U.S.T.R. Robert Lighthizer Discusses China “Phase One” and Enforcement Tripwires ***UPDATE***

Wednesday is going to be a historic day for the US and China as they get ready to sign what is known as Phase 1 in the trade agreement between the two countries. One of the most contentious issues that had this agreement taking so long to negotiate is getting China to agree to the enforcement mechanisms that Robert Lighthizer has crafted into the MOU’s wording. Now that both sides finally came to a understanding what the rules are, the MOU’s are now going into be made into an official trade agreement document that both countries will sign onto. This agreement will be made available (English version) to the public as soon it is signed and official.

Below Sundance from CTH shares his views on what Lighthizer means to this outstanding economic team and how under appreciated he truly is for taking on and dealing with this very complicated issue of trade with China.

U.S. Trade Representative Robert Lighthizer is a smart, serious and deliberate professional on a very specific and important mission for the United States. In my opinion Lighthizer is the most under-appreciated member of an exceptionally good economic team. Everything about Lighthizer’s approach is based on enforcement.

Ambassador Lighthizer has been consistent over multiple years, on his intention to create enforceable trade reform between the U.S. and China, or, if needed, decouple the two economies if China fails to accept the necessary structural reforms.

Tonight, as the Chinese delegation arrives, Lighthizer discusses the U.S-China ‘phase-one’ agreement with Lou Dobbs.



Here is what China agreed to purchase from the US in the newly signed trade agreement with the US.

"Earlier today President Trump, together with his trade delegation and the delegation from China represented by Vice-Premier Liu He, signed a new, fully-enforceable Phase One Trade Agreement. This is the first ever trade agreement any nation has attempted to change the dynamic of how a free-market system (USA) can engage with the Communist system within China.

While ‘phase-one‘ was structurally created to set the foundation, and test the principles of enforcement, this historic trade agreement will frame the text that all other free-market nations will follow in their own efforts to come to a substantive agreement with Beijing.

This is a really big deal on a worldwide scale of international commerce. Structurally the biggest changes inside China relate to Intellectual Property protections, U.S. ownership of assets, and changes within the Chinese legal system to stop Forced Technology Transfer.

I guess I’m not understanding the significance of this. Why are we making any deals with China at all? China is the country that has been screwing over America for decades. We should be pummeling them mercilessly into the ground. The only deals we should be making are the deals that solely favor the United States and for which they are begging for out of relief from a merciless pummeling.

There is many reasons.

  1. If China reneges on any part of this deal, then decoupling will begin. This is just phase one that will set precedent for phase 2.

  2. The enforcement mechanisms in the deal that addresses forced technology transfer and IP theft is the first of its kind that not only calls out China to make structural reforms to their own domestic policy and laws, but also holds China accountable should they violate any part of the agreement

  3. China also agrees to open up its market to US goods with its purchases to what is considered an uptapped market that will give US manufactured products access

  4. The trade agreement is historic due to the fact no other country has attempted so far to confront China on trade policy issues let alone getting China to agree to fair and free trade with provisions that is on a even playing field. Furthermore, this deal in particular will be setting precedent for other countries as well that are hoping to trade with China. Win win.

We will have to see how this unfolds and whether or not China will honor their agreements, past history suggests that they have trouble honoring any deals so this will be interesting if they intend to stick to what was agreed to.


You could tell from the signing event today at the White House that China was not pleased. It was quite satisfying to watch.

Yeah something was telling me that they really had no choice and were backed into a corner, and I credit the Killer Lighthizer, he truly is a master at covering all bases when drawing up contracts specifically the language and the details of addressing the minute issues in order to close the loopholes that otherwise the Chinese are so shrewd at exploiting.

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If that’s the case then it is an appropriately written contract. Contracts are supposed to make the individual entering into it squirm.

True, but what I like most about this trade agreement, is that it is fair for both sides, and based on equal reciprocity of free and fair trade. It was either trade deal or no deal and a credit not only to Lighthizer but Navarro, Wilbur Ross and Mnuchin for sticking to their guns. If this was Hillary or Obozo we would have already lost out shirts in this deal.

Here’s to hoping he does in fact break the dragon’s back and leave it dragging itself across the world stage by its piddly front legs. China’s gov’t has earned that.

Well this is bound to cheer you up as it does appear that China did blink first!

China Posts Weakest Growth in 29 Years as Trade War Bites

This is probably oversimplified a lot, but basically is what happens when a US President does not owe any polititian anything.

“The IMF is warning that “global economies” will contract by $455 billion next year due to the ongoing trade conflict between the U.S., China, the EU and to a lesser extent, Japan.

President Trump will cost the “Global Economy” $455 billion…. because that money will be transferring back to the America First economy. That’s what happens as MAGAnomics reverses the IMF trade (wealth distribution) model.

China and the EU have devalued their currency in an effort to block the impacts from President Trump and the ‘America First’ trade policy. Because those currencies are pegged against the dollar, the resulting effect is a rising dollar value. In essence, the globalist IMF is now blaming President Trump for having a strong economy that forces international competition to devalue their currency.

In the bigger picture is why President Trump is the most transformative economic President in the last 75 years. The post-WWII Marshall Plan was set up to allow Europe and Asia to place tariffs on exported American industrial products.

Those tariffs were used by the EU and Japan to rebuild their infrastructure after a devastating war. However, there was never a built in mechanism to end the tariffs…. until President Trump came along and said: “it’s over”!

After about 20 years (+/-), say 1970 to be fair, the EU and Japan received enough money to rebuild. But instead of ending the one-way payment system, Asia and the EU sought to keep going and build their economies larger than the U.S. Additionally, the U.S. was carrying the cost of protecting the EU (via NATO) and Japan with our military. The EU and Japan didn’t need to spend a dime on defense because the U.S. essentially took over that role. But that military role, just like the tariffs, never ended. Again, until Trump.

The U.S. economy was the host for around 50 years of parasitic wealth exfiltration, or as most would say “distribution”. The term exfiltration better highlights that American citizens paid higher prices for stuff, and paid higher taxes within the overall economic scheme, than was needed.

President Trump is the first and only president who said: “enough”, and prior politicians who didn’t stop the process were “stupid” etc. etc. Obviously, he is 100% correct.

For the past 30 years the U.S. was a sucker to keep letting the process remain in place while we lost our manufacturing base to overseas incentives. The investment process from Wall Street (removal of Glass-Stegal) only made the process much more severe and faster. Wall Street was now investing in companies whose best bet (higher profit return) was to pour money overseas. This process created the “Rust Belt”, and damn near destroyed the aggregate manufacturing industry.

Unfortunately, putting ‘America First’ is now also against the interests of the multinationals on Wall Street; so President Trump has to fight adverse economic opponents on multiple fronts…. and their purchased mercenary army we know as DC politicians.

No-one, ever, could take on all these interests. Think about it… The EU, Asia, World Bank, International Monetary Fund, China, Russia, U.S. Chamber of Commerce, Iran, U.S. Congress, Democrats, U.S. Senate, Wall Street, the Big Club, Lobbyists, Hollywood, Corporate Media (foreign and domestic), and the ankle-biters in Never Trump…. All of these financial interests are aligned against Main Street USA and against President Trump. And he called out all of the NATO leaders and told them to pay their share.

Name one individual who could take them on simultaneously and still be winning, in a big way.

They say he’s one man. They say they have him outnumbered. Yet somehow, as unreal as it seems, he’s the one who appears to have them surrounded.”


Welcome and thanks for the well informed post here! Agree on all accounts!