Donald Trump says China trade deal is ‘done,’ only awaits formalization

Just as things were winding down for most Americans on Christmas Eve, President Donald Trump dropped a bomb.

According to a post on Fox host Sean Hannity’s website, the president told members of the press on Tuesday that the trade deal with China is “done,” fulfilling one of his major campaign promises. 

Another big win for Trump

All throughout the 2016 election season, we heard Trump talk about the bad trade deals in which the country is entangled.

Trump took issue with the North American Free Trade Agreement (NAFTA), and thus, the U.S.–Mexico–Canada Agreement (USMCA) was born. The massive upgrade was just passed by Congress last week.

Another of our biggest trade deficits has been with China, so Trump put that trade agreement on hold as well in order to gain greater leverage. Locking out China was a big move, one that had significant risks involved — particularly for America’s farmers.

Trump knew this would be hard on this sector of the economy, but he asked for patience because a much bigger payday could potentially be on the horizon. On Christmas Eve, it appeared as though Trump has delivered the goods.

What now?

If the deal is done as Trump claims, it will be translated and sent to the Chinese for review and approval.

While there will be a formal signing at some point, both parties will more than likely approve the deal immediately to put an end to the trade war as quickly as possible.

Even though Trump is optimistic about the status of this deal, Congress will still have to approve it, but that should not be a huge problem. Democrats in the House will surely want some changes, but based on how their experience with the USMCA, it would be pretty foolish for them to try to delay this agreement.

No matter how you spin it, this is going to be a huge win for Trump as election season really starts to ramp up. Assuming everything ticks along, Trump will be able to formally announce the deal just as primary voting is heating up, allowing him to steal the Democrats’ thunder.

More importantly, though, it gives him one more thing to check off his list before he asks the American people to send him back to the White House for a second term.

Share on facebook
Share to Facebook
[ci-popup]

Latest News