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I can't speak specifically to these new items, but just to give an example, many auto experts came out and said the steel and aluminum tarrifs would raise car p
by nodesocket 8y ago
I can't speak specifically to these new items, but just to give an example, many auto experts came out and said the steel and aluminum tarrifs would raise car prices, but so small it's a rounding error. Typically under $100 or $200 per car.
Point being, people jump to conclusions without seeing the impact on the total cost of goods. Meanwhile dismissing the point, putting more capital into the pockets of US based companies which improves the economy.
- kayfox 8y agoThis will eat into profits for US based electronics manufacturers, who in many cases may already be under contract for assemblies or finished products at particular price points. It will also make it even more uneconomical to manufacture electronics assemblies or finished products in the US, a business that has been drying up for years.
- sharemywin 8y agoBecause china won't retaliate? Which won't cause us to retaliate? seeing a pattern?
- HeyLaughingBoy 8y agoYou can't just look at the end product, you have to see the tariffs' impact all the way down the supply chain. The effect on the final product may be minimal but the intermediate manufacturer of, e.g., the rails that hold the car seats in place may end up having to lay off half their workforce. If the product that makes up 80% of your business has a 15% margin and now your main raw material input rises in price by 25%, you could be in serious trouble.