April 7th, 2025: Why The New Tariffs Are A Gut Punch To China & Russian Spy Gear Targets British Nuclear Subs

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The President's Daily Brief 19 min 5 speakers 6 chapters transcribed
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What new tariffs did China impose on U.S. goods?

Mike Baker 1:08
Experten sagen, dass der echte Schaden auf der Seite von China sein könnte. Ich erkläre, warum diese Tarife auf die relativ fragile Wirtschaft von Beijing zurückfallen könnten. Das war's für heute. Bis zum nächsten Mal. Plus, political chaos continues in South Korea. The country's highest court has officially removed President Yun Suk-yeol from office, just four months after he declared martial law. And in today's back of the brief, Yemen's Houthi rebels continue to show resilience, reportedly shooting down a third US Reaper drone just since the beginning of March. But first, today's PDB Spotlight. Nationen weltweit reagieren immer noch auf die steigenden Tarife, die Präsident Trump letzte Woche erklärte. Und nicht überraschend ist, dass einer der größten Vertreter der USA, China, das wäre China, es nicht leichter nimmt. Stattdessen hat Beijing entschieden, sich zurückzuhalten.
Mike Baker 2:20
Dieses Wochenende haben chinesische Offiziere erklärt, dass sie einen 34%-Tarif auf US-Güter schlagen, der den exacten Rate, den Trump auf chinesische Importe vorgelegt hat. Endquote. Yes, that's the Communist Party saying that. Because as we know, the Chinese Communist Party always acts in the common interest of the international community. In fact, it's the CCP's signature move.

How will the tariffs affect China's economy?

Mike Baker 2:57
Before taking any action, the Chinese regime always asks, is this going to help the international community? Nun, schau, ich bin kein Wirtschaftler, aber hier ist was klar. Diese Tarife könnten ein ernsthaftes Problem für China sein. Seit Jahrzehnten hat Chinas Wirtschaft von günstigen Produkten gefördert, alles von T-Shirts zu Tabletten, zu amerikanischen Konsumern. Nun, dieser steile Geldfluss hat ihre Wirtschaft gehalten. But with a 34% tariff slapped on Chinese goods, it throws a wrench in the system. Products from China suddenly get way more expensive here in the US. That leaves Chinese manufacturers with two not particularly good choices. Either eat the costs themselves, which of course slashes their profits, or raise prices, which risks American buyers walking away. Now, my good friend Gordon Cheng, one of the most knowledgeable China analysts out there, well, he thinks it's even worse. He says this terror fight exposes just how fragile the Chinese economy is.

What political changes occurred in South Korea?

Mike Baker 3:59
According to Gordon, they've been gaming the system for decades, stealing intellectual property, manipulating currency and keeping prices low through a variety of tactics. And there's evidence that tariffs work. When the Trump administration, the first Trump administration, hit China with tariffs, Chinese companies ended up eating 75 to 81 percent of the costs just to stay competitive in the U.S. market. Now with these new tariffs in force, China is once again scrambling. They're going to be forced to devalue their currency and double down on propping up key industries in order to keep the exports flowing. But to be fair, the pain does go both ways. China's 34% tariff on US goods will hurt American farmers and manufacturers that depend on access to Chinese buyers.
Mike Baker 4:48
There is also one other element, which is that Beijing is also pumping stimulus money into their economy to soften the blow. But that might not be enough. China is already dealing with a mountain of internal problems, massive debt, a demographic crisis and a slowing economy. Some analysts, including Gordon Chang, think these tariffs could be the tipping point.

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