Former Commerce Secretary Wilbur Ross Says Danger of ‘Big Trade War Is Very Small’ (Connecting the Dots: Wilbur Ross, Mike Pence, Mexico, U.S. Commerce Department, The Presidential Task Force on the Auto Industry & Soros Funding, All Networking)
Ross
speaks to The Epoch Times about trade policy, Trump’s first term, and what’s
ahead.
The
Epoch Times
By
Andrew Moran
11/29/2024
Updated: 11/29/2024
After
President-elect Donald Trump fired an opening salvo in his quest to renegotiate
the North American trade pact, a chorus of economists and market watchers fears
this could be the beginning of a trade war between the United States and the
rest of the world.
Trump,
taking on Truth Social on Nov. 25, announced 25 percent tariffs on all imports
from Canada and Mexico
and a 10 percent levy on Chinese goods on his first day in the White House. The
purpose behind this decision is to curb the flow of illegal immigrants and
drugs.
“I
think the danger of an all-out, big trade war is very small,” former Commerce
Secretary Wilbur Ross said
in an interview with The Epoch Times.
Ross
has seen it all before, serving as head of the Commerce
Department in
Trump’s first four years in the Oval Office.
The
Wall Street veteran was a prominent voice in advancing the president’s
first-term trade agenda. In addition to championing Trump’s tariff plans, Ross
was instrumental in negotiating trade agreements, including the United
States-Mexico-Canada Agreement (USMCA), which substituted the decades-old
North American Free Trade Agreement, also known as NAFTA.
While
he believes that Trump’s latest measures have been bold, he thinks the
president-elect and his team will refine these policies comparable to those
under Trump 1.0.
In
2018, Trump imposed sweeping tariffs on aluminum and steel imports. Later, he
slapped levies on appliances and electronics, like refrigerators, dishwashers,
and flat-screen televisions. However, Ross says, the administration would enact
modifications, such as granting exemptions to Australia, Canada, and South
Korea.
During
Trump’s first presidency, the administration approved exemptions to more than
2,200 products for two reasons. The first is if the foreign product is not
available domestically. The second is the companies’ appeals that the tariffs
would cause significant harm.
When
an exemption is granted, all companies importing identical products from
foreign markets are excused from punitive tariffs. The Peterson Institute for
International Economics (PIIE) estimated
that the U.S. Trade Representative approved approximately $12.8 billion in
exemptions.
Incoming
administration officials have expressed a more conservative approach to trade
talks, and Ross thinks this will occur.
“I
think we should expect there will be continuing refinements of his thinking,”
Ross said.
Scott
Bessent, tapped to helm the Treasury Department, told
CNBC that tariffs would need to be “layered in gradually.” In an interview
with the Financial Times, the Wall Street financier also said that Trump’s
universal tariff proposal was a “maximalist” position that would likely be
eroded amid deliberations with trading partners.
“My
general view is that at the end of the day, he’s a free trader,” Bessent
stated. “It’s escalate to de-escalate.”
Incoming
Commerce Secretary Howard Lutnick, another seasoned Wall Street investor, has
also stated that Trump speaks in sweeping statements to get the public to
understand.
While
Lutnick will have control over the trade negotiating process, “the big
decisions are going to be made, and appropriately so, by the president,” Ross
said.
“I
think everyone else will be offering advice, will be offering fine-tuning, will
be offering recommendations, but ultimately, these are presidential decisions.”
In the end, he believes that the primary message from the incoming administration is that the president-elect will impose many more tariffs on products from other countries, particularly China. The aim, Ross notes, is not to erect global trade walls but rather to encourage nations and foreign companies to make concessions to rectify the “inequitable relationship that we have now.”
“His
objective is to level the playing field,” Ross stated.
In
the early days of the first Trump presidency, Ross was tasked with conducting
studies on the auto industry.
In
a meeting with European auto executives, Ross informed them that the study was
close to finishing, and it would likely conclude that high tariffs on their
cars entering the United States would be necessary. To avoid these levies,
their companies would need to announce more facilities in the United States.
“They
did just that,” Ross said. “It did reduce the need for Trump to take action.”
Targeting
Trade Treaties
The
president-elect has been open about renegotiating the USMCA.
“I
am announcing today that upon taking office, I will formally notify Mexico and
Canada of my intention to invoke the six-year renegotiation provisions of the
USMCA that I put in,” Trump said
at the Detroit Economic Club in early October.
Ross
says that other nations have failed to meet the commitments outlined in these
trade treaties.
