Russia Fires A Shot in Expanding Trade War
Russia Fires A Shot in Expanding Trade War by Rory – The Daily Coin
Once agains corporate media has done a masterful job of distraction by placing most, if not all, the emphasis of the trade war on China. Not saying we don’t have massive trade imbalances with China and it seems President Trump is attempting to somewhat right the ship, what the President is doing is making an attempt to balance the books across the spectrum. This is far different than what corporate media would have us believe.
We just learned that Russia is firing back in the trade war and is imposing “sanctions” on goods entering into Russia from the U.S..
As reported The BRICS Post
A week after resorting to the World Trade Organization in its complaint against US tariffs on Russian steel and aluminum, Moscow has raised its duties from 25 to 40 per cent on some US imports.
According to the Russian news agency TASS, Economic Development Minister Maksim Oreshkin said the rise was to compensate for more than $500 million loss in exports expected due to the US tariffs.
“Currently our higher duties cover only part of the damage – $87.6 million. This is the compensation Russia has the right to under WTO rules,” Oreshkin said in remarks carried by TASS.
The $87.6 million figure refers to the amount of tariffs Russia can resort to without having to turn to a WTO ruling.
The 40 per cent tariff will apply to road construction equipment, drilling equipment and other hi-tech machines.
Russia last week joined other BRICS members China and India in resorting to the WTO about the US tariffs. Source – The BRICS Post
Not just steel and aluminum but road building equipment, drilling equipment and hi-tech machines is taking aim squarely at Caterpillar. If Brazil, India and South Africa follow the lead of Russia and China my guess is the $87+ million will grow very quickly and create even more strain on the books of Caterpillar.