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have to have free and fair trade and we can look at some of the other countries that we re talking about here but in the end when the biggest part of our trade deficit, 50% is china, we have to look at it. we can t ignore it. the one thing i will say about this president, he s not ignoring things. we ve had republican and democrats in the past who have ignored this and that s why we ve run into the situation we re in. steve, what does germany export that we don t have that we could export to reduce our deficit? well, they export things like very sophisticated machine tools that the chinese need to build those we don t make them here? not as well as germany does. germany is really good at that. german cars are obviously very popular in china, they export a lot of cars. our cars are made in china but not as popular. so congressman, we started out this segment by noting you were a fiscal conservative. what do you make of members of this cabinet? pruitt, mulvaney to name a few.
uncomfortable so you think he s negotiating? i think it s a starting point. remember, when the tariffs first came out there was a big shock and now we ve pulled it back. we ve excluded canada, we ve excluded mexico. we re starting to pull things back but in the end we have a problem with china. steve, take us through your charts on the trade issue with china. what is the issue? i think we would all agree we have a trade problem with china. i think the lead in you read in terms of how this unfolded and i would say congressman i think the way this has been handled is about as bad a way as you can handle a serious problem. let s look at the problem and start with china. joe mentioned that trump doesn t always tell the truth about these things so we ll show you some facts. so first, if you go back to the 1980s we had no trade with china. it was a very closed economy and then in 2001 they were admitted to the world trade organization and got preferential tariff treatments on their