Here's what Trump got wrong in CNBC interview

[Viceroy]

(CNN)During his Monday morning interview with CNBC, President Donald Trump claimed that China has "lost 15 to 20 trillion dollars in value since the day I was elected." Facts First: This isn't even close to true; nor is it clear what Trump is actually referencing here. The entire size of the Chinese economy is estimated to be around $13 trillion, so it's impossible for it to lose more than it is worth. On top of that, China's economy has continued to expand during Trump's time in office. China's GDP growth has remained above 6% since Trump was elected in November 2016. While Chinese economic growth has started to slow, that trend was already underway before Trump was elected. In 2017, China's GDP was $12.238 trillion, according to the World Bank. While current estimates are hard to come by, China's economy grew by 6.6% in 2018, which would put the size of the economy just over $13 trillion. If China were to lose $15 to $20 trillion it would completely wipe the country off the face of the world's economic map. The bigger point Trump seems to be making here is that his trade policies are hurting China's economy.

That at least does carry a kernel of truth. (As economists have noted, however, the US economy is harmed by these tariffs as well.) Since his first round of tariffs against China went into effect last summer, US imports from China have dropped sharply, as companies have begun to switch their sourcing to other East Asian countries like Vietnam. In the first 4 months of 2019, Americans imported about 12% less from China compared to the same period last year. According to the research firm Capital Economics, the 25% tariff on all Chinese goods that Trump is set to impose could shave 0.8 percentage points off China's GDP. Just under half of that GDP decrease, Capital Economics estimates, should have already happened due to lower tariffs on intermediate goods such as steel. Over the course of a year, this estimated 0.8% hit could account for roughly $100 billion dollars -- nowhere near Trump's $15 to $20 trillion figure.