Tarriffs/Trade War
- Thread starter eyephone
- Start date
NEW -> Contingent Buyer Assistance Program
I haven't read all 2,000 pages of the agreement, but the things that stick out to me are:
1. 75% domestic sourcing for automobile parts.
2. Clear definitions of what domestic sourcing means
These two things close a back door loophole that China has been exploiting for years. They can no longer flood North America with cheap parts manufactured by slave labor.
Mexico is happy because they have just elected a populist president and it counts as a win for him as well. Their existing manufacturing won't be dismantled with this agreement. There are wage requirements that help both countries, so not only has Mexico saved jobs, but they will be higher paying jobs. Yet the incentive going forward will be for manufacturers to open up shop in the US and not to head South in search of cheaper labor costs.
Nobody claimed that Mexico had to lose in order for the US to win as your comment insinuates.
Don?t dodge the question
You were the first one to sing praises on how great the trump deal was and how good a negotiator he was
Shouldn?t the burden be on you to prove it ?
I am just trying to expose your scam
I know the deal is not that ?big of a deal? and I will explain why before the day is over but I want to make sure everyone who is reading this thread sees what?s going on first.
This is similar to your previous claim of a ?bond bubble? that you very quietly slunk away from
You're just trying to bait me with trollish posts. Sorry, I won't be wasting further time with you.
morekaos
Well-known member
Winning!
Trump: Trade deal with Canada 'on track' for Friday
https://www.washingtonexaminer.com/news/trump-trade-deal-with-canada-on-track-for-friday
US-Mexico trade deal could allow Trump to put more pressure on China - TDS
https://www.fxstreet.com/news/us-mexico-trade-deal-could-allow-trump-to-put-more-pressure-on-china-tds-201808271951
Trump: Trade deal with Canada 'on track' for Friday
https://www.washingtonexaminer.com/news/trump-trade-deal-with-canada-on-track-for-friday
US-Mexico trade deal could allow Trump to put more pressure on China - TDS
https://www.fxstreet.com/news/us-mexico-trade-deal-could-allow-trump-to-put-more-pressure-on-china-tds-201808271951
Trump supporters still have no idea what actually was signed
They just want to claim a ?deal? and high five so their brains can continue on the happy MAGA journey unfettered by reality ? you know posting in 25 size font in purple is really therapeutic
But no one can still explain why Mexico is so eager to jump on and sign this deal (Hint: it is good for them) . I will explain in detail once any of these economic experts here write a few lines of original thought rather than copying and pasting headlines .
They just want to claim a ?deal? and high five so their brains can continue on the happy MAGA journey unfettered by reality ? you know posting in 25 size font in purple is really therapeutic
But no one can still explain why Mexico is so eager to jump on and sign this deal (Hint: it is good for them) . I will explain in detail once any of these economic experts here write a few lines of original thought rather than copying and pasting headlines .
Loco_local
Active member
Do you file this under #winning or #whatever?
https://www.cnbc.com/2018/08/29/reu...teel-aluminum-quotas-commerce-department.html
Liar Loan
Well-known member
fortune11 said:Trump supporters still have no idea what actually was signed
They just want to claim a ?deal? and high five so their brains can continue on the happy MAGA journey unfettered by reality ? you know posting in 25 size font in purple is really therapeutic
But no one can still explain why Mexico is so eager to jump on and sign this deal (Hint: it is good for them) . I will explain in detail once any of these economic experts here write a few lines of original thought rather than copying and pasting headlines .
I haven't read all 2,000 pages of the agreement, but the things that stick out to me are:
1. 75% domestic sourcing for automobile parts.
2. Clear definitions of what domestic sourcing means
These two things close a back door loophole that China has been exploiting for years. They can no longer flood North America with cheap parts manufactured by slave labor.
Mexico is happy because they have just elected a populist president and it counts as a win for him as well. Their existing manufacturing won't be dismantled with this agreement. There are wage requirements that help both countries, so not only has Mexico saved jobs, but they will be higher paying jobs. Yet the incentive going forward will be for manufacturers to open up shop in the US and not to head South in search of cheaper labor costs.
