Trump is reportedly looking into hitting Beijing with 'antique' debt obligations from Imperial China
The Trump administration amid the U.S.-China trade war is apparently examining the "loony" idea of going to Beijing with century-old debt obligations.
Owners of 100-year-old Chinese bonds have been asking President Trump to get Beijing to honor them, Bloomberg reports, with the administration currently "studying" this "unlikely prospect." This debt hasn't been recognized by the People's Republic of China, but Trump, Treasury Secretary Steven Mnuchin, and Commerce Secretary Wilbur Ross have reportedly held meetings with bondholders to discuss it.
In fact, Jonna Bianco, who is leading an organization that's been lobbying Trump in hopes that these bonds can become an unexpected tool in the U.S.-China trade war, suggested to Bloomberg that these debt obligations adjust to about as much as the U.S.' $1 trillion debt to China. "What's wrong with paying China with their own paper?" she asked.
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.
Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
Still, Duke University law professor Mitu Gulati told Bloomberg that "I think everyone who works for Trump at the Treasury Department thinks this is loony," although Gulati couldn't help but be intrigued, "because at a legal level these are perfectly valid debts." So could the U.S. really gain an upper hand in its trade war with China thanks to a bunch of people riffling through their attics looking for dusty old pieces of paper? Probably not, but for 2019, it sounds about right.
Create an account with the same email registered to your subscription to unlock access.
Sign up for Today's Best Articles in your inbox
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
Brendan worked as a culture writer at The Week from 2018 to 2023, covering the entertainment industry, including film reviews, television recaps, awards season, the box office, major movie franchises and Hollywood gossip. He has written about film and television for outlets including Bloody Disgusting, Showbiz Cheat Sheet, Heavy and The Celebrity Cafe.
-
The England kit: a furore over the flag
Why everyone's talking about Nike's redesign of the St George's Cross on the collar of the English national team's shirt has caused controversy
By The Week UK Published
-
Crossword: March 29, 2024
The Week's daily crossword puzzle
By The Week Staff Published
-
Sudoku hard: March 29, 2024
The Week's daily hard sudoku puzzle
By The Week Staff Published
-
Israel concedes it may not be able to destroy Hamas
Speed Read Despite five months of war in Gaza, Israeli intelligence officials admit the militant group eludes them
By Peter Weber, The Week US Published
-
Trump, billions richer, is selling Bibles
Speed Read The former president is hawking a $60 "God Bless the USA Bible"
By Peter Weber, The Week US Published
-
Trump gets $289M break, first criminal trial date
Speed Read The former president's fraud bond has been reduced to $175 million from $464 million
By Peter Weber, The Week US Published
-
US-Israel rift widens after UN cease-fire resolution
Speed Read The U.S. declined to veto a U.N. resolution calling for a two-week "immediate cease-fire" in Gaza
By Peter Weber, The Week US Published
-
New Jersey first lady exits race to replace Menendez
Speed Read Tammy Murphy dropping out paves the way for Rep. Andy Kim to become the state's next senator
By Peter Weber, The Week US Published
-
Russia blames Ukraine for deadly ISIS Moscow attack
Speed Read Putin has ignored the Islamic State's claim of responsibility for the concert hall shooting
By Peter Weber, The Week US Published
-
Trump-RNC pact puts Trump legal bills ahead of GOP
Speed Read The former president has struck a deal with the Republican National Committee to put donations toward his legal bills
By Peter Weber, The Week US Published
-
Vietnam president resigns amid scandal
Speed Read Vietnam loses its second president in two years as Vo Van Thuong steps down
By Peter Weber, The Week US Published