It is more than likely President Trump and Commerce Secretary Wilbur Ross knew this was in the making several months ago.  In hindsight it now appears Germany presented a false proposal to U.S. Ambassador Richard Grenell intentionally to poke him in the eye.
Germany has sealed the fate of their auto-industry with a multi-company agreement to manufacture vehicles in China and share all their intellectual processes therein.

FRANKFURT (Reuters) – German companies signed a series of agreements with Chinese partners at a meeting of Chancellor Angela Merkel and Prime Minister Li Keqiang in Berlin on Monday, according to a document seen by Reuters. Following are details of them:
♦BASF signed a Memorandum of Understanding (MoU) with China’s Guangdong Province to look at building a highly-integrated chemical production site there, BASF said.

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Secretary of State Mike Pompeo, Japanese Foreign Minister Taro Kono, and South Korean Foreign Minister Kang Kyung-wha hold a joint press conference following a trilateral debriefing of ongoing negotiations with the U.S. and North Korea.

[Transcript] FOREIGN MINISTER KONO: Thank you. It is my glad pleasure to welcome Secretary Mike Pompeo and Minister Kang Kyung-wha to Tokyo for this trilateral foreign ministers’ meeting. The last time we gathered in Seoul was less than a month ago, immediately after U.S.-North Korea summit in Singapore. The timing and the frequency of the meeting have enabled smooth and effective trilateral coordination; its outcome could then be fed into the process between the U.S. and North Korea.
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One of the strongest geopolitical alliances exists between the U.S. and Japan.  President Trump and Prime Minister Shinzo Abe are not only good friends, but also work well together toward regional goals for a denuclearized Korean peninsula.
Additionally, the U.S-Japan alliance is bolstered by a respectful economic partnership; and the appearance of Secretary Pompeo arriving in Japan to brief Prime Minister Abe on his discussions with the DPRK also highlights the importance of the relationship.

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Earlier today President Trump delivered remarks celebrating the six month anniversary of the U.S. Tax Cuts and Jobs Act.   Today is also the last business day of the second quarter.

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Long time CTH readers might note in 2015 when we first saw candidate Trump’s economic policy initiatives, we began outlining the sequential economic possibilities if President Trump won. So far, all is going according to plan – STUNNINGLY According To Plan.  Seriously, go back and look –FEBRUARY 2016– two-and-a-half years ago.
The possibilities were obvious.  As a result we predicted repeatedly that Q2 of 2018 would be the beginning of the largest period of U.S. GDP and wage growth in the past 30 years.  Q2 2018 ends tomorrow and the results of Q2 will be announced in the next few weeks.  Everything is happening in a logical sequence as a result of Trump’s MAGAnomic plans.
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National Economic Council Chairman Larry “Kuddles” Kudlow is back after suffering a mild heart attack. [Yikes, “mild“, is there such a thing?]
Appearing on TV with Stuart Varney Chairman Kudlow explains how the administration hopes to use the Foreign Investment Risk Review Modernization Act (FIRRMA) to enhance U.S. trade policy.  Mr. Varney cannot comprehend Trump-speed in achieving a global trade reset:

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While media wasn’t paying attention, President Trump brilliantly played congress to gain strategic trade leverage.  Knowing political opposition would unite, POTUS Trump took a forgiving position toward Chinese company ZTE; Trump-haters and NeverTrumpers quickly aligned to push through hammer legislation designed to hurt China and by extension Trump’s position.  However, Trump actually wanted the tool.  POTUS now weaponizes FIRRMA as trade leverage against all 301 targets.   Brilliant.
USTR Robert Lighthizer Final 301 Report on China Trade Infractions HERE
Part 2 of Kudlow interview below:
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When you plant your tree in another man’s orchard, you might end up paying for your own apples; it’s a risk you take…
….and President Trump knows how to use that leverage better than anyone could possibly fathom; because in this metaphor Beijing relies upon the U.S. for both the seeds and the harvest.  President Trump drops the $200b M.O.A.T (Mother of All Tariffs):

White House – On Friday, I announced plans for tariffs on $50 billion worth of imports from China. These tariffs are being imposed to encourage China to change the unfair practices identified in the Section 301 action with respect to technology and innovation. They also serve as an initial step toward bringing balance to our trade relationship with China.

However and unfortunately, China has determined that it will raise tariffs on $50 billion worth of United States exports. China apparently has no intention of changing its unfair practices related to the acquisition of American intellectual property and technology. Rather than altering those practices, it is now threatening United States companies, workers, and farmers who have done nothing wrong.

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China controls the DPRK, that’s the baseline reality.  The question debated over the past several years, has been to what extent?  Having witnessed the Singapore Summit, perhaps we now have additional understanding of the scale and scope.

Kim Jong-un “is” the Panda Mask.

If you accept the cunning nature of the Beijing Dragon, and the false geopolitical face of the Panda mask as historically presented by the control elements now represented by Chairman Xi Jinping, a striking probability looms.  Not only does China influence North Korea, but China actually controls every element of the North Korean government that surrounds Chairman Kim Jong-un.

The problem for Chairman Xi is what happens when all of the political forces align to place Chairman Kim Jong-un in a position of opening the door for the U.S. and President Trump and the West (writ large) to enter North Korea under the auspices of a CVID nuclear agreement.

In essence, President Trump may now enter into a land where the officials report exclusively to Chairman Xi, and no-one knew.  This presents a possibility the larger global community might soon discover the true nature of the Beijing/Pyongyang connection.

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I had a feeling this might happen.

G7 Carlevoix Communique HERE

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Lucky Day…. Lucky Day…  NAFTA squished.

More winnamins.

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Remember all those pre-election conversations about Donald Trump, economic leverage, rebalanced economics and our conversations about what getting the “golden ticket” would look like?   Well,….

The look on Japanese Prime Minister Shinzo Abe’s face is priceless.  “Complicated business folks,… complicated business.”

 

President Trump has taken the Godzilla Trump meme to levels beyond ordinary imaginings.  In advance of the G7 summit in Charlevoix, Canada Prime Minister Trudeau sounded the alarm and called in all like-minded allies to help fend off horrible Trump and his arsenal of tariffs.

L-R: European Council President Donald Tusk, British Prime Minister Theresa May, German Chancellor Angela Merkel, U.S. President Donald Trump, Canada’s Prime Minister Justin Trudeau, French President Emmanuel Macron, Japanese Prime Minister Shinzo Abe, Italian Prime Minister Giuseppe Conte and European Commission President Jean-Claude Juncker

French President Emmanuel Macron responded to Trudeau’s plea and arrived two-days early to coordinate the strategic message.  Together they were looking for leverage in advance of Godzilla Trump’s arrival.  Germany’s Angela Merkel, and U.K. Prime Minister Theresa May even brought non-G7 members European Council President Donald Tusk, and European Commission President Jean-Claude Juncker as back-up.

Apparently the six-against-one plan was considered unfair to the six, so they added two more.  Unfortunately for Canada, France, Germany and the U.K., Japanese PM Shinzo Abe and Italian Prime Minister Giuseppe Conte are not foolish enough to take on Godzilla.

As an entirely predictable outcome, President Trump won again.  It’s just so darned funny to watch this play out.  The era of the titan is back, and deliciously the titan is an American President, Donald J Trump.  He’s one guy, and he has them all surrounded; and he’s laughing the entire time.  He’s impenetrable, sharp, funny as heck and monolithic in stature making all of his opposition look decidedly less-than.

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