Mexico,
for example, has not privatized its oil and gas sector since the agreement’s
enactment. In recent years, the United States has requested dispute settlement
consultations with Mexico regarding the challenges surrounding Mexico’s
agreed-upon energy reforms.
Newly
elected Mexican President Claudia Sheinbaum Pardo and her government are expected
to present a long-term initiative to attract private investment for the
state-run energy industry’s exploration and production.
Ross
also cited Mexico’s failure to address the government’s years-long
politicization of the judicial system, which was a provision inside the USMCA.
“The
Mexican judicial system was supposed to be an independent body that would help
adjudicate disputes between the three parties or among the three parties to the
agreement, but they’re politicizing it,” Ross stated.
The
country’s judicial system recently captured the spotlight. In September, as
part of a set of constitutional reforms, lawmakers gave the nod to
controversial sweeping changes to the courts by having judges elected by the
public rather than appointed. However, critics say politicians decide what
candidates are added to the ballots, meaning the judicial branch will remain
politicized, which could hamstring USMCA negotiations.
“The
reform poses a domestic threat and risks violating Mexico’s international
obligations under the USMCA. The agreement mandates the preservation of
independent courts free from political influence,” said Arturo Pueblita, the
president of the National Bar Association of Mexico, in a paper
for the Wilson Center. “By politicizing justice in Mexico, the reform could
breach the country’s commitments, especially those outlined in Annex 23, which
calls for impartial labor courts.”
It
is not only Mexico that has resisted satisfying a trade pact’s requirements.
Data
showed that Beijing failed to meet the targets in the years following the
U.S.–China Phase One trade agreement. A 2021 PIIE study
concluded that Chinese imports of American goods fell short of the target by 40
percent by the end of Trump’s first term.
The incoming Trump administration might seek to tighten arrangements with trading partners. Heading into these negotiations, the United States might possess an advantage because the global economy differs from a few years ago. Put simply, Ross said, many advanced countries cannot afford to engage in a significant tariff war.
“I
think some of this recent publicity about various thoughts that he has
regarding tariffs are very possibly going to result in some good results, even
before they’re enacted,” Ross said. “I think showing the same vigor in
trade is very likely to change the behavior of other countries.”
So
far, he might be right, as tariff threats are pushing America’s trading
partners to act.
After
convening an emergency meeting with premiers, Canadian Prime Minister Justin
Trudeau and his Cabinet pledged
to strengthen border security to curb illegal border crossings.
Trump
also said, following a conversation, that the Mexican leader vowed to stop
people from entering the U.S. southern border.
“Just
had a wonderful conversation with the new President of Mexico, Claudia
Sheinbaum Pardo,” Trump wrote
on Truth Social. “She has agreed to stop Migration through Mexico, and into the
United States, effectively closing our Southern Border. We also talked about
what can be done to stop the massive drug inflow into the United States, and
also, U.S. consumption of these drugs. It was a very productive conversation!”
Though
Sheinbaum lauded the talks, she presented a different outcome of the
conversation. The Mexican leader reiterated her government’s position on social
media platform X,
writing her country’s goal is “not to close borders but to build bridges.”
Optimistic
About 2nd Trump Term
After
a storied half-century career on Wall Street and four years in the White House,
Ross paused and looked back at his life, releasing a new memoir titled “Risks
and Returns: Creating Success in Business and Life.”
The
autobiography examined the array of challenges he has grappled with, giving
readers, at whatever stage they are at, an opportunity to draw messages from
his own life and business career. It also sheds light on the Trump
administration.
“It
does talk to some degree about the Trump years because they obviously were an
important part of my life,” Ross said.
The
book, for instance, discusses Trump’s relations with several world leaders,
including Chinese leader Xi Jinping and former German Chancellor Angela Merkel.
He
highlighted Trump’s first meeting with the Chinese leader during a state visit
to Mar-a-Lago. This was a notable event, Ross said, because Trump had just
finished convening a National Security Council meeting to launch 52 missiles
into Syria in retaliation for an attack on a U.S. airbase.
“Trump
chose to announce the missile launch during the ceremonial opening dinner with
President Xi,” Ross said. “The decision was intended to send a strong message
to Iran, China, and others about the consequences of pushing the U.S. too far.”
“I
think his willingness to do that in such a dramatic way is why there was
relative peace and quiet in the world,” during Trump’s first administration, he
said.
Ross
said he is optimistic about the next four years because of his experience and
the results of the first Trump term.
Connecting
the Dots:
Barbara H.
Franklin was a secretary for the U.S. Department of Commerce
and is a lifetime director at the Atlantic Council of the United States
(think tank).
