Listen: As China raises tariffs on the U.S., it's lowering them for everyone else
"It is a truism of economics that the thing that bites you often is in what you think is going to bite you. It's the thing you don't see coming the unintended consequence to that end. The new report out from the Peterson institute for international economics on the US China trade war, of course, China has indeed raise tariffs on American products Peterson points out, but at the same time tariffs on those same kinds of products but made not here have been lowered. Marketplace's Sabrina short gets gone with one hand China is closing the door to US products with the other. It is opening the door to US competitors in the rest of the world. Chad bound is with the Peterson institute. So if you're Canadian or Japanese or German, and you want to sell your product into China, there's a really good chance you now face a lower tariff. Than you did a year ago, and it's a much lower tariff. Of course, then what the equivalent American would have to, to pay Chinese tariffs on US products have increased to forty two percent on average. Everyone else just pays nineteen percent on average says boun, but lowering tariffs on the rest of the world is not just about retaliation against the US. This broader trend has been underway for quite some time. Lauren gladman is with the rhodium group. China's economy has been slowing for internal reasons financial system reforms that were tough build swallow improving access to cheap. Foreign goods helps the Chinese economy cope with both the slowdown and the trade conflict in this context. It makes sense to do whatever you can whatever China's reasons the consequence is simple disruption. This is just going to lead to a broader decoupling of supply chain to new has in China Maria. Heller is with the Albright Stonebridge group as the US and Chinese economies disentangled accelerated by different levels of tariffs. It will be. Difficult for some US and Chinese companies to adapt. Some cases are already on display the American lobster industry lost seventy percent of its exports when Chinese tariffs went up the competing Canadian lobster industry's exports doubled. As Chinese tariffs for them went down in New York. I'm revenge shore for marketplace."