The Trump Administration – Brinkmanship and Forcing the Deal

By: - April 24, 2018

Even though the mainstream press refuses to admit what the public can see, President Trump has been very successful at home and abroad. When the other side capitulates, as has happened repeatedly, the press just can’t bring themselves to concede Trump administration victories. Let’s look at a few points.

Tax Reform

Through pressure, cajoling, and steadfastness, President Trump prevailed.  The Democrats lost their minds.  Out came the projections of gloom and doom, as well as comments on how the tax bill was unfair and wrong.  The Democrat leaders—you know who they are—said the refunds the average person would get were “crumbs.”

And what happened?  Bonuses to over three million workers showed up in paychecks.  There is no denying that the money seen in the pockets of those that got bonuses helped them.  Company after company gave the money they saved from the new tax rules to their employees.  What a novel concept.

America First

President Trump played hardball on this front as well.  He pushed companies to either halt their plans to move overseas or return to the US.  With the reduction of the corporate tax rate, companies are moving back to the US or have stopped their plans to move overseas.  In 2016, the US lost 34,000 manufacturing jobs.  In 2017, that number turned around with a gain of 138,000 manufacturing jobs.

  • United Technologies (Carrier) returned many jobs to the US.
  • General Motors says they will spend $1 billion on “multiple new vehicles, advanced technology, and component projects” that will result in 1,500 new or retained jobs in the US.
  • The South Korean automaker Hyundai announced it will boost its spending in the US by 50 percent over planned levels, spending $3.1 billion over the next five years.
  • Lockheed Martin Corporation, the maker of the F-35 fighter jet, is among the companies committing to hiring more American workers.  Lockheed Martin announced that besides lowering the cost of the F-35 fighter jet, the company will employ 1,800 workers in Texas where the airplane is built.  Lockheed Martin also pointed out that it expects to create “thousands and thousands” of supply chain jobs across the US.
(Credit: Facebook/NewsStory)
  • Sprint Corporation insists that it will be bringing on 5,000 new US jobs.  Sprint also said the 5,000 new positions were in addition to 5,000 hires it had previously announced.
  • Walmart is planning to hire 10,000 new retail employees.  The company estimates that the construction or remodeling of stores, distribution centers, and other facilities could require an additional 24,000 construction-related jobs.
  • In May 2016, IBM announced US layoffs, described by employees as “massive.” But by the end of the year, IBM’s strategy had resulted in only 180 cuts.  In December, one month after the Trump election, IBM CEO Ginni Rometty announced her company had plans to invest $1 billion in the US over the next four years.  She went on to say IBM will be filling 25,000 new US-based positions.
  • Ford Motor Company, who was planning to build a $1.6 billion dollar factory in Mexico, canceled the Mexican car factory and said it would invest $700 million to expand its Flat Rock, Michigan factory.  The project includes high-tech manufacturing of electric, hybrid, and autonomous cars, as well as adding 700 US jobs.
  • Amazon is going on a hiring binge—they’ve hired 100,000 full-time US employees with full benefits. Positions will range from entry-level jobs at Amazon’s fulfillment centers, to engineers and software developers—all to be located in the US.
  • According to the Wall Street Journal, representatives from German chemical giant Bayer AG were planning to take over Monsanto Company and move it offshore.  After meeting with President Trump, Bayer representatives announced that as part of their purchase of Monsanto, they were committing to keeping Monsanto’s 9,000 US jobs in the country, plus an additional 3,000 new high-tech jobs for American workers. They also said that Bayer will spend half of a planned $16 billion in agricultural research over the next six years in the US.

Trade Wars—Well, Not Really

President Trump made several threats and then followed them up with concrete moves on tariffs.  What happened? Did the US economy fall apart?  Did the steel industry crater?  Did China, who initially threatened to start a trade war follow through?  No, No, and…uh, No.

From tuna in Mexico to tariffs in China, on every front, the other side has backed down.  Even North Korea has been forced to the table.  What is the difference? President Trump threatens tariffs and then, unlike others, follows through.  When the desired results are achieved, there is a softening—a medium ground.  This is deal making, brinkmanship, and strong business acumen at its best.

 On the Homefront

The Sanctuary debate is coming to a head.  The Trump administration has been steadfast in their approach to illegal immigration and even more so on those states and communities that are actively defying the federal statutes and protecting illegal (criminal) aliens.  Trump stayed the course, his attorney general applied pressure, and now California, the bastion of liberal nonsensical radical policy, is fighting with itself on the issue.  Community after community in California is saying enough is enough and defying their own “out of touch” state government when it comes to sanctuary city/county/state status.

Foreign Policy

Remember the big dustup over NATO not paying their fair share?

Since that series of criticisms and comments about NATO not paying their fair share, coupled with the hint that the US might “mitigate” their support for NATO, there has been a very distinct turnaround.  The result is NATO allies in Europe and Canada will increase defense spending by 4.3 percent in 2017, according to official NATO statistics released last June according to a CNN article.

The report said, “the boost comes amid continued criticism from President Donald Trump, who has frequently slammed allies for not meeting NATO defense spending targets.”  Twenty-five NATO allies plan to increase spending in real terms in 2018, according to official NATO statistics.

Military Action

Just recently, there was action taken against Syria.  The press said we were headed to World War III. The Russians were threatening to attack more forces and retaliate (think Navy ships at sea).  And what happened? Nothing.

Russia condemns the action, but they are not with clean hands in this, and no action was taken.  The strike was effective, even though the Russians said initially they had stopped all incoming missiles. President Trump built a coalition to take this action.  Great Britain and France joined the operation, and now even Canada has signed on.  In fact, in a statement from NATO, Chief Jens Stoltenberg on Saturday said that all NATO allies backed the air strikes on Syria carried out by the US, UK, and France.

The bottom line is this: It’s about time we had a decisive leader in office.  The world had better believe President Trump is not all talk.  He does what he says.

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