Breaking overnight the French government is attempting to stem the growing civil unrest by announcing they will suspend the plan to implement the upcoming fuel tax.  However, the Yellow Vest protests have grown to personify much more than a new fuel tax.
The protests have morphed into a much larger anger about the influence of a disconnected elite political class, personified by President Emmanuel Macron, over the lives of the ordinary French citizen.  The fuel tax was the last straw, the underlying issues remain.

(Via Associated Press) PARIS (AP) — French Prime Minister Edouard Philippe is to announce a suspension of fuel tax hikes, a major U-turn in an effort to appease a protest movement that has radicalized, French media reported Tuesday.
Both Le Monde newspaper and France Info radio said the planned increase, which has provoked riots, will be suspended for several months. Philippe is also expected to announce other measures aimed at easing tensions, just three weeks after claiming that the government would not change course and remained determined to help wean French consumers off polluting fossils fuels.

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The Institute for Supply Management (ISM) released their manufacturing review today highlighting continued expansion of the underlying economy.  The results today from within the overall manufacturing industry emphasize the 27th consecutive month of growth…. and a future-view that seems to be predicting much more.  Much more!

ISM Release […] Manufacturing expanded in November, as the PMI^® registered 59.3 percent, an increase of 1.6 percentage points from the October reading of 57.7 percent. “This indicates growth in manufacturing for the 27th consecutive month, led by strong new orders, production output and continued slowing supplier delivery performance,” says Fiore. A reading above 50 percent indicates that the manufacturing economy is generally expanding; below 50 percent indicates that it is generally contracting. (more)

Okay CTH, so take the business wonk-speak out of this – what does it mean?
Here’s the summary: Manufacturers are increasing new orders (making more stuff). Production outputs and employment within the manufacturing sector are still growing. Suppliers are still having a tough time filling material orders, but they are finding new and innovative ways to speed up shipments of raw material. However, despite the speed (increased efficiency in delivering the raw material), the backlog of requests is still growing (new orders exceed supply chain). Customer inventories are too low (hence the backlog for new stuff). Inflationary pressure still exists, but the rate of price growth is slowing (increased supplier efficiency). Manufacturing exports and imports are growing. The economy is expanding.
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National Economic Council Director Larry Kudlow discusses some of the key specifics within the dinner table conversation between President Trump and Chairman Xi.  [*note* at the very end of this briefing, Kudlow is asked about the German auto visit tomorrow]
President Trump has been brutally consistent for more than three decades on his intent and purpose with the Chinese.  President Trump is the first U.S. President to understand how the red dragon hides behind the panda mask.  Additionally, while carrying out the objectives of the confrontation, Secretary Mnuchin, Secretary Ross, Ambassador Lighthizer and adviser Navarro are well aware of Beijing’s panda mask; POTUS Trump will never let them forget about it.

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With a full quarter of trade data to analyze the impacts, the Chinese tariff results are now measurable.  A multinational group studying the outcome (full pdf), identified that approximately 4.5% of the current tariff impact is being carried by American consumers.  The overwhelming cost of the tariff is being paid (20.5% absorbed) by Chinese producers.
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One of the less discussed aspects to President Trump’s economic cabinet is the careful selection of specific members who operate above the financial influence of ‘The Big Club’. Commerce Secretary Wilbur Ross and Treasury Secretary Steven Mnuchin are two key positions able to focus on economic nationalism without worrying about undue influence from the globalist lobbying pressure of Tom Donohue and the U.S. CoC.
The baseline of financial independence, and disconnect from self-interest, is unique in our lifetime; and allows the resulting execution of economic policy to focus, very deliberately, on America First objectives.  Secretary Mnuchin discusses the China confrontation:

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A lengthy interview (recently released) between Greta Van Susteren and President Donald Trump at the G20 summit in Argentina.  The topics include: the USMCA trade agreement; the conflict between Russia and Ukraine; overall global trade; issues within the global climate change economy; Brexit, China, the U.S. economy and immigration.
As most CTH readers are aware MAGAnomic policy, economic nationalism, is the largest focus of President Trump.  Beyond all other issues, this is the POTUS priority. Within this interview the president walks through the geopolitical issues and interests for the U.S. economy.  Well worth watching:

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This is a painful, albeit rather telling, interview to watch.  Matt Cartwright has not had the time to fully digest how to be a good resistance member, whereby he simultaneously argues for and against the economic and trade policies of President Trump.
On domestic economic policies, specifically trade, President Trump is essentially carrying out all of the objectives of the blue-dog (moderate) Democrat party.  However, now the ‘resist we much overlay’ creates a pretzel dynamic for those same democrats.  They are for the policies, but must oppose the person carrying out those policies.  This is a goofy preview of what is to come in 2019.

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Lost but not invisible in the Cartwright angst is any acceptance that President Obama never cancelled NAFTA; nor did President Obama ever challenge the one-way economics of China; both of these confrontations and resets are favored by the new co-chair of the democrat platform committee…. but favored/not-favored when Trump does it.
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Too funny… this is what we would call a win/win.   President Trump delivering remarks to the media aboard Air Force One on the flight back to the U.S.

(Via Associated Press)  President Donald Trump says he will shortly be providing formal notice to Congress that he will terminate the North American Free Trade Agreement, giving lawmakers six months to approve the replacement he recently signed.
Speaking to reporters aboard Air Force One while returning to Washington from Argentina, Trump says: “I will be formally terminating NAFTA shortly.”

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Statement from the White House Press Secretary Regarding The President’s Working Dinner With China:

“The President of the United States, Donald J. Trump, and President Xi Jinping of China, have just concluded what both have said was a “highly successful meeting” between themselves and their most senior representatives in Buenos Aires, Argentina.
Very importantly, President Xi, in a wonderful humanitarian gesture, has agreed to designate Fentanyl as a Controlled Substance, meaning that people selling Fentanyl to the United States will be subject to China’s maximum penalty under the law.
On Trade, President Trump has agreed that on January 1, 2019, he will leave the tariffs on $200 billion worth of product at the 10% rate, and not raise it to 25% at this time. China will agree to purchase a not yet agreed upon, but very substantial, amount of agricultural, energy, industrial, and other product from the United States to reduce the trade imbalance between our two countries. China has agreed to start purchasing agricultural product from our farmers immediately.
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The U.S. delegation headed by President Trump and the Chinese delegation headed by Chairman Xi Jinping attended a much anticipated bilateral dinner at the conclusion of the G20 summit in Argentina.  The dinner lasted for two and a half hours:

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Immediately following the dinner the U.S. delegation went straight to Airforce-One for the flight home.
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An important trilateral meeting between President Trump, Prime Minister Abe and Prime Minister Modi which forms an important economic alliance for President Trump’s Indo-Pacific economic strategy.  This larger geopolitical strategy is the counterweight to China’s One-Belt/One-Road (red dragon) maneuver.

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[Transcript] Buenos Aires, Argentina – 2:39 P.M. AST – PRESIDENT TRUMP: Thank you very much. It’s a great honor to be with Prime Minister Modi of India, and, as you know, Prime Minister Abe of Japan. And we just had a great meeting, and we’re having now what we call a “trilat.”
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