### Comment:
Both party agreed on a mechanism and China at the last minute tried to backtrack. China does not want any of this, I agree, but the US is giving them no choice really. China needs economic development this tarifs means a lot less growth short term and less foreign investment in the long run. China has a huge debt issue. This could lead to economic catastrophe for them.

### REPLY:
Agreed that there is incentive to deal. And maybe that’s enough to get them to compromise. But I haven’t seen any evidence of that. Both leaders are by nature uncompromising.  
  
 I’m not saying I know what’s going to happen. None of us do. Just that to this point, breaking off the eleventh round of negotiations with no deal, and no scheduled talks, screams that no progress has been made or will be made in the near future.

### END.