Thoughts on Trump's tariffs?

[hj007]

why 5 does it take years?

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because if they're hit with 50% tariffs their products won't sell and Lesotho won't earn any USD, which they need to pay for other foreign goods. The impact of that is immediate.

If they had 5 years until the tariffs were implemented they'd be able to adjust to the loss of income. Same as any sudden job loss causes issues immediately to your finances.

The insane part is since the tariff is calculated incorrectly, is one of the highest, and since they're so poor it affects them far worse than most other nations. They're also so poor and small that Trump mocks them, and wouldn't give them the same pause/change since they're insignificant at the negotiating table. So a possible collateral damage country here in the war.

 

[s0lar]

Pro: Returning American production to its shores, and showing countries that its not a free-for-all bank account to be abused.
Cons: Implementation could have used more thought and slightly less aggressiveness. Not all production can be returned as some is just no longer viable.

So youre an American? With that pro and all?

 

[EADC]

Pro: Returning American production to its shores, and showing countries that its not a free-for-all bank account to be abused.
Cons: Implementation could have used more thought and slightly less aggressiveness. Not all production can be returned as some is just no longer viable.

Why is it other countries problems American companies off shored their production to extract more profit?

 

[Kaapie]

The view from China: “The US is not getting ripped off by anybody” “The problem is the US has been living beyond its means for decades. It consumes more than it produces. It has outsourced its manufacturing and borrowed money in order to have a higher standard of living than it’s entitled to based on its productivity. Rather than being ‘cheated’, the US has been taking a free ride on the globalisation train.”

 

[Rumple4skin]

I don't follow other countries politics in depth.
I don't even follow my own country's politics in depth
You won't see me frequent political threads.
I just saw here many don't understand what the goal of tariffs are.
And then I saw people thinking memes are facts.

So no, I cant agree or disagree on something I did not follow. Politics mixed with economics is not that simple. You must see who is bluffing, who is desperate, who hold the cards, who is too dumb to drop their ego etc etc. And If you can manage to figure that all out properly and have the real facts, you can maybe predict the end goal/results.

Politicians will do extreme things to divert attention from other things they doing. So trying to make sense from a economical perspective is not always wise. Half of it is normally just hot air. That why I don't care for politics.

Not talking about politics. Just referring to the crazy formula he used to calculate tariffs on all countries. It's basically the trade deficit divided by imports.

I understand if you agree with tariffs to some extend in general, but to agree with Trump's specific tariff fiasco does not make sense.

 

[Gordon_R]

Not just tariffs, but also trade specific fees:

US lays out plans to hit Chinese ships with port fees

The charges will start in 180 days and rise in the coming years.

www.bbc.com

The US Trade Representative's (USTR) announcement is less severe than a plan floated in February to hit Chinese vessels with charges of up to $1.5m (£1.1m) for each American port they visit.

It said the fees would start to be charged in 180 days time and would rise in the coming years.

There have been concerns that the measures would further disrupt global trade amid US President Donald Trump's tariff policies.

Under the measures, Chinese ship owners and operators will initially be charged $50 per ton of cargo, rising by $30 a ton each year for the next three years.

Fees on Chinese-built ships will start at $18 a ton or $120 per container and also rise over the next three years.

The USTR said a second phase of actions will begin in three years to favour US-built ships carrying liquified natural gas (LNG). These restrictions will rise incrementally over the following 22 years.

The announcement came as global trade is already being disrupted by Trump's trade tariffs, experts have said.

Cargoes originally destined for ports in the US from China are instead being redirected to European ports, a trade group said.

Businesses have warned this will raise prices for US consumers.

 

[Pegging]

Don't be salty. Its good fun when President Chump is shown up for what he is.

So Chump cancelling tariffs on electronics...is that China losing??

Lets all keep our fingers crossed and hope China dumps the near trillion dollars worth of US treasuries they hold.

So how does that hurt the USA?

Somebody will buy the treasuries if China sell them.

China will make huge losses if they sell them.

And it’s something they can only do once, then they no longer have that card.

Can China use US debt in its tariff war against the US?

China is the second largest holder of US debt and could, theoretically, dump it to devalue the dollar.

www.aljazeera.com

 

[DodgeThis]

So how does that hurt the USA?

Somebody will buy the treasuries if China sell them...

Who do you think has an appetite for that junk? Russia?

 

[Alexander the Straight]

In environments with potentially high inflation, Treasury yields typically rise (and prices fall) in order to compensate investors for the risk that their money will be worth less upon the bonds’ maturity.

Put simply, buying US treasuries right now is a risky proposition at best.

 

[Kaapie]

This 'trade war' game has entered a new dimension.

https://twitter.com/x/status/1919214089865167285