Because of the trade war, China is getting more agriculture goods from Brazil than the U.S.. China is building a port in Brazil to get even more from Brazil and even less from the U.S.. Too bad for U.S. farmers.
Trump’s big beautiful bill takes away money from growing renewable energy that employs more jobs than coal and toward dying coal. It’s not just bad for the environment, it’s bad business. The bill makes it difficult to use components from China, even though China is one of our key suppliers. This will limit U.S. production.
The bill expands fossil fuel subsidies. Subsidies are essentially giving money to companies. This should be done when certain industries are important to emphasize above and beyond the incentive for profit-making, like environmental benefits. Considering fossil fuels cause deadly air pollution as well as contribute to global warming, subsidizing them makes no sense.
Fossil fuel industries are already built out, so subsidies pay such companies for doing stuff that they were doing anyways. Renewable industries are still developing and growing, so subsidies actually create new business. Once you consider the environmental impacts, fossil fuel subsidies net a negative return.
Trump’s bill has led to a lot of fired scientists. Foreign countries are offering bonuses to hire these scientists. These nonsense policies are producing American brain drain.
“Nvidia, which makes up 92 percent of the global GPU market, and Advanced Micro Devices (AMD), which has the remaining 8 percent, have reached a deal with the Trump administration. They’ll get export licenses for the sale of certain chips to China in exchange for 15 percent of the revenues generated by the sales, reports the Financial Times.
“No US company has ever agreed to pay a portion of their revenues to obtain export licences,” the paper notes.
…
The new agreement is not only unusual—it could be illegal, too. The Constitution states in no uncertain terms, “No Tax or Duty shall be laid on Articles exported from any State.” Yet this is what the Trump administration is effectively doing by conditioning permission to export these products on the forfeiture of 15 percent of sales revenue. Padilla appears to agree, telling the Post that “this arrangement seems like bribery or blackmail, or both.
Even if the deal brokered between the chipmakers and the federal government were legal, it would still be uneconomical. The revenue—hundreds of millions of dollars—will be directed to a Treasury Department slush fund that will allocate it arbitrarily. Nvidia and AMD have a stronger incentive, more information, and a better track record with investing dollars in a manner that yields a high return on investment.
U.S. export controls have not stopped China from developing AI, but they have denied American GPU firms access to much-needed revenue. Imposing this constitutionally dubious 15 percent tax is yet another example of unnecessary interference with the private sector.”
U.S. tariffing and ending aid to Pacific countries in such a way that makes the U.S. look like an erratic and bad partner, and makes China look relatively better.
Under Biden, Nvidia couldn’t sell China their best chips. Trump came and banned the fourth best chip, which Biden allowed. Trump later reversed and allowed those chips thanks to: lobbying, China blocking the U.S. from rare earths, and accepting a strategy that getting China to use U.S. chips is better than forcing China to potentially be really innovative and make their own.