Nobody claimed that Mexico had to lose in order for the US to win as your comment insinuates.
Stick w data and less sermonizing when explaining the new trade deal . I am sure your mortgage clients prefer you focus on numbers when packaging them as opposed to waxing eloquent about the beautiful par coupon
Original content is 75 percent mandate now , right .
What was it before ?
How many cars are actually affected by this change ?
The devil is in the details which no cult member wants to pay attention to .
Original content is 75 percent mandate now , right .
What was it before ?
How many cars are actually affected by this change ?
The devil is in the details which no cult member wants to pay attention to .
Liar Loan said:
Don?t dodge the question
You were the first one to sing praises on how great the trump deal was and how good a negotiator he was
Shouldn?t the burden be on you to prove it ?
I am just trying to expose your scam
I know the deal is not that ?big of a deal? and I will explain why before the day is over but I want to make sure everyone who is reading this thread sees what?s going on first.
This is similar to your previous claim of a ?bond bubble? that you very quietly slunk away from
Liar Loan
Well-known member
fortune11 said:Liar Loan said:
Don?t dodge the question
You were the first one to sing praises on how great the trump deal was and how good a negotiator he was
Shouldn?t the burden be on you to prove it ?
I am just trying to expose your scam
I know the deal is not that ?big of a deal? and I will explain why before the day is over but I want to make sure everyone who is reading this thread sees what?s going on first.
This is similar to your previous claim of a ?bond bubble? that you very quietly slunk away from
You're just trying to bait me with trollish posts. Sorry, I won't be wasting further time with you.
Liar Loan said:fortune11 said:Liar Loan said:fortune11 said:Don?t dodge the question
You were the first one to sing praises on how great the trump deal was and how good a negotiator he was
Shouldn?t the burden be on you to prove it ?
I am just trying to expose your scam
I know the deal is not that ?big of a deal? and I will explain why before the day is over but I want to make sure everyone who is reading this thread sees what?s going on first.
This is similar to your previous claim of a ?bond bubble? that you very quietly slunk away from
You're just trying to bait me with trollish posts. Sorry, I won't be wasting further time with you.
Once again .... Projection , thy name is MAGA
your John McCain thread is a classic example of trolling
Liar Loan
Well-known member
Canadian Economy Loses 51,600 Jobs in August ? Biggest Drop in Decade?
https://theconservativetreehouse.co...-51600-jobs-in-august-biggest-drop-in-decade/
Loco_local
Active member
weird. There wage growth is still higher
zubs
Well-known member
China just announced a tariff cut, but will probably exclude the USA. China says it's to keep prices low for their citizens and spur their economy, but if they exclude the US, it'll hurt our own industry. Why buy product from USA when the European product is now tariff free?
https://www.wsj.com/articles/china-announces-more-tariff-cuts-to-spur-spending-investment-1537967930
There are so many different avenues when you wanna hurt a country.
https://www.wsj.com/articles/china-announces-more-tariff-cuts-to-spur-spending-investment-1537967930
There are so many different avenues when you wanna hurt a country.
morekaos
Well-known member
Think this requires a look at just how these "tariffs" are calculated and how they are targeted.
Why Trump's Tariffs Won't Cost Consumers a Nickel
Tariffs aren?t imposed on the final retail price the way a sales tax is. They are also not imposed on the wholesale price. They are not even imposed on what the importer pays at the dock when the goods enter the U.S. The duties are imposed on an even lower price than that ? and that?s a scandal in itself.
Let?s say Black & Decker wants to sell a line of toaster ovens with a $60 retail price in the U.S. It goes to a Hong Kong middleman who deals with Chinese manufacturers. The Hong King middleman pays his cousin at a Chinese toaster oven factory $10 for toaster ovens. Black & Decker agrees to pay the Hong Kong middleman $20 for the toaster ovens, and picks them up off the boat in Long Beach, Calif.
