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<blockquote data-quote="RobGMN" data-source="post: 8884203" data-attributes="member: 683408"><p>Yes, what's the bluff?</p><p></p><p>A 25% tariff gets paid by the importer. Do you really think that an importer is going to eat a 25% increase on the cost of good sold, or do you think that the importer is going to pass that on? If the importer is selling the product directly, they're going to pass it directly onto the customer.</p><p>If the importer is selling that good to a retailer, the cost gets passed on the retailer. Then, that cost gets passed onto the consumer.</p><p>The exporter doesn't pay a dime on an import tariff, any more than I pay a value added tax when I sell something to a Canadian and ship it up there.</p><p>I simply declare a value, and ship. It's on the importer to deal with tariff, taxes, duties, etc, not me. </p><p></p><p>Trump attempted these tariffs when he was president the first time around. And it failed.</p><p>What is the modification to his plan that indicates it will work on his next attempt?</p><p></p><p>Let's suppose he smacks a 25% tariff on $100 TV. That TV is going to sell for a bit less than $125, as the tariff gets passed on.</p><p>Are you thinking that that extra $25 is going to be enough For a whole new manufacturing industry to ramp up in America, produce the goods in America, and sell the goods in America? Where are the materials for that TV coming from?</p><p></p><p>To produce and sell all of those imported goods that we now get from other countries, we probably have to pay double the retail price that we are now.</p><p>You could tack a 50% tariff on most of that stuff, and still be ahead of the game by buying imported goods.</p><p>If this is strictly about keeping money in the American economy, then we need to just shut down importing altogether and figure out how we can make this stuff at a price that people can afford, we can pay the people who make it a living wage, And how we can do it all without relying on other countries.</p><p>Unless we can do that, international trade is always going to be something that we deal with.</p></blockquote><p></p>
[QUOTE="RobGMN, post: 8884203, member: 683408"] Yes, what's the bluff? A 25% tariff gets paid by the importer. Do you really think that an importer is going to eat a 25% increase on the cost of good sold, or do you think that the importer is going to pass that on? If the importer is selling the product directly, they're going to pass it directly onto the customer. If the importer is selling that good to a retailer, the cost gets passed on the retailer. Then, that cost gets passed onto the consumer. The exporter doesn't pay a dime on an import tariff, any more than I pay a value added tax when I sell something to a Canadian and ship it up there. I simply declare a value, and ship. It's on the importer to deal with tariff, taxes, duties, etc, not me. Trump attempted these tariffs when he was president the first time around. And it failed. What is the modification to his plan that indicates it will work on his next attempt? Let's suppose he smacks a 25% tariff on $100 TV. That TV is going to sell for a bit less than $125, as the tariff gets passed on. Are you thinking that that extra $25 is going to be enough For a whole new manufacturing industry to ramp up in America, produce the goods in America, and sell the goods in America? Where are the materials for that TV coming from? To produce and sell all of those imported goods that we now get from other countries, we probably have to pay double the retail price that we are now. You could tack a 50% tariff on most of that stuff, and still be ahead of the game by buying imported goods. If this is strictly about keeping money in the American economy, then we need to just shut down importing altogether and figure out how we can make this stuff at a price that people can afford, we can pay the people who make it a living wage, And how we can do it all without relying on other countries. Unless we can do that, international trade is always going to be something that we deal with. [/QUOTE]
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