President Trump's 10% tariff proposal

The tariff issue is just the tip of the iceberg here. 10%, 20%, 50%…doesn’t matter. If it costs the company more to manufacture or import a product the price of the product is going to be increased to protect margins, which hurts the consumer.
Imo the bigger issue is the US is so dependent on all these other countries to use cheap labor to produce cheap products for consumers. Everyone always says buy American but it’s more of a catchphrase and a feel good statement in many regards as consumers would be appalled at the cost of many of these items if they were manufactured in the US.

 

Terrible BIG GOV garbage

 

Across the board tariffs are a tax hike on Americans and net job killer, GOP might as well rebrand themselves the commie party as they would be putting themselves even to the left of the mainstream Dem party on trade.

I’m on board with targeted tariffs where “dumping” or unfair practices can be demonstrated, but these tariffs are already a component to inflation, inflation which has finally been easing. You want more of that $@&t?

I’m opposed to the Chips Act on economic grounds, but I am begrudgingly ok with it only because having our own chips can be construed as a national security issue. But I could still see it failing if that pipeline of chips never materializes here. On the other had no such security issues with most consumer goods. Do we need big gov “protection” from shoes and handbags? Hell no.

 

Biden is a pro-union leftist who would be in favor of tariffs, particularly in industries such as steel. I don’t think there’s any mystery there at all.

The argument for the Chips Act is partly over Taiwan concerns I’m sure, but even without that we already experienced real chip shortages due to the pandemic. China shot themselves in the foot on trade.

 

leftism is what the people want - that’s why the parties are kissing cousins on eco policy

 

Chips Act is largely political theater. When a single wafer fab costs ~ 20 $Billion, an $80B outlay is nothing but political show. Further, until people realize that to be free of China the ENTIRE supply chain has to be moved out of China. The means laminates, SMDs, mold compound, test (wafer and final product) and assembly all have to be moved out of China or it is a waste of money building fabs in the US, that end up shipping wafers or die to China.

Further, getting out of China is insufficient. If a shooting war really started between China and the world, do people really think Taiwan, Vietnam and the Philippines are safe? Why in the world are all high tech companies moving out of China just to continue to do business with Chinese companies like Foxconn just because they moved assembly to Vietnam??

The American public is woefully ignorant. We saw that in the election of a career scammer. We saw that during the pandemic. We see it now with people being convinced that an economic war, followed by actual war is the only path forward to ensure our corporations continue to profit at the expense of, everyone.

 

Obviously WWIII is inevitable.

WWI was the nastiest scourge to humanity ever conducted, at least non-internally. The world followed that up with a worse one just 20 years later. And that first one was a “fresh” memory.

We are almost out of WWII vets to tell us what true calamity is. Not the one spoiled brats fantasize about on the chans and in churches.

What is this super-secret “info” Trump has?

I mean, was it in the bathroom boxes?

 

Well, “nationalism” was mos certainly the idea for those first two.

When your existence is shrinking into a ball and you consider every bump a threat to that existence, that’s when the chaos kicks off.

I myself am a “no fly zone” guy. Don’t be rubbing up bruv. But if I go to a concert, that is unworkable. Couldn’t even get through the line.

I have to accept that the entire world exists outside of my bubble. Otherwise I am on a path to oblivion. Even after I decimate every foe, well, here I am. Aaaaaaand, also oblivion.

 

What do you think is the point of tariffs???

Industry X gets undercut 10% by foreign competition, you slap a 10% on a product to protect the more expensive domestic producer - consumer choice (and not just retail consumers, but businesses as well) is then to pay up 10% higher to meet the tariffed price OR to curtail economic activity. You are correct “inflation” may not always reach the full amount of the tariff 1:1, but that occurs when the amount of the tariff is significant enough to curtail economic activity and trade. Either way the result is an inefficiency, an economic loss. There’s no result where prices stay the same AND demand stays the same. That 10% tax gets accounted for either with inflation or less demand at the tariff adjusted price.

You fancy yourself a fiscal conservative, right? Arguing for across the board 10% tax seems bizarre when we know the historical outcome of tariffs. Hell it was demonstrated during the last admin with those soybeans rotting in fields and other products targeted by the back and forth in the trade spat. That is what lost economic activity looks like. I think Covid sort of gave a reprieve on those developing and predictable economic issues, not a “reprieve” but a calamity that made all that an economic trifle in relative terms.

I also think there would have been far more pressure on Biden to repeal the tariffs, but for the fact China’s extended shutdowns and supply chain issues meant they couldn’t deliver those goods anyway! At least through ‘21 and ‘22 supply chain mooted tariff impacts imo. So any direct inflation those tariffs would have continued to cause, got lost in the wash of highly inflationary supply chain shortages and the other issues going on in China under their dictator (more and more companies diversifying at least to Vietnam due to “China risk”). But it should be pointed out Trump isn’t just talking about China here, he’s taking about doing this to “good” trading partners as well. That would potentially be $ trillions of goods tariffed rather than mere $10’s of billions as it stands now.

 

Lot of hands feeding pockets. This is independent of party affiliation. Why it’s called the swamp?

 

I have personally worked on two different fabs, both cutting edge for Intel, and they were not close to $20B. There’s been price escalation since then but I’d wager you’re looking more like half that, depending on what processes and support buildings need to be built or expanded (PUB, CUB, etc.). As for the Chips Act, we’re currently working on a Fab that the owner is working its damnedest to secure funds through the Act. Hundreds of millions for a small/medium fab makes a significant difference, as do local incentives waiving property taxes on the expansion machines.

 

Because the money coming in from tariffs is a tax that funds the government. With Trump, his 2017 tax cuts to the wealthy. For Biden, take your pick of social programs. How about student debt forgiveness?