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Francesca Rudkin: Let China and the US sort it out · Early Edition with Ryan Bridge

• 0:00
  Speaker 1: Sometimes being the grown up in the room is deeply unfulfilling. Pragmatic, sensible,
• 0:05
  Speaker 1: considering consequences, taking a long term view. They're all good,
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  Speaker 1: admirable words, and we should take some solace in them.
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  Speaker 1: But sometimes I think we'd rather just throw a plate
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  Speaker 1: at the wall. And so it is with the government's
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  Speaker 1: response yesterday to the Trump tariffs, essentially to roll over
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  Speaker 1: and take it. Understandable, sure, sensible, yep. Frustrating, very The
• 0:25
  Speaker 1: government confirmed we're not in the queue to negotiate a
• 0:28
  Speaker 1: trade deal with President Trump's administration, nor are we interested
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  Speaker 1: in taking legal action over it, and the tariff hit
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  Speaker 1: will come after export has had an excellent March and
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  Speaker 1: it's a shame the party music has had a bum note.
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  Speaker 1: We want the growth, we want good export news, but
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  Speaker 1: without the dark tariff cloud lingering in the distance. As
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  Speaker 1: Trade Minister Todd mcclacy yesterday, we probably couldn't negotiate between
• 0:50
  Speaker 1: below the current ten percent rate, and the legal process
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  Speaker 1: would be a long winded affair that would probably go nowhere.
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  Speaker 1: And I'm presuming, like the majority of us who aren't
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  Speaker 1: diplomats and haven't been in a room to go adding
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  Speaker 1: a trade deal This is a well considered plan, one
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  Speaker 1: based on experience and insider information, but perhaps also because
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  Speaker 1: making a fast good have unintended consequences and result in
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  Speaker 1: even higher tariffs. It also makes sense to keep our
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  Speaker 1: head down into our two biggest trading partners, China and
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  Speaker 1: US have sorted out their own tiff. We need to
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  Speaker 1: ensure both of feeling valued by US and not be
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  Speaker 1: seen to take sides as we focus on growing our
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  Speaker 1: trade markets. Will the plate throwers get sensible? Trump stated
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  Speaker 1: during the White House a White House news conference that
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  Speaker 1: the final tariff rate with China would come down substantially
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  Speaker 1: from the current one hundred and forty forty five percent.
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  Speaker 1: He said the US would be very nice to China
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  Speaker 1: and not play hardball. Trump's remarks towards China come on
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  Speaker 1: the same day the IF relest a new report showing
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  Speaker 1: the United States faces the biggest downgrade among advanced countries
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  Speaker 1: due to the increase in tariffs and the uncertainty of cause.
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  Speaker 1: The IMF predicts the US economy will grow one point
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  Speaker 1: eight percent this year, down from the estimated two point
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  Speaker 1: seven percent, and there's a forty percent chance of recession.
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  Speaker 1: So as this a case of Trump blinking and a
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  Speaker 1: first sign of some steps towards a stabilizing global trade
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  Speaker 1: is as a move by Trump to calm the nerves.
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  Speaker 1: The markets shall responded well to both Trump's tariff call
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  Speaker 1: on China and his remarks he has no intention of
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  Speaker 1: firing the Federal Reserve chair. I don't think anyone knows
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  Speaker 1: what's to come next or how Trump will respond to
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  Speaker 1: Chinese social media hashtag such as Trump admitted defeat, but
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  Speaker 1: I much prefer the adult Trump rather than the one
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  Speaker 1: shrowing plates. In the meantime, New Zealand shall remain patient
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  Speaker 1: and diplomatic, settle in and see what change may occur
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  Speaker 1: again before the ninety day pause is up. For more
• 2:50
  Speaker 1: from Early Edition with Ryan Bridge. Listen live to News
• 2:53
  Speaker 1: Talks at be from five am weekdays, or follow the
• 2:56
  Speaker 1: podcast on iHeartRadio