4 ms·
> Doing specific tariffs for strategic / national security purposes is one thing, but that is obviously not what is happening here: It's not so obvious to me.
by bitshiftfaced 1y ago
> Doing specific tariffs for strategic / national security purposes is one thing, but that is obviously not what is happening here:
It's not so obvious to me. If they left certain countries out, then bad actors could set up shop in those countries to exploit their low tariff. For example, Chinese companies opened factories in Mexico after the first round of tariffs hit China.
As for why not targeting certain items, it seems pretty clear that Trump is concerned more with trade imbalance itself than security reasons (he puts it as, "make America wealthy again"). Instead of creating very complex regulations that are always behind the constantly changing market, the policy is simple. It forces the other country to figure out what's causing the trade imbalance.
- throw0101d 1y ago> It's not so obvious to me. If they left certain countries out, then bad actors could set up shop in those countries to exploit their low tariff. For example, Chinese companies opened factories in Mexico after the first round of tariffs hit China. Is that why Israel got 17% tariffs but Iran has 10%? Or why Diego Garcia—who is run by the UK—also got hit with tariffs, even though the only inhabitants are UK and US military personnel. There's a bunch of B-2s there right now: * https://www.twz.com/air/b-2-spirits-amassed-on-diego-garcia-underscore-hardened-aircraft-shelter-debate https://www.twz.com/air/b-2-spirits-amassed-on-diego-garcia-... * https://newrepublic.com/post/193523/donald-trump-tariffs-us-military-base https://newrepublic.com/post/193523/donald-trump-tariffs-us-...
- bitshiftfaced 1y ago> Is that why Israel got 17% tariffs but Iran has 10%? Wouldn't tariffs being based off of the trade deficit explain exactly this? Also maybe this is not the best example since doesn't the US already impose sanctions on Iran?
- throw0101d 1y ago> Wouldn't tariffs being based off of the trade deficit explain exactly this? Also maybe this is not the best example since doesn't the US already impose sanctions on Iran? Yes, which is why the tariff rates are retarded. As someone observed: it's like being taxed not on your income, but on the number of vowels in your name.