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Money Talks from The Economist

Money talks: Drums of trade war

Money Talks from The Economist

The Economist

News, Business, Economy, Finance & Economics, Business News

4.41.2K Ratings

🗓️ 19 June 2018

⏱️ 23 minutes

🧾️ Download transcript

Summary

As fears mount of a trade war between China and America, David Rennie looks at how China is preparing. And as part of our Open Future season, we explore how tax systems could be improved. Also, the electric bike business is riding high. Helen Joyce hosts

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Transcript

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0:00.0

Attention at all passengers. You can now book your train tickets on Uber and get 10% back in Uber credits to spend on your next train journey.

0:11.0

So no excuses not to visit your in-laws this Christmas.

0:16.5

Trains now on Uber. T's and C's apply check the Uber app. Hello, I'm Helen Joyce, the finance editor of the Economist. Welcome to Money Talks.

0:30.0

Coming up on the programme, as part of our open future season here at the Economist, we look at open markets and how tax systems can be improved.

0:38.0

I, for example, would like to get rid of stamp duty, which is a tax on transactions of houses.

0:44.8

I might actually replace it with a wealth tax, which would be some sort of tax on the value of

0:49.7

the land on which a property has been built.

0:53.0

And the electric bike business is riding high.

0:55.0

It's certainly noticeable as you ride through the famous Amsterdam Vondal Park

1:00.0

that some people are suddenly going a lot faster than others.

1:07.0

First, the drums of trade war are getting louder.

1:16.6

On Monday evening Donald Trump directed his aides to compile another list of Chinese imports worth 200 billion dollars on which

1:21.6

tariffs of 10% could be placed. This will happen unless

1:25.8

Beijing drops a promise to retaliate against a previously announced set of

1:29.5

US measures. Global markets fell on fears that the escalating trade scrap would turn into a

1:35.0

full-blown trade war. Our Beijing Bureau Chief David Drenny hit the road.

1:40.0

I'm standing outside a gigantic car factory owned by General Motors Chinese joint venture

1:47.4

partner, Shanghai General Motors.

1:50.2

And this is one of the factories that if America imposes these tariffs on Chinese goods

1:55.3

will be immediately affected because one of the very few cars made in China that is sold in large numbers

2:01.2

in the United States is a Buick SUV and as Laurie's Thunder Pass carrying

2:07.2

goods and materials to this factory to a big Hyundai Korean car factory up the

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