Jon M. Huntsman
Jr. was a deputy assistant secretary for Asia for the U.S.
Department of Commerce and is the chairman for the Atlantic Council
of the United States (think tank).
Frederick Kempe is
a director at the U.S. Department of Commerce and the president
& CEO for the Atlantic Council of the United States (think
tank).
Daniel W.
Christman was an SVP for the U.S. Department of Commerce
and a director at the Atlantic Council of the United States (think
tank).
Open Society Foundations was a funder for
the Atlantic Council of the United States (think tank).
George Soros is the founder & chairman
for the Open Society Foundations, a board member for the International
Crisis Group and was the chairman for the Foundation to Promote
Open Society.
Foundation to Promote Open Society was a funder for
the Brookings Institution (think tank).
Ernesto Zedillo was
a board member for the International Crisis Group and the
president of Mexico.
Carlos Pascual was
a U.S. ambassador for Mexico and a VP for the Brookings
Institution (think tank).
Wilbur L. Ross Jr. was a
trustee at the Brookings Institution (think tank), an executive
managing director for Rothschild Inc., secretary of the U.S.
Department of Commerce for the Donald Trump administration and
married to Hilary Geary.
Rothschild Inc. were
advisers for the Presidential Task Force on the Auto Industry.
Lawrence H.
Summers was co-head for the Presidential Task Force on the
Auto Industry, a trustee at the Brookings Institution (think tank),
the National Economic Council chairman for the Barack Obama
administration and is a director at the ONE Campaign.
Cameron F. Kerry
was a fellow at the Brookings Institution (think tank), the general
counsel; acting secretary for the U.S. Department of Commerce, is John
F. Kerry’s brother, a senior counsel at Sidley Austin LLP.
Barack Obama was
an intern at Sidley Austin LLP and the president for the Barack
Obama administration.
Michelle Obama was
a lawyer at Sidley Austin LLP, the first lady for the Barack
Obama administration and an advocate for the ONE Campaign.
David J. Lane was the
president & CEO for the ONE Campaign and the chief of staff for
the U.S. Department of Commerce.
Sally Susman was the
deputy assistant secretary for the U.S. Department of Commerce and
is a director at the International Rescue Committee.
ONE Campaign is
a partner with the International Rescue Committee.
Foundation to Promote Open Society was a funder for
the International Rescue Committee.
George Soros was the chairman for the Foundation
to Promote Open Society.
Timothy F.
Geithner is an overseer, director for the International Rescue
Committee, was the secretary at the U.S. Department of the Treasury for
the Barack Obama administration, a co-head for the Presidential Task Force on the Auto Industry and
a researcher at Kissinger Associates, Inc.
Rothschild Inc. were
advisers for the Presidential Task Force on the Auto Industry.
Henry
A. Kissinger was the founder of Kissinger Associates, Inc. and an
overseer at the International Rescue Committee.
Foundation to Promote Open Society was a funder for
the International Rescue Committee.
George Soros was the chairman for the Foundation
to Promote Open Society and is Daisy M. Soros’s brother-in-law.
Daisy M. Soros is
George Soros’s sister-in-law and a leader’s council member for
the Breast Cancer Research Foundation.
Hilary Geary is
a leader’s council member for the Breast Cancer Research Foundation
and married to Wilbur L. Ross Jr.
Wilbur L. Ross Jr. is
married to Hilary Geary, was a trustee at the Brookings
Institution (think tank), secretary of the U.S. Department of Commerce
for the Donald Trump administration and an executive managing
director for Rothschild Inc.
Foundation to Promote Open Society was a funder for
the Brookings Institution (think tank).
George Soros was the chairman
for the Foundation to Promote Open Society.
Steven L. Rattner was
a trustee at the Brookings Institution (think tank), and the
counselor to the secretary for the Presidential Task Force on the Auto
Industry.
Presidential
Task Force on the Auto Industry is a task force for the Barack
Obama administration and advised on auto bailouts for the 2008-2010
financial bailout.
Rothschild Inc. were
advisers for the Presidential Task Force on the Auto Industry.
Lawrence H.
Summers was the co-head for the Presidential Task Force on the
Auto Industry, the National Economic Council chairman for the Barack
Obama administration and a trustee at the Brookings Institution
(think tank).
David M.
Rubenstein is a trustee at the Brookings Institution (think
tank), a regent at the Smithsonian Institution and spent
Thanksgiving with Joe Biden.
Shirley Ann
Jackson is a trustee at the Brookings Institution (think tank)
and a regent at the Smithsonian Institution.
