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Tariffs will have negative impact if it’s on an everyday item. That group doesn't buy new luxury euro cars and wines every day. They buy domestic or Japanese

Tariffs will have negative impact if it’s on an everyday item. That group doesn't buy new luxury euro cars and wines every day. They buy domestic or Japanese and domestic beer and liquor. I’m convinced that east asia (Japan, Korea, Vietnam) will negotiate the tariffs down and that will bring Japanese/Korean vehicles and clothes prices down because China will need to lower prices to stay competitive to Vietnam and Korea and will just eat the tariff. Coffee will go up, but most food staples will not be all that volatile because Mexico got the out. Coffee is weird one though…because people will gladly pay 30% more for coffee on account of it being more an habit/addiction.

watwut 2y ago
They buy cheap. A lot of what is cheap is from abroad. Also, cheap domestically produced goods use foreign materials or parts. If the steel price goes up, everything from the steel goes up too. The tariffs are supposed to offset tax breaks for rich people. In their current form, they are basically tax on consumers. Mexico has old tariffs in place, they did not got an out. They do not have new tariffs put on them on top of previous tariffs. Even domestic foods can go up when fertilizers used to grow them are more expensive. Or when transportation is more expensive. China did not just "eat the tariff". First, tariff is paid by domestic consumer, foreign company is not paying that. Second, China announced retaliatory tariffs.
- kcplate 2y ago
  You should go back and read what I actually wrote. It seems like you just picked random sets of words and responded to them out of context of what I was saying.
- foobarian 2y ago
  > cheap domestically produced goods What cheap domestically produced goods?
kalleboo 2y ago
The question now is, what kind of tariff negotiations will be acceptable to Trump? Is it the numbers he used to justify the tariffs? The article we're commenting on shows Trump has always seen that any trade deficit at all is unacceptable. Even zero tariffs in Vietnam is not going to zero out the US's deficit with them, Vietnamese people can't afford to buy that many goods from the US , and the US can't manufacture that many clothes or shoes for their own market. Even Australia, which has a trade surplus with the US, got tariffs. What negotiations will work for them? Or will he take tiny, pointless wins just to sound strong like in the early negotiations with Canada/Mexico? Are the talking points just bluster?

watwut 2y ago

They buy cheap. A lot of what is cheap is from abroad. Also, cheap domestically produced goods use foreign materials or parts. If the steel price goes up, everything from the steel goes up too. The tariffs are supposed to offset tax breaks for rich people. In their current form, they are basically tax on consumers. Mexico has old tariffs in place, they did not got an out. They do not have new tariffs put on them on top of previous tariffs. Even domestic foods can go up when fertilizers used to grow them are more expensive. Or when transportation is more expensive. China did not just "eat the tariff". First, tariff is paid by domestic consumer, foreign company is not paying that. Second, China announced retaliatory tariffs.

kcplate 2y ago
You should go back and read what I actually wrote. It seems like you just picked random sets of words and responded to them out of context of what I was saying.
foobarian 2y ago
> cheap domestically produced goods What cheap domestically produced goods?

kalleboo 2y ago

The question now is, what kind of tariff negotiations will be acceptable to Trump? Is it the numbers he used to justify the tariffs? The article we're commenting on shows Trump has always seen that any trade deficit at all is unacceptable. Even zero tariffs in Vietnam is not going to zero out the US's deficit with them, Vietnamese people can't afford to buy that many goods from the US , and the US can't manufacture that many clothes or shoes for their own market. Even Australia, which has a trade surplus with the US, got tariffs. What negotiations will work for them? Or will he take tiny, pointless wins just to sound strong like in the early negotiations with Canada/Mexico? Are the talking points just bluster?