America has a lot to look forward to in 2020, according to White House trade adviser Peter Navarro.
He pointed to the deals with China, Canada, Mexico, Japan and South Korea, which combined, account for more than 60 percent of all U.S. trade, as providing a tailwind for the economy, adding that they recently passed the $738 billion National Defense Authorization Act is just icing on the cake.
“It’s gonna be a boom year in 2020 for the American economy,” Navarro told “Fox & Friends” co-host Brian Kilmeade. “I’m looking at growth closer to 3 percent than 2 percent.”
As part of the U.S.’ partial trade deal with China, Beijing agreed to buy $200 billion of U.S. products over the next two years from the manufacturing, energy, agriculture and services sectors, in addition to protecting against intellectual property theft and technology transfer.
Navarro said that in preparation for those purchases, Beijing announced on Monday that it was cutting tariffs on 850 U.S. products, including frozen pork, avocados and pharmaceuticals, in order to avoid an “added cost on their consumers” when they buy those products. Specifically, he singled out pork, of which China has a massive shortage due to an outbreak of African swine flu.
Navarro also lauded other parts of the trade deal as wins, including financial markets access, forced technology transfers and protections for intellectual property.
He said the Defense Authorization Act and the appropriation bill passed last week are “a combination lock that clicks,” opening up everything else.
“You’ve got stronger consumer. You’ve got strong exports now with the trade deals and now you will have a powerful government engine driving this,” Navarro said.
He thinks the recent trade deals will propel the Dow Jones Industrial Average over 30,000 next year – at least another 5 percent above the 28,551.53 where it settled Monday.
“It going to be a great year for America,” he said.