Donald Trump's China Tariffs Don't Apply to Ivanka (Fortune link): Despite her father’s rallying cry to “buy American and hire American,” 100% of Ivanka Trump’s fashion products were made overseas—at least until early 2017.
Clothing and shoes, like those imported by Ivanka Trump’s company, were spared. The Office of the United States Trade Representative explained that the goods to be levied with tariffs were chosen based on what would disrupt the U.S. economy the least and have the least impact on consumers.
Many others in the U.S. are already feeling the effects of the tariffs. Soybeans, which represent a huge slice of American agricultural exports, are being targeted as well as cigarettes and dairy products, among other products.
On Monday's edition of "CBS This Morning," Cotton was asked about a recent study showing farmers in Arkansas will be hurt by the trade war.
"Is President Trump hurting the Americans he promised to help?" asked anchor Norah O'Donnell. "There will be some sacrifice on the part of Americans, I grant you that," Cotton said. "But also I would say that sacrifice is pretty minimal compared to the sacrifices that our soldiers make overseas, that our fallen heroes who are laid to rest in Arlington make."
But Cotton doubled down. He claimed that farmers "look at the sacrifices soldiers, sailors, airmen, and Marines make around the world, and they're willing to bear some of the sacrifices in the short term, to hopefully in the long term ensure our long-term prosperity and security." It's worth noting that even the conservative Heritage Foundation argues Trump's trade war will cause long-term economic harm, not just short-term pain.
But even if Cotton's argument about "long term" sacrifices were accurate, his framing is insulting to both farmers and soldiers. It uses soldiers as political props, and trivializes the suffering of farmers.
Large cap stocks, or those in the S&P 500, have now lost $1.1 trillion since President Donald Trump surprised markets with the May 5 weekend tweets that said he was thinking of raising tariffs on Chinese goods.
As China retaliated against the latest U.S. tariffs Monday, the Dow and S&P 500 were both down more than 2% in their worst day since Jan. 3. Investors fled to bonds and other safe haven trades, like gold. Market strategists predict more pain for stocks ahead, as the market prices in a more extended view of the trade battle that looked to be just a skirmish a week ago.
Since his weekend threat, President Donald Trump forged ahead with higher tariffs on $200 billion in Chinese goods and says he will move forward with new tariffs on all China imports, goods totaling about $325 billion more.