Let?s say there?s a 10 percent tariff on toaster ovens from China. (There isn?t.) The tariff would only be $1 because it?s calculated on what the Hong Kong middleman (says he) paid his cousin at the toaster factory ? the first sale -- not what Black & Decker pays to take delivery at the port ? what?s known in the jargon of the trade world as the last sale.
As a result of this accounting flim-flam, Hong Kong middlemen and the importers who love them are getting rich while taxpayers are getting hosed for untold billions of dollars the U.S. Treasury is not collecting.
When the U.S. moved to assess duties on the last-sale price, the import lobby screamed bloody murder and Congress killed the proposal. For the record, every other country calculates tariffs on the last-sale price.
The Trump tariffs are designed to inflict maximum damage on China while sparing American businesses and consumers. For the most part, they don?t target consumer goods. Rather, they are aimed at component parts American companies use to assemble finished products.
So, if a particular component constitutes one-tenth of the cost of the finished product, a 10-percent tariff on that component amounts to, at most, 1 percent (10 percent of one-tenth) of the product?s wholesale cost ? and probably far less, because of the first-sale rule (see above). And since wholesale is roughly half of retail, we?re looking at cost difference of one-half of one percent (0.5 percent).
The wholesaler, retailer, importer or foreign manufacturer may well choose to offset the tiny cost increase rather than pass it on.
And here?s the beauty part, how the tariffs are designed to hurt China: The Trump tariffs target items available from sources outside China. Buy from a supplier outside China, avoid the tariff.
President Trump?s surgical strike tariffs are sending companies a clear message: Do business anywhere but China.
https://www.realclearpolitics.com/articles/2018/09/25/why_trumps_tariffs_wont_cost_consumers_a_nickel_138158.html
Why Trump's Tariffs Won't Cost Consumers a Nickel
Tariffs aren?t imposed on the final retail price the way a sales tax is. They are also not imposed on the wholesale price. They are not even imposed on what the importer pays at the dock when the goods enter the U.S. The duties are imposed on an even lower price than that ? and that?s a scandal in itself.
Let?s say Black & Decker wants to sell a line of toaster ovens with a $60 retail price in the U.S. It goes to a Hong Kong middleman who deals with Chinese manufacturers. The Hong King middleman pays his cousin at a Chinese toaster oven factory $10 for toaster ovens. Black & Decker agrees to pay the Hong Kong middleman $20 for the toaster ovens, and picks them up off the boat in Long Beach, Calif.
Let?s say there?s a 10 percent tariff on toaster ovens from China. (There isn?t.) The tariff would only be $1 because it?s calculated on what the Hong Kong middleman (says he) paid his cousin at the toaster factory ? the first sale -- not what Black & Decker pays to take delivery at the port ? what?s known in the jargon of the trade world as the last sale.
As a result of this accounting flim-flam, Hong Kong middlemen and the importers who love them are getting rich while taxpayers are getting hosed for untold billions of dollars the U.S. Treasury is not collecting.
When the U.S. moved to assess duties on the last-sale price, the import lobby screamed bloody murder and Congress killed the proposal. For the record, every other country calculates tariffs on the last-sale price.
The Trump tariffs are designed to inflict maximum damage on China while sparing American businesses and consumers. For the most part, they don?t target consumer goods. Rather, they are aimed at component parts American companies use to assemble finished products.
So, if a particular component constitutes one-tenth of the cost of the finished product, a 10-percent tariff on that component amounts to, at most, 1 percent (10 percent of one-tenth) of the product?s wholesale cost ? and probably far less, because of the first-sale rule (see above). And since wholesale is roughly half of retail, we?re looking at cost difference of one-half of one percent (0.5 percent).
The wholesaler, retailer, importer or foreign manufacturer may well choose to offset the tiny cost increase rather than pass it on.
And here?s the beauty part, how the tariffs are designed to hurt China: The Trump tariffs target items available from sources outside China. Buy from a supplier outside China, avoid the tariff.
President Trump?s surgical strike tariffs are sending companies a clear message: Do business anywhere but China.
https://www.realclearpolitics.com/articles/2018/09/25/why_trumps_tariffs_wont_cost_consumers_a_nickel_138158.html