Trump Trade: U.S. to impose 100% additional tariff on Chinese goods

Catch up on the top industries and stocks that were impacted, or were predicted to be impacted, by the comments, actions and policies of President Donald Trump with this daily recap compiled by The Fly:

TARIFF ON CHINESE GOODS: U.S. President Donald Trump said he would impose an additional 100% tariff on China and export controls on “any and all critical software” beginning November 1, hours after threatening to cancel an upcoming meeting with the country’s leader, Xi Jinping, Bloomberg’s Jennifer Dlouhy reports.

In a post to Truth Social, President Donald Trump stated, “Some very strange things are happening in China! They are becoming very hostile, and sending letters to Countries throughout the World, that they want to impose Export Controls on each and every element of production having to do with Rare Earths, and virtually anything else they can think of, even if it’s not manufactured in China. Nobody has ever seen anything like this but, essentially, it would ‘clog’ the Markets, and make life difficult for virtually every Country in the World, especially for China. We have been contacted by other Countries who are extremely angry at this great Trade hostility, which came out of nowhere. Our relationship with China over the past six months has been a very good one, thereby making this move on Trade an even more surprising one. I have always felt that they’ve been lying in wait, and now, as usual, I have been proven right! There is no way that China should be allowed to hold the World ‘captive,’ but that seems to have been their plan for quite some time, starting with the ‘Magnets’ and, other Elements that they have quietly amassed into somewhat of a Monopoly position, a rather sinister and hostile move, to say the least. But the U.S. has Monopoly positions also, much stronger and more far reaching than China’s. I have just not chosen to use them, there was never a reason for me to do so – UNTIL NOW! The letter they sent is many pages long, and details, with great specificity, each and every Element that they want to withhold from other Nations. Things that were routine are no longer routine at all. I have not spoken to President Xi because there was no reason to do so. This was a real surprise, not only to me, but to all the Leaders of the Free World. I was to meet President Xi in two weeks, at APEC, in South Korea, but now there seems to be no reason to do so. The Chinese letters were especially inappropriate in that this was the Day that, after three thousand years of bedlam and fighting, there is PEACE IN THE MIDDLE EAST. I wonder if that timing was coincidental? Dependent on what China says about the hostile ‘order’ that they have just put out, I will be forced, as President of the United States of America, to financially counter their move. For every Element that they have been able to monopolize, we have two. I never thought it would come to this but perhaps, as with all things, the time has come. Ultimately, though potentially painful, it will be a very good thing, in the end, for the U.S.A. One of the Policies that we are calculating at this moment is a massive increase of Tariffs on Chinese products coming into the United States of America. There are many other countermeasures that are, likewise, under serious consideration. Thank you for your attention to this matter!”

President Donald Trump also stated in a Truth Social post, “Don’t worry about China, it will all be fine! Highly respected President Xi just had a bad moment. He doesn’t want Depression for his country, and neither do I. The U.S.A. wants to help China, not hurt it!!! President DJT”

ASTRAZENECA DEAL: AstraZeneca (AZN) confirmed an agreement with President Donald J. Trump’s administration to lower the cost of prescription medicines for American patients while preserving America’s biopharmaceutical innovation. At an event at the White House, AstraZeneca CEO Pascal Soriot joined President Trump and members of his Administration to confirm the company voluntarily met all requests set out in the President’s 31 July letter. The company agrees to a range of measures which will enable American patients to access medicines at prices that are equalized with those available in wealthy countries. As part of the agreement, AstraZeneca will provide Direct-to-Consumer sales to eligible patients with prescriptions for chronic diseases at a discount of up to 80% off list prices. AstraZeneca will participate in the TrumpRx.gov direct purchasing platform, which will allow patients to purchase medicines at a reduced cash price from AstraZeneca. AstraZeneca has also reached an agreement with the US Department of Commerce to delay Section 232 tariffs for three years, enabling the company to fully onshore medicines manufacturing so that all of its medicines sold in America are made in America. This will be achieved through the company’s recently announced $50B investment in U.S. medicines manufacturing and R&D over the next five years to help deliver $80B in Total Revenue by 2030, 50% of which is expected to be generated in the U.S. Pascal Soriot, CEO, AstraZeneca, said, “Every year AstraZeneca treats millions of Americans living with cancer and chronic diseases and, as a result of today’s agreement, many patients will access life-changing medicines at lower prices. This new approach also helps safeguard America’s pioneering role as a global powerhouse in innovation and developing the next generation of medicines. It is now essential other wealthy countries step up their contribution to fund innovation.”

BOEING PARTS: President Donald Trump told reporters at the White House that the U.S. could impose export controls on Boeing (BA) plane parts in response to China’s export limits on rare earth minerals, Dan Catchpole and Steve Holland of Reuters report. “We have many things, including a big thing is airplane. They (China) have a lot of Boeing planes, and they need parts, and lots of things like that,” Trump said, according to Reuters.