” from Xi that expressed a sentiment of “let’s work together.” Trump told reporters that he happens “to think tariffs for …

A strike by Uber and Lyft drivers in cities across the United States this week caused barely a ripple to passengers looking to catch a ride, highlighting the challenges in launching a labor movement from scratch in an industry that is by nature decentralized. Activists and others involved in the labor movement are still declaring it a success. It grabbed headlines, trended on Twitter and won the support of several Democrats running for president. The action was also closely watched by labor organizers, who are brainstorming about ways to build worker power in the 21st-century economy. Drivers say they wanted to draw the attention of the public, technology investors and political leaders to their plight: low pay and a lack of basic rights on the job. “The goal is to bring awareness to the incredible disregard for workers,” said Lyft driver Ann Glatt, who helped organize the San Francisco strike and protest outside Uber headquarters. Starting to organize App-based workers are thought to comprise a small fraction of the economy, but there are still millions of people making a living in gig work. Uber alone says it has nearly 4 million drivers, while Lyft has more than 1 million. In pockets around the country, workers are starting to organize themselves, often with the help of workers’ rights groups and labor unions. In Silicon Valley, a workers’ rights group established Gig Workers Rising, which helped with Wednesday’s strike. In New York state, the AFL-CIO is pushing the Legislature to take steps …

“We’re starting that paperwork today” for imposing new “very heavy tariffs” on Chinese products,” U.S. President Donald Trump told reporters just hours before trade talks in Washington are to resume between officials of the world’s two largest economies.  The United States is set to impose Friday an increase in tariffs from 10% to 25% on $200 billion worth of Chinese imports. Vice Premier Liu He is leading the Chinese negotiating team for the talks which threatened to collapse after the Trump administration accused Beijing of backtracking. “We were getting very close to a deal, then they started to renegotiate the deal,” Trump said Thursday in the Roosevelt Room of the White House.  “It was their idea to come back” and resume discussions ahead of the Friday deadline for additional tariffs, the president said.  Liu He, who is Chinese President Xi Jinping’s top economic adviser, is to sit down with U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin.  Trump said he had also received “a beautiful letter” from Xi that expressed a sentiment of “let’s work together.”  Trump told reporters that he happens “to think tariffs for our country are very powerful,” in line with a view he has been expressing that such increased punitive taxes would be good for America’s economy. Some economists, however, predict such tariffs would cut in half U.S. economic growth seen in the first quarter of this year.  Officials in Beijing say they have “made all necessary preparations” if Trump follows through on the …

U.S. and Chinese trade negotiators have ended the first of two days of talks aimed at saving a trade deal even as President Donald Trump said “We’re starting that paperwork today” for imposing new “very heavy tariffs” on Chinese products.” The United States is set to impose an increase in tariffs from 10% to 25% on $200 billion worth of Chinese imports. They will go into effect before Chinese Vice Premier Liu He, U.S. Trade Representative Robert Lighthizer and U.S. Treasury Secretary Steven Mnuchin return to the table. The White House said Thursday evening that “Ambassador Lightizer and Secretary Mnuchin met with President Trump to discuss the ongoing trade negotiations with China. The ambassador and secretary then had a working dinner with Vice Premier Liu He and agreed to continue discussions tomorrow morning at USTR.” Liu He is leading the Chinese negotiating team for the talks, which threatened to collapse after the Trump administration accused Beijing of backtracking. “We were getting very close to a deal, then they started to renegotiate the deal,” said Trump on Thursday in the Roosevelt Room of the White House. “It was their idea to come back” and resume discussion ahead of the Friday deadline for additional tariffs, the president said. Trump said he had also received “a beautiful letter” from Xi that expressed a sentiment of “let’s work together.” Trump told reporters that he happens “to think tariffs for our country are very powerful,” in line with a view he has been expressing that …

