• With: Donald Trump

    This is a rush transcript from "Your World," January 18, 2011. This copy may not be in its final form and may be updated.

    NEIL CAVUTO, HOST OF “YOUR WORLD”: Who’s on first today? What if I told you, contrary to all you have heard, not who you think, not Chinese President Hu Jintao, set to touch down at Andrews Air Force Base any minute right now -- you are looking at a live shot, but the guy he is going to be meeting for a private dinner a couple of hours from now.

    Yes, President Obama need not grovel with the leader of a country that owns nearly a trillion bucks of our debt, because Hu is who he is and China is the economic power it is because of us, because of all our spending on their stuff, without which, what if I told you tonight, Hu and China would just be stuck.

    Welcome, everybody. I am Neil Cavuto. And don’t believe me? Then maybe you would believe the Donald, because America’s ultimate deal-makers says we’re the ones in the best deal-making position and we’re the ones who should be calling the shots, and tonight it’s time we start acting like it.

    Donald Trump on the phone with me right now.

    Mr. Trump, very good to have you. Thanks for joining us.

    DONALD TRUMP, CHAIRMAN & CEO, TRUMP HOTELS & CASINO RESORTS: Hi, Neil.

    CAVUTO: What do you make -- I mean, as we watch this delegation get ready, Vice President Biden and others, to greet the Chinese president upon his arrival, we always tend go to him hat in hand because, quite literally, we owe him a lot of money.

    TRUMP: China is in such trouble without us. We’re rebuilding China.  And we are ones that have the power.

    Now, we are rapidly losing that power, because they’re going to be taking things over, but we’re the ones with all the power, because they’re making our products. They’re making -- they are rebuilding their cities with the money that we have and the jobs that they have, and it’s an absolute outrage.

    And then the president of China comes here, and we greet him, and Obama will drop to his knees and kiss his hand. And I don’t get it.

    CAVUTO: Now -- now, wait a minute.

    TRUMP: They’re manipulating...

    CAVUTO: Donald -- now, now, Donald, I love you dearly, but the president will not going to drop to his knees and kiss his hand.

    TRUMP: Let’s see what happens.

    (LAUGHTER)

    TRUMP: He’s done that before.

    (CROSSTALK)

    CAVUTO: No, no, no, no, no, no. 

    (LAUGHTER)

    CAVUTO: Careful. Donald, this is a family show.

    (LAUGHTER)

    CAVUTO: But what we’re saying is you think that we are always feeling beholden to the Chinese, when we hold a lot of the chits. What are those chits?

    TRUMP: Well, first of all, they are manipulating their currency, to a point where it’s very, very hard for us to compete with that currency.

    And I know because I’m a very big builder. And so many of the products that I order unfortunately come from China, because our companies can’t compete in terms of glass and many other products. They can’t compete with what China is doing.

    And, by the way, now they are trying to take the airline industry away and the air -- airline manufacturing industry. Wait until you see what happens to Boeing over the next five or six years, because you see that happening right now.

    What I am saying is this. They have totally taken advantage of this country. And instead of having fancy dinners for the president of China, I think our president should sit down and really have a heart-to-heart talk, because we are in big trouble if this country keeps dealing not only with China, but with OPEC and others, the way they’re dealing.

    CAVUTO: All right. I know you have said an earful on OPEC in the past. And I do want to focus on China right now.

    TRUMP: Well, it’s all happening. My predictions are happening.

    CAVUTO: Well, you know, to be fair, a lot of things you said would come to pass are coming to pass.

    But, on China, specifically, the fact that they have pulled back some of their ownership of our Treasury notes and bonds in the latest period, at that Treasury is releasing today, seems to rattle folks in Washington, that, boy, what if they pull back all the more?

    How would you, if you were president, Donald -- and a lot of people I know have been urging you to run for president -- but how would you deal with that if China is subtly saying, you know, you give us any grief, we -- we pull some more out?

    TRUMP: The problem is the Chinese do not respect us. They don’t respect our leaders. They cannot believe with what -- what they are getting away with. They don’t respect us, Neil.

    What we should do immediately is tax their product. They’re making hundreds of billions of dollars a year on us. We should tax their products immediately. Between all of the things they’re doing, including the manipulation, we should tax their product.

    And they can be our banker, because we’ll pay off those so-called loans so quickly, your head will spin. But what will happen is, as soon as we do tax their products, they will come, and it’ll be the opposite, as the expression -- you know, like the expression, they will drop to their knees when they see our president.

    But we don’t have the right people talking to the Chinese or talking to others, but we don’t have the right representatives, we don’t have the right leaders, we don’t have the right businesspeople, frankly, talking to their leaders. They don’t respect us, Neil.

    CAVUTO: What if we flipped it around, then, and did the Donald Trump thing, you know, told them, this is how we’re playing the game, we are not playing the game, and we’re going to get very tough with you? They start pulling securities out.

    TRUMP: It’s OK.

    CAVUTO: We start -- I would imagine a President Trump would then start urging Americans to buy less from China.