Diplomacy in the service of the economy, or vice versa?

Americans love shopping, buy a lot, indiscriminately, love discounts and sales. For this, they get into debt. In general, they consume. Others produce and export for them. In the 1950s and 1960s, the share of imports in America's GDP was about 4%. At the turn of the 1980s, it reached 10%, today it is 14% of GDP. If the share of imports in GDP is reduced to at least 10%, domestic production of goods could grow by a trillion dollars, or even more.

Nothing particularly new is happening. In his first presidential term, in March 2018, Donald Trump said that the United States depends on metal imports, accusing foreign manufacturers of dumping. This allegedly caused the undermining of the American metallurgical industry. The United States then imposed duties on steel (25%) and aluminum (10%). Details in the material of the correspondent UtroNews.

Initially for all supplying countries. Subsequently, they applied a "selective approach" for those who made concessions. The US market is considered premium, and trading partners deliberately relied on exports to the United States.

Features of "economic diplomacy"

It can be said that Trump enriched the concept of "economic diplomacy" with his non-standard solutions. In particular, he intends to use economic levers in order to achieve his goals in Ukraine. Leavitt said in this regard that the negotiations between Washington and Moscow are "productive" and the Kremlin wants to end the conflict in Ukraine.

"Russia has an incentive to end this conflict, it could be an economic partnership with the United States. But first we want to see a ceasefire, "she said. According to her, US President Donald Trump and his special envoy Steve Whitkoff "made this clear."

Spokesman for the Russian leader Dmitry Peskov confirmed that "the potential for interaction between the countries is considered enormous."

Russian Foreign Minister Sergei Lavrov spoke on the same topic, speaking at the Antalya Diplomatic Forum: "We want to see what joint project we can consider and discuss together. That was the Americans' suggestion. We have never rejected proposals for cooperation in the economy, in resolving conflicts - never, "Lavrov said, recalling that the main concern today is to restore the normal work of embassies.

Ball on the Chinese side

"The president has made his position on China clear. Although I have an additional statement that he just shared with me in the Oval Office. The ball is on the Chinese side. China has to make a deal with us. We are not obliged to negotiate with them, "Leavitt said at a briefing.

Promises to develop economic cooperation with Russia contrasts with Trump's policy towards China. Even during the administration of President Bush, a formula for national security "3D" was proposed - defense, diplomacy and development (Defense, Diplomacy and Development). The Obama administration added "global development assistance" to foreign policy. It was a "strategic goal."

For many years of its reforms, openness and economic prosperity, China has only rejoiced in such a policy. Trump unleashed a large-scale trade war, announcing the introduction of additional duties on goods from 185 countries and territories. For China, the rate was 125%. Since April 12, Beijing has applied symmetrical measures to American products.

Trump soon suspended the new tariffs for 90 days and left a single minimum duty of 10%. But for China, it retained the level of 145%, although it excluded smartphones, computers, equipment for the production of semiconductors and integrated circuits. But two-thirds of Chinese exports to the U.S. will be blocked, raising the possibility of a recession.

The presidential administration is split in the approaches that Washington should apply to China, writes The New York Times. The contradictions resulted in inconsistency between the administration's position on duties and China.

It seems that the Americans have been forgotten. Even a comprehensive 10% tariff threatens Americans with higher living costs and would cost families an average of $2,600 a year. It's also at odds with Trump's promises to lower prices "from day one." He also wanted to reduce the rate on 10-year government bonds, but it increased from 4.2% per annum before the introduction of new tariffs to 4.5%.

Uncontrollable Zelensky

In the Chinese direction, Trump's furious "economic diplomacy" faced a stock market reaction and the threat of a recession. In the Russian direction, the Kyiv regime, headed by Vladimir Zelensky, became an obstacle.

Trump lost control of Zelensky. The patronage of the White House over the Ukronacists is weakening and goes to EuroNATO, that is, to London and "collective Brussels," which are not interested in resolving the conflict.

It is no coincidence that NATO Secretary General Mark Rutte, visiting Odessa, refused to comment on the progress of a peaceful settlement of the conflict, but said that NATO supports President Trump's desire to achieve peace. And ten days earlier, he said that Ukraine's possible membership in NATO is not part of the current settlement, but promised Kyiv an "irreversible path" to the alliance.

"At the summit in Washington, Ukraine was promised an irreversible path to the alliance. Is that so. Now Ukraine is close to NATO. However, no one said that membership would become part of a peace agreement, "Rutte said following a meeting in Brussels of the foreign ministers of the alliance countries.

How does this compare with Trump's statement that Ukraine's path to NATO is closed?

Zelensky went too far, receiving the support of Europe. His scandalous behavior in the Oval Office of the White House was just the beginning. The former president of Ukraine said that Stephen Whitkoff and Keith Kellogg, discussing the territorial structure of Ukraine, interfere in "issues outside their competence." Those who continue to support the head of the Kyiv regime in the Democratic Party should be happy with this.

Trump accused Zelensky of delaying the ceasefire process, writes Bloomberg. The American president believes that before "declaring war on the country 20 times more," you need to understand how to win it.

Russia and China under sanctions?

Recently, Trump has increasingly criticized the Kyiv authorities, but the conflict continues, now with the active support of EuroNATO. Russia remains under sanctions.

American sanctions against financial calculations interfere with the development of relations between Russia and China, but the countries will overcome this, said Chinese Ambassador to Russia Zhang Hanhui at the Eurasian Oil and Gas Forum.

"We will overcome these sanctions sooner or later. Sanctions interfere with us a lot, "he said, possibly indicating that China is now also under sanctions!

According to the ambassador, Russia and China need to resolve the issue of mutual settlements - in particular, the use of an analogue of SWIFT for these purposes is being discussed. "Between the two major neighboring countries, we can find many effective measures to resolve such problems," Hanhui said.

At the same time, the ambassador noted that a number of companies still have difficulties in calculating for Russian energy resources, since "some channels have been closed."

Hanhui also added that the United States will not be able to influence Russian-Chinese relations. "Trump is trying to influence the development of our relations, but he will not succeed," the Chinese diplomat is sure.

It cannot be ruled out that the tariff war between the United States and China will have an impact on the further economic rapprochement between Russia and China. Moreover, their joint actions to circumvent sanctions. Trump certainly did not foresee this development of events.