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Relocating a factory to the US is expensive both as an investment and in its operation. Thst means you're thinking on a time horizon of decades not years. So if
by atoav 2y ago
Relocating a factory to the US is expensive both as an investment and in its operation. Thst means you're thinking on a time horizon of decades not years. So if you're the CEO of a corp that is expected to be incentivized to move production to the US you would want to know how long those tariffs are going to last.
And lets face it, even if Trump instigated those tariffs via executive order at day 0 and didn't touch them till the expected end of his office that would not be enough incentive to relocate production. (1) because he could change the tariffs literally at any point (and he did just that) and (2) because any president after could just reverse the executive order immidately.
The erratic way Trump installed, modfied and communicated the tariffs run counter to the communicated purpose. E.g. why of all things excempt computers and electronic devices now from the tariffs? Why put a 10% tariff on goods from dirt-poor countries whose goods you already buy at an rate bordering on exploitation to your own benefit.
The way I see it, either he has no idea what the hell he is doing, or he is doing it for another purpose, e.g. insider trading. And I see myself exceedingly tired of journalists trying to read the tea leaves on a madman.