Orlando, Florida, had 75 million visitors last year as the theme park mecca continued to be the most visited destination in the United States Orlando had 75 million visitors last year as the theme park mecca continued to be the most visited destination in the United States, tourism officials said Thursday. Orlando in 2018 had 68.5 million domestic visitors, a year-to-year increase of 4.1%, and almost 6.5 million international visitors, a year-to-year increase of 5.4%. The overall 4.2% increase over 2017 figures was slightly smaller than the previous year-to-year increase of 5%. But there was a robust return of international visitors, a segment that had softened in previous years. The international improvement was driven by Latin American visitors, especially from Brazil and Mexico, said George Aguel, CEO of Visit Orlando, the area’s tourism marketing agency. “When folks are thinking about what they can and can’t do, we try to market why this is a good place for them to come. We focus on the feeling you get when you come here,” Aguel said. “There really is no place in the country … where you have the ability to make a connection emotionally. We play a lot on the memories we create.” Orlando has been in the middle of a years-long expansion of rides and hotel rooms. Accommodation expansion is at a 20-year high. The metro area already has more than 120,000 hotel rooms, the second highest in the nation behind only Las Vegas. Additionally, attractions at the area’s theme parks …

Nike wants to meet your feet. The sneaker seller will launch a foot-scanning tool on its app this summer that will measure and remember the length, width and other dimensions of customers’ feet after they point a smartphone camera to their toes. The app will then tell shoppers what size to buy each of its shoes in, which Nike hopes will cut down on costly online returns as it seeks to sell more of its goods through its websites and apps.    But Nike will also get something it has never had before: a flood of data on the feet of regular people, a potential goldmine for the shoemaker, which says it will use the information to improve the design of its shoes. Nike mainly relies on the feet of star athletes to build its kicks. “Nikes will become better and better fitting shoes for you and everyone else,” said Michael Martin, who oversees Nike’s websites and apps.    Nike won’t sell or share the data to other companies, Martin says. And he says shoppers don’t have to save the foot scans to their Nike accounts. But if they do, they’ll only have to scan their feet once and Nike’s apps, websites and stores will know their dimensions every time they need to buy sneakers. Workers at Nike stores will also be equipped with iPods to do the scanning, replacing those metal sizing contraptions.  The challenging part for Nike is convincing people they need to measure their feet in the …

China is “fed up” with hearing complaints from the United States about its Belt and Road program to re-create the old Silk Road, the government said on Thursday, following stinging criticism from U.S. Secretary of State Mike Pompeo. The initiative, a key thrust of President Xi Jinping’s administration, has hit opposition in some countries over fears its opaque financing could lead to unsustainable debt and that it aims more to promote Chinese influence than development. China sought to tackle those concerns at a summit in Beijing last month, promising to make the program sustainable and green and follow international standards, especially regarding debt. The United States has been particularly critical, and Pompeo, speaking in London on Wednesday, slammed China for peddling “corrupt infrastructure deals in exchange for political influence” and using “bribe-fueled debt-trap diplomacy”. In Beijing, Foreign Ministry spokesman Geng Shuang said various people in the United States had been making “irresponsible comments” on the program, especially before the summit when, he said, such criticism reached a crescendo. “But what was the result? One hundred and fifty countries, 92 international organizations and more than 6,000 delegates from various countries attended the second Belt and Road Forum for International Cooperation, including 50 delegates from the United States,” Geng told reporters. “I think this is the international community taking actual actions to cast a vote of confidence and support in the Belt and Road initiative, and the best response to the words and actions of the United States.” In the past two …

It’s a little-known fact that Sweden was the first western country to recognize the government of Vietnam, in 1969, at a time when many states were wary of ruffling the feathers of their ally, the United States, which was fighting a war in the Southeast Asian country. Sweden went on to become the biggest foreign donor in Vietnam, which faced international isolation in the 1980s leading up to the 1990s, when Washington lifted its economic embargo on Hanoi. Now Stockholm and Hanoi are marking their 50 year anniversary with what they call a shift from aid to trade. Vietnam sees some potential pointers from Sweden, a small country with social democratic policies that is home to many companies people may not realize have Swedish roots: Skype, Spotify, and Ericsson, as well as Ikea, Volvo, and H&M. Sustainable trade The Crown Princess of Sweden, Victoria Ingrid Alice Desiree, brought a delegation to Hanoi this week to try some Vietnamese bun bo noodles and conical hats, as well as to promote commerce that is good for the environment. “I would like to stress that sustainability and trade are not mutually exclusive,” the crown princess said, adding that, on the contrary, sustainable trade is the only option going forward. That is in contrast to global trade after the first industrial revolution, when businesses did not mind burning fossil fuels and filling garbage dumps — known in economics as a classic externality, because the culprit does not suffer the direct impact of its pollution. A …