Mike Pence is a
regent for the Smithsonian Institution and was the vice
president for the Donald Trump administration.
Joseph R. Biden Jr. is
a regent at the Smithsonian Institution, the president for the Joe
Biden Administration, Hunter Biden’s father, was the vice president
for the Barack Obama administration and spent Thanksgiving with David
Rubenstein.
R. Hunter Biden is
Joseph R. Biden Jr’s son, a director at the Truman National
Security Project and a director at the Center for National Policy.
Kamala D. Harris is
an advisory board member for the Truman National Security Project an
advisory board member for the Center for National Policy and
vice president of the Joseph R. Biden Jr administration.
Madeleine K.
Albright was an advisory board member of the Truman National
Security Project, the president of the Center for National Policy
and an overseer at the International Rescue Committee.
Foundation to Promote Open Society was a funder for
the International Rescue Committee.
George Soros was the chairman
for the Foundation to Promote Open Society.
Sally Susman is
a director at the International Rescue Committee and was the deputy
assistant secretary for the U.S. Department of Commerce.
David J. Lane was
the chief of staff for the U.S. Department of Commerce and the
president & CEO for the ONE Campaign.
ONE Campaign is
a partner with the International Rescue Committee.
Henry
A. Kissinger was an overseer at the International Rescue Committee
and the founder of Kissinger Associates, Inc.
Timothy F.
Geithner is an overseer, director for the International Rescue
Committee, was a researcher at Kissinger Associates, Inc.,
the secretary at the U.S. Department of the Treasury for
the Barack Obama administration, a co-head for the Presidential
Task Force on the Auto Industry.
Presidential
Task Force on the Auto Industry is a task force for the Barack
Obama administration and advised on auto bailouts for the 2008-2010
financial bailout.
Rothschild Inc. were
advisers for the Presidential Task Force on the Auto Industry.
Wilbur L. Ross Jr. was
an executive managing director for Rothschild Inc., secretary of the
U.S. Department of Commerce for the Donald Trump administration,
a trustee at the Brookings Institution (think tank) and married
to Hilary Geary.
Foundation to Promote Open Society was a funder for
the Brookings Institution (think tank).
George Soros was the chairman
for the Foundation to Promote Open Society and is Daisy M.
Soros’s brother-in-law.
Daisy M. Soros is
George Soros’s sister-in-law and a leader’s council member for
the Breast Cancer Research Foundation.
Hilary Geary is
a leader’s council member for the Breast Cancer Research Foundation
and married to Wilbur L. Ross Jr.
Resources:
Past Research
Marriott,
Citi, Major Companies Still Do Business in Russia (Past
Research on Wilbur Ross)
Wednesday,
March 9, 2022
https://thesteadydrip.blogspot.com/2022/03/marriott-citi-major-companies-still-do.html
Trump’s
Secretary of Commerce Wilbur Ross the ‘Champion of American Manufacturing’ (Past Research on Wilbur Ross)
Thursday,
December 1, 2016
https://thesteadydrip.blogspot.com/2016/12/trumps-secretary-of-commerce-wilbur.html
Rep.
Ken Buck on D.C.’s Swamp: Politicians Are ‘Bought with Taxpayer Dollars’
(Researchers Note: Follow the Money!) (Past
Research on the U.S. Department of Commerce)
Saturday,
April 15, 2017
https://thesteadydrip.blogspot.com/2017/04/rep-ken-buck-on-dcs-swamp-politicians.html
US
government workers told to shelter in place amid surge in Tijuana violence,
cartel threatens 'mass chaos' (Connecting the Dots: Mexico & Soros) (Past Research on Mexico)
Sunday,
August 14, 2022
https://thesteadydrip.blogspot.com/2022/08/us-government-workers-told-to-shelter.html
Joe
Biden To Ford Executive: 'Thank You For Saving Our Ass' (Past Research on the Presidential Task Force on the Auto
Industry)
Friday,
January 17, 2014
https://thesteadydrip.blogspot.com/2014/01/joe-biden-to-ford-executive-thank-you.html
Madeleine
Albright, 1st Female US Secretary of State, Dies at 84 (Connecting Her Dots In
The Soros Network) (Past Research for Madeleine
Albright)
Thursday,
March 24, 2022
https://thesteadydrip.blogspot.com/2022/03/madeleine-albright-1st-female-us.html
This
Conspiracy Claims the Smithsonian Destroys Giant Skeletons (Connecting the
Dots: Smithsonian Institution, Sidley Austin LLP, Joe Biden, Ruth Padel, Oxford
University & Soros Funding, All Networking) (Past
Research on Mike Pence)
