China, United States, Jacob Parker discussed on Morning Edition
This is connect from the westbound ten to the one ten this time the south one ten it shut down till further notice due to a crash there. There sounds like the vehicle vault apparently hit the big sand barrels. So the cleanup could take a little while. That's the westbound ten to the south one ten look for hazy sunshine today. Highs in the seventies. At the beaches could hit eighty in the valleys, it's morning edition from NPR news. I'm Steve Inskeep. And I made some Martin good morning. There are casualties in wars. The same holds true in the trade war between the US and China in between the rhetoric and the escalating tariffs there are people in both countries whose fortunes hanging in the balance business, people farmers and consumers the office of the US trade Representative has come out with a list of another three hundred billion dollars of Chinese goods that could target that came after China announced tariffs on sixty billion dollars worth of American products. Which was in retaliation to a tariff increase from the Trump administration few days earlier, so another potential casualty in this war or American business, people working in China to talk about that. I'm joined by Jacob Parker. He's vice president at the US China business council an association of the largest US companies in China. He joins us online from Beijing. Jacob thanks for being here. My pleasure. What are you hearing? What are you hearing over their businesses getting nervous at this point? I mean, I imagine they happened for while. What we're seeing three t trends from our member companies on the ground here in China. The first is the tariffs of lead, many of our companies put future investments in the China market on hold that doesn't mean they're divesting in China, but the reevaluating their exposure to the Chinese Martin market that there the certainty is forcing them to consider alternatives donations for investment. Most of our companies are in China to access the local market and the terrorists that have been imposed as a retaliation against the US tariffs have increased their costs. And they've also the reputation of US companies as reliable suppliers has also taken a hit many customers are beginning to diversify away from US products for its other suppliers because of the consistency of price and supply can no longer be guaranteed because of the uncertainty of these terrorists. I mean, you your association is made up of of big companies is this the case also for smaller medium size of corporations. Well, what we've seen is that some of our companies in the small and medium size category that manufacturer primarily in the United States and exports to China are looking at diversifying their production outside of the United States. One company noted that the cost of steel aluminum tariffs have increased production costs in the United States for them. By nearly fifty percent. Additionally, their competitors abroad can access similar alternatives at a lower price making their products price competitive. Those companies that are manufacturing in the US and employing US citizens who are exporting the China are once again getting hit by the tariffs when their products are exported to China as a result of the Chinese retaliation. That eliminates the competitive advantage of manufacturing in the United States, and has what many of our companies to consider how they can diversify their exposure to the United States and look at other markets where they can manufacturing exports to China to remain cost-competitive were they looking. They're looking at Mexico. They're looking at south East Asia. These are again, primarily just for the small medium sized companies are manufacturing the US for export to China. Yeah. I wanna play you a clip from President Trump. He's speaking at the White House yesterday. And in this bet he's talking about Treasury Secretary. Steven Steven Mnuchin. This cutback from China? We'll let you know about three or four weeks whether or not it was successful. You never really know. Right. But I have a feeling it's going to be very successful. Very successful. President Trump seems to be optimistic about how this ends are you and the people you represent. I think that we are very concerned about the esscalation both on Friday by the Trump administration on the announcement overnight three hundred billion in new tariffs organization in our member companies would like to see the two sides, stop this tit for tat escalation return to the negotiating table based on. I understanding the substance of the agreement is primarily finalized, the two sides just need to agree on how they can get this thing enforced, and how they can get the tariff strong down and the US business community is very focused on finding a constructive solution to these problems. Do you think this is done long term damage to American companies and the relationship with the Chinese market? Absolutely. What we hear from the Chinese government is that there's concern that the extremists collation of the tariffs has moved beyond. Just the idea of addressing the issues raised in the three one investigation on a force technology transfer and IPO protection, and is about a containment of the Chinese of the Chinese government. And also trying to get them to agree to certain things that go beyond these very narrow focus of three a one we're concerned that that could have an impact on the ability of the two sides to de-escalate this going forward. Take Parker vice president of the US China business council in Beijing. Thank you so much. Thank you. A man wants joined ISIS says all he wants now is to return to Canada, his trouble Candida wants nothing to do with them. Nobody claims them any met NPR's. Jane ref thing about Muhammad Ali saieed is he seemed so ordinary American football us the flow Chicago Bears. We meet an occurrence intelligence office in northeastern Syria. It's the region we're Sade whose twenty eight has been held since he was captured more than a year ago asked Kurdish officials to interview an ISIS fighter from a western country. And they bring inside he was one of the first Canadian fighters publicly identified as joining ISIS in two thousand fourteen he's been interviewed by Canadian media trying to figure out how a young man from the Toronto area ends up being a propagandist for ISIS. So he wears a gray sweatshirt with a blue t shirt underneath his short black beard has traces of gray. He says he had planned to study, aerospace engineering but in universe. Versity? He just felt lost on things started going, south and..