4 ms·

Trump has backed down on most of the outrageous tariffs (200% tarriff on China). The alternative was a false reality that the EU believed because they are scare

Trump has backed down on most of the outrageous tariffs (200% tarriff on China). The alternative was a false reality that the EU believed because they are scared of Trump and bad at negotiating. I'm glad the American people at least know how weak the EU is, we should elect someone next time that will bring those tariffs up to 100%, and the EU will have to take it because it's better than a 200% tariff alternative. That's just being realistic, right?

rsynnott 1y ago
This is a rather confused view of the situation. 30% tariffs on EU imports would be very bad for _the US_. Trump tends to present trade as a zero sum game, but it very much isn’t; outside of limited scenarios (generally developing countries protecting otherwise unviable local industry with targeted tariffs), tariffs generally hurt both sides.
- graemep 1y ago
  Trump may present trade imbalances as a zero sum game, I am pretty sure he does not believe it. The real thinking is that being a net importer gives you more negotiating power so you can use that to get a better deal. its well worth looking at what people like Miran and Bessent said (before they were in government) to see what is driving all this.
graemep 1y ago
As far as I know (am I mistaken?) the US reduced tariffs to 10% in return for China reducing tariffs to 10%, and reducing restrictions on the exports of rare earths. That sounds more like China backed down than the US did. The EU is a lot weaker than China. China dominates critical areas of manufacturing, and does not have the level of dependence Europe (non-EU as well) has on the US - I hardly need remind people here of the dependence in IT systems.
- stubish 1y ago
  China put retaliatory tariffs in place and placed restrictions on the exports of rare earths, calling the US bluff and forcing them to negotiate down to where things stand today.
Phelinofist 1y ago
Man, you are really butthurt about the EU, see also your comment on the Mistral/ASML post

rsynnott 1y ago

This is a rather confused view of the situation. 30% tariffs on EU imports would be very bad for _the US_. Trump tends to present trade as a zero sum game, but it very much isn’t; outside of limited scenarios (generally developing countries protecting otherwise unviable local industry with targeted tariffs), tariffs generally hurt both sides.

graemep 1y ago
Trump may present trade imbalances as a zero sum game, I am pretty sure he does not believe it. The real thinking is that being a net importer gives you more negotiating power so you can use that to get a better deal. its well worth looking at what people like Miran and Bessent said (before they were in government) to see what is driving all this.

graemep 1y ago

As far as I know (am I mistaken?) the US reduced tariffs to 10% in return for China reducing tariffs to 10%, and reducing restrictions on the exports of rare earths. That sounds more like China backed down than the US did. The EU is a lot weaker than China. China dominates critical areas of manufacturing, and does not have the level of dependence Europe (non-EU as well) has on the US - I hardly need remind people here of the dependence in IT systems.

stubish 1y ago
China put retaliatory tariffs in place and placed restrictions on the exports of rare earths, calling the US bluff and forcing them to negotiate down to where things stand today.

Phelinofist 1y ago

Man, you are really butthurt about the EU, see also your comment on the Mistral/ASML post