Varney: How Trump can hold China accountable
'Making China accountable will be popular in the long term'
FOX Business’ Stuart Varney, in his latest “My Take,” argues President Trump is not happy with China’s recent behavior amid coronavirus and rising tensions in Hong Kong, as the conversation around accountability heightens.
“We're about to hear from the president,” he said. “He's ‘not happy’ with China. The Hong Kong crackdown, lying about the virus, stealing our science. He's really ‘not happy.’ What can he do?”
Varney said there are several options in holding China accountable including new tariffs, offering financial incentives to remove American companies from China, ending special trading status with Hong Kong and targeting college students with Chinese military ties.
VARNEY: SLOW CORONAVIRUS REOPENING WILL CAUSE 'HOBBLED' ECONOMIC RECOVERY
“That appears to be happening already,” he said. “Maybe there are other options. We'll find out soon. But clearly the world's two largest economies are on the brink of another clash and that means trouble for everyone.”
President Donald Trump speaks as he receives a briefing on the 2020 hurricane season in the Oval Office of the White House, Thursday, May 28, 2020, in Washington. (AP Photo/Evan Vucci)
Since Trump has the support of most Republicans, Varney asked where the Democrats stand in the dispute. Varney pointed out that former Vice President Joe Biden, back in 2011, made a speech that invited China into "all levels" of U.S. government.
"He flat out opened the door to China and China walked right through it," he said. "Joe Biden cannot now accuse the president of being weak."
Varney said what he’s looking for is the market’s reaction as a response to Hong Kong’s freedom being “trampled” on.
GET FOX BUSINESS ON THE GO BY CLICKING HERE
“I don't think it will be popular because no freedom means less trade and less profit,” he said.
"Punitive" tariffs won’t be popular either, Varney said, for the same reasons, but holding China accountable might be worth it in the long run.
“I do think that making China accountable will be popular in the long term, especially if money and jobs return,” he said. “When hardline communists are allowed to run rough-shod across the globe, democracy takes a hit and so does capitalism. Wall Street doesn't care much for communist China.”
CLICK HERE TO READ MORE ON FOX BUSINESS