'Little Trump' DeSantis: "End Most-Favored-Nation Treatment for China... Powell Must Change Too"

"The Chinese Communist Party is eating this country's lunch every day." Ron DeSantis, the Florida governor from the U.S. Republican Party known as 'Little Trump,' unveiled tougher economic policies toward China, including the abolition of trade privileges, on the 31st (local time) ahead of his bid for the next presidential election.

[Image source=Reuters Yonhap News]

According to the Wall Street Journal (WSJ) and the Associated Press (AP) on the 31st (local time), Governor DeSantis revealed a list of ten major economic pledges at a campaign event in New Hampshire. First, he confirmed his intention to withdraw the 'Permanent Normal Trade Relations (PNTR)' status granted to China. Previously, the U.S. had granted PNTR status and most-favored-nation treatment to China since 2000, conditional on China's accession to the World Trade Organization (WTO). If most-favored-nation status is revoked, U.S. tariffs on Chinese products will rise significantly, inevitably damaging China's exports to the U.S.

Additionally, Governor DeSantis pledged to ban imports of Chinese goods that infringe on intellectual property rights and to prevent companies from sharing key technologies with China. This move represents a stronger pressure on China than the Biden administration, which has regulated advanced semiconductor exports under the banners of decoupling and de-risking. He defined these economic policies toward China as "regaining economic control and restoring economic sovereignty from China." Through this, he aims to end the "abusive relationship" and reverse the trade deficit. He also announced plans to block purchases of strategic assets by members of the Chinese Communist Party and to implement various tax cuts and measures to encourage U.S. companies in China to return.

He also criticized the Federal Reserve (Fed) and Fed Chair Jerome Powell. Governor DeSantis argued that the Fed, accepting the Biden administration's claim that inflationary pressures were temporary, printed trillions of dollars, fueling inflation further, and then caused harm to ordinary Americans through rapid interest rate hikes. Therefore, he said a new chairperson is needed to pursue maximum employment and price stability. He stated, "The Fed should focus on price stability," and added, "The Fed is not a social engineer and should not be allowed to become an irresponsible central economic planner." Powell, appointed during the Trump administration, has a term until 2026. However, WSJ noted that Governor DeSantis did not mention whether Powell would be dismissed during his term, and it is unclear whether the president has such authority.

Furthermore, Governor DeSantis announced plans to restrict pension fund managers from considering factors like climate change when making investment decisions, a stance directly opposed to the Biden administration's emphasis on climate change response. He emphasized, "I will also overturn the federal government's attempt to force Americans to buy electric vehicles," and "I will revive the American automobile industry." He also explained that he would mandate work requirements for welfare programs and enforce immigration laws to protect American workers. Earlier, he had announced plans to abolish the automatic citizenship granted to those born in the U.S. Additionally, regarding student loan forgiveness, which the Biden administration had pursued but was blocked by the Supreme Court, he stated that universities should be held responsible. He criticized, "It is wrong for a truck driver to pay off the debt of someone with a gender studies degree."

The economic pledges unveiled by Governor DeSantis on this day are analyzed as focusing on building a tougher conservative image to capture Republican voters' support amid a persistent gap in approval ratings with former President Trump. He claimed, "By maintaining low taxes, eliminating bureaucracy, and encouraging investment, we can achieve 3% annual economic growth."

Governor DeSantis has been mentioned as an alternative to former President Trump in the Republican presidential race. In a poll conducted shortly after the midterm elections in November last year, DeSantis surpassed Trump to become the preferred Republican candidate for the next presidential election. However, with Trump's legal risks increasing this year, DeSantis's presence has weakened. According to the New York Times (NYT)-Siena College poll released on this day, DeSantis's support as a Republican presidential candidate was 17%, far behind Trump's 54%. The NYT reported that Trump was rated superior in almost all areas except morality, including executive ability and likelihood of winning the presidency. The first Republican presidential primary debate for the 2024 election is scheduled for August.

This content was produced with the assistance of AI translation services.