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NY Fed report says Americans pay for almost all of Trump's tariffs, water is wet
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The Barbarian
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They dematerialized rather quickly, after tariffs crippled our ability to compete with the rest of the world.
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- Oct 17, 2009
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LOL! You clearly don't understand how tariffs work.
Manufacturing jobs dematerialized in the USA when unions forced companies to pay excessive wages, and when govt. regulations became overly burdensome and costly to manufacturers. That's why they moved overseas. Tariffs bring those companies back to this country by making it more cost effective to do business here.
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7thKeeper
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Well it certainly didn't do it for VW Group. They announced that due to the tariffs making it financially unviable, the planned Audi plant isn't going to be built. They're instead in talks with Canada at the moment to build it there alongside the battery factory there.
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- Oct 17, 2009
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Maybe they should have planned on buying parts from the United states instead of from overseas where they would get hit with tariffs.
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Bradskii
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They didn't because if you could get them then they'd be more expensive. You will pay more for the car. I really don't understand why this has to be explained to you. From here: Sourcing Car Parts from Overseas: Is It a Good Idea? - Gear Fixup
'One of the main advantages of sourcing car parts from overseas is the potential for significant cost savings. Countries like China, India, and Taiwan often offer parts at lower prices due to cheaper labor and production costs.'
And here: The U.S. Automotive Industry Supply Chain: Challenges and Transformations
'Like the rest of the world, the recent U.S. automotive industry supply chain also relies on a global network for its parts and materials. It is now a matter of fact that big American auto manufacturers aren’t so American anymore. '
Who in heaven's name is going to start building a factory to make, for example, transmissions specifically for a particular model when they can get them from Japan of Korea at a much lower price. Well, sez you, hit those companies with tariffs so it prompts someone in the US to think about building that factory. In the meantime, cars are more expensive for you to buy because US companies are paying the tariffs!
Then what happens? Well, the SC says Trump can't unilaterally impose those tariffs. So the guy building the factory has just wasted his money putting in the foundations. Then Trump imposes a 10% tariff. Then he says, literally the following day, it's 15%. And no-one know what in blue blazes the situation is going to be tomorrow, let alone in the couple of years it will take to build that factory.
The situation as it stands now is that umpteen businesses in the US building everything that you'll need to buy at some point, are sourcing materials and parts from overseas (because it means that you'll pay less for whatever they're making) but they have absolutely no idea whatsoever how much they are going to need to pay when those materials and parts get to the US. The cost went up 5% between Friday and Saturday. Will they pass on the extra costs to you? Probably. Will they make less profit? Quite possibly. Will they have to lay off some workers? Freeze or even drop wages? Maybe go out of business?
You've got no idea because you don't know what's going to happen from one day to the next. And, this is the really scary bit, neither does Trump!
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Hans Blaster
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Congratulations on your winning of the famous Inhofe Golden Snowball Award.
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- Oct 17, 2009
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That would be changed if those companies come back home where they belong.
Democrat-enacted regulations and expenses that drove companies out of this country are the reason they aren't here anymore. President Trump is making America a more business friendly environment.
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Are you saying we should be in favor of buying from companies that use slave labor so they can sell their products at lower prices?
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The Barbarian
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That's a testable assumption...
During Trump’s First Year, the Manufacturing Industry Lost 108,000 Jobs
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7thKeeper
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But the tariffs are preventing that.
Business friendly... Aka less regulation, worse quality because why not, you can make it cheaper? And sorry but unless you lower the quality of life down to same level as other countries and make labour as cheap, those jobs won't come back in droves.
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Yes, the 1st year when the economy was still trying to recover from the Biden era.
See post #21: NY Fed report says Americans pay for almost all of Trump's tariffs, water is wet
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Bradskii
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What a nonsensical option. You buy from reputable companies that produce what you need in a responsible manner that represents good value for money.
If that's the only point you can make against buying overseas goods then that only serves to indicate the paucity of your argument.
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From your post:
'One of the main advantages of sourcing car parts from overseas is the potential for significant cost savings. Countries like China, India, and Taiwan often offer parts at lower prices due to cheaper labor and production costs.'
Now, to define certain words:
Cost savings/lower prices=cheaper
China= where slave labor takes place
Cheaper labor=again, slave labor
Sounds like an advocation of buying "cheaper" stuff from places like China where slave labor takes place, which results in the "cheaper labor and production costs" you cited.
IOW, you agreed with what I asked you, but pretended to disagree by rewording it with synonymous words. (Synonymous means words that are different but have the same meaning).
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Bradskii
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Like I said, if that's your only 'argument'...
And further info for your enjoyment: Trump raises tariffs to 15% on imports from all countries
'The US has already collected at least $130bn in tariffs using the IEEPA, according to the most recent government data.
However, studies show that the vast majority of that sum – 90% – has been paid by US businesses and consumers.'
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The Barbarian
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During Trump’s First Year, the Manufacturing Industry Lost 108,000 Jobs
Well, let's take a look...
According to the Commerce Department:
During the Biden-Harris Administration, over 700,000 new manufacturing jobs have been created and over $910 billion in private manufacturing investments have been announced nationwide.
Trump managed to reverse that trend in one year.
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