Veda’s Treyz Says China Sees They ‘Can’t Get to Yes’ on a Trade Deal

The video discusses the implications of US tariffs on Mexican imports, particularly in the auto industry, highlighting the intracompany transfers and just-in-time manufacturing processes. It explores Mexico's strategic response to these tariffs and the potential impact on the USMCA agreement. The discussion then shifts to US-China trade relations, examining the challenges in negotiations and the economic impact of tariffs on both countries, with a focus on PMI numbers and global economic growth.

What is a significant concern for US companies regarding tariffs on auto parts from Mexico?

• The tariffs are only applicable to new vehicles.

• The tariffs are not applicable to auto parts.

• The tariffs are applied multiple times due to cross-border transfers.

• The tariffs are only applied once.

How is Mexico responding to the US tariffs according to the discussion?

• By imposing tariffs on US goods.

• By withdrawing from trade agreements.

• By increasing tariffs on European goods.

• By not retaliating and considering measures at its southern border.

What is a key factor in the USMCA ratification process?

• The focus on agricultural tariffs.

• The exclusion of Canada from the agreement.

• The political dynamics and ongoing negotiations with the US administration.

• The agreement's impact on European trade.

What challenge does China face in negotiating a trade deal with the US?

• The lack of interest from other countries.

• The absence of any tariffs on Chinese goods.

• The fear that the US might not adhere to the deal.

• The US's consistent positive portrayal of China.

What economic indicator is highlighted as crucial in understanding the impact of tariffs?

• Unemployment rates.

• GDP growth rates.

• Stock market indices.

• PMI numbers.

What is the potential impact of poor PMI numbers in both China and the US?

• They will only affect the stock market.

• They might not affect the economy at all.

• They could lead to increased tariffs.

• They could have a serious impact on the underlying economy.

What is a major component of the 2020 US election as discussed?

• Education policies.

• Healthcare reform.

• Environmental regulations.

• Immigration issues.