Free Trade - moved from other site
Say it costs a US manufacturer $100 to make 1 ton of a product.
Say it costs a Chinese manufacturer $100 to make the same 1 ton of product, but the Chinese government kicks in enough money to reduce their cost to $.50 per ton.
Guess who can sell their product cheaper?
This is one of the reasons the US steel industry almost went extinct.
It's not a level playing field for free trade if one of the players is getting financial help from their government.
Tariffs are one way to even things out.
Say some of what you are saying is true. How is it "illegal" as the author of the article puts it?
I assume we have some sort of trade agreement with China, and the U.S. is claiming China is in violation. Sure can't tell from the article though.
You are supposed to take author's word for it. Afterall, this is COMMUNIST China, as CNN puts it.
So they're communists, and they're illegal. Got it! That's all we need to know, courtesy of the newspaper that more than carried its weight in helping sell the invasion of Iraq.
IMO, communists shoud still never be trusted. Am I a dumb-ass redneck republican, or have I just learned my lesson from a long history of communist killers and liars?
The US props up the domestic steel industry. We should let it die, as we should let all non-competitive industries die.