Trump slams China
Stocks rise after he pulls funding for WHO
President Trump blasted China Friday in a brief but blunt press conference where he said he’s “terminating our relationship” with the World Health Organization — an announcement that had the market rebounding.
He also lashed out at China for failing to move fast enough with the coronavirus and for being a lousy trade partner.
“China’s pattern of misconduct is well known,” Trump said. “For decades they have ripped off the United States like no one has ever done before.”
He added the U.S. has lost “hundreds of billions of dollars” dealing with China as they “raided our factories” and “off-shored our jobs.”
His afternoon address in the Rose Garden gave the stock market a slight boost, capping a strong week and month. Gold prices rose as did tech and health care stocks.
Asia expert Harry Kazianis told the Herald in an email that Trump is setting the tone and spelling out the consequences of sitting on the sidelines.
“The good news is Trump is spending the time educating citizens on this threat, a threat that is not easy to articulate as we hand Beijing lots of cash every year,” said Kazianis, senior director for Korean studies at the conservative Center for the National Interest.
“Right now, there are clear and present dangers coming from China, but, so far, most Americans have a hard time seeing it when they spend hundreds of billions of dollars in Chinese goods every year,” Kazianis added.
He said Trump has now “cast Beijing into a cold war-style adversary.”
It comes as the world — and economies — struggle to fight back from the coronavirus pandemic that first spread in Wuhan, China — and which the WHO and China are accused of being slow to warn about.
“Because (China) failed to make the requested and greatly needed reforms, we will today be terminating our relationship with the World Health Organization and redirecting those funds to other worldwide and deserving urgent global public health needs,” the president announced.
The U.S. funnels about $450 million to the WHO each year; China kicks in $40 million, Trump noted.
The president also ended Hong Kong’s special trade status and suspended visas of Chinese graduate students suspected of conducting research on behalf of their government.
The moves — especially backing away from WHO support — are risky, said one global health watchdog.
“Today’s decision for the U.S. to exit from the World Health Organization will increase death rates and threaten global security,” Dr. Keith Martin, executive director of the Consortium of Universities for Global Health, said in a statement shared with the Herald. “Those who will be most affected are the world’s poorest.”