Hitting Hollywood; Mao as symbol of resolve; Export controls conference; EU-China talks; He Weidong

SCHEDULING NOTE: I am at a conference next week and so there will be no regular newsletter Monday, Tuesday or Wednesday. If something interesting happens I will try to send out an abbreviated issue.

The White House confirmed today that with the increase President Trump announced Wednesday the US tariff rate on PRC goods is now 145%.

As I send this newsletter Thursday evening DC time the only substantive PRC reaction to the Wednesday increase was to announce that they will now “moderately reduce the number of imported US films”.

We have all of Friday ahead of us so perhaps Beijing will announce something more substantive before the end of the day.

Summary of today’s Essential Eight:

1. PRC cuts US film quota - On Thursday the film regulator announced that because “the US government's erroneous practice of imposing excessive tariffs on China will inevitably further diminish Chinese audiences' goodwill toward US films” they will now “moderately reduce the number of imported US films” while…