Tariffs are Bad, but Trump's Tariffs May Do Some Good.

[expat_panama]

re: Donald Trump and trade

Just about all the pundits and talking heads have got Trump's tariffs wrong. No they:

• won't bring factories back because factories are big buildings that don't move.
  
• won't bring jobs back because no American stopped working the minute some foreigner started working.
  
• won't reduce that silly 'trade deficit' because 'A' the smart money's on these import taxes being used to force foreign cheaters to clean up their act and not for controlling our purchasing, 'B' we don't want our economy managed by the Feds, and 'C' we end up a lot better off with a growing trade deficit --not a shrinking one.

The fact is that we're better off w/ free enterprise buying and selling all over the world we the agreements we got. The point of the article is that the foreigners are MUCH better off with 'em. This means they got much more to loose if we make a fuss. Given that Trump's got a pretty good track record w/ deal making he's got a good chance of getting more foreign cooperation.

It's in the article.

 

[william the wie]

Great point.

 

[Coyote]

What good track record?

 

[TomParks]

So far 1,000 steel jobs in Ohio, 500 in Illinois, and 300 aluminum workers in Kentucky since the tariffs were announced.

Union: Georgetown's Liberty Steel Mill to re-open thanks to Trump's tariff plan

add 125 more in SC

 

[shockedcanadian]

The economy has created over 300k manufacturing jobs since Trump won the election. If you aren't creating things, not only are you decimating your own workforce but you are building a far less diverse economy. Remember manufacturing jobs support other jobs in a domino effect. Especially car manufacturing.

You have to do some of what other nations are doing, they defend their industries. Since these nations aren't willing to be free markets, America has to retaliate.

 

[expat_panama]

Great point.

tx

 

[expat_panama]

What good track record?

How about when you amass a net worth of over $3 Bil I'll say that you have a good track record too?

 

[expat_panama]

So far 1,000 steel jobs in Ohio, 500 in Illinois, and 300 aluminum workers in Kentucky since the tariffs were announced...

We've been hearing this a lot but we're not hearing how many were being added before the tariffs were announced.

Let's deal in facts. The tariffs as they stand exempt Canada and Mexico and other countries will be considered "on a case by case basis". The bottom line here is that folks that do this for living are not seriously expecting any price change from tariffs or anything else --nobody's bidding up the price of steel (yet):

 

[william the wie]

A 10% tariff on allies who do not pay their agreed to share would be useful.

 

[Supposn]

re: Donald Trump and trade

Just about all the pundits and talking heads have got Trump's tariffs wrong. No they:

• won't bring factories back because factories are big buildings that don't move.
  
• won't bring jobs back because no American stopped working the minute some foreigner started working.
  
• won't reduce that silly 'trade deficit' because 'A' the smart money's on these import taxes being used to force foreign cheaters to clean up their act and not for controlling our purchasing, 'B' we don't want our economy managed by the Feds, and 'C' we end up a lot better off with a growing trade deficit --not a shrinking one.

The fact is that we're better off w/ free enterprise buying and selling all over the world we the agreements we got. The point of the article is that the foreigners are MUCH better off with 'em. This means they got much more to loose if we make a fuss. Given that Trump's got a pretty good track record w/ deal making he's got a good chance of getting more foreign cooperation.

It's in the article.

USA goods could be competitively priced:

It's paradoxical that those choosing to purchase foreign products (usually correctly) believe they're acting in their individual best interests, but annual trade deficits are net detrimental to their nation's economy.

Purchasers of foreign goods gain no competitive advantage which is the only commercial advantage.

[Within USA's existing environments', (i.e. our federal laws and policies):

Enterprises that do not obtain the best values for the costs, place themselves at competitive disadvantage.
Similarly, purchasers spending on behalf of their families, fail to serve them best if they fail to obtain the best values for their costs.
But cheaper foreign goods do not net compensate for our lesser GDP and numbers of jobs due to our trade deficits of goods.

Behaviors adjust to modified environments; its easier to change a nation's laws, rather than attempting to change human nature.
If the USA adopts the global trade policy described within Wikipedia’s article entitled “Import Certificates”, the best interests of USA's individual persons and enterprises would coincide with our nation's best economic interests.

Refer to Wikipedia’s article entitled “Import Certificates”.

Respectfully, Supposn

​

 

[waltky]

Stock market plunges on fears of trade tensions between the U.S. and China...

Stock market plunges on fears of trade tensions between the U.S. and China
Mar 22, 2018 — Stocks plunged, sending the Dow Jones industrials down more than 700 points, as investors feared that trade tensions will spike between the U.S. and China.

The Trump administration announced trade sanctions against China Thursday, and Beijing has said it will defend itself. Industrial and technology companies, which depend heavily on foreign trade, took some of the worst losses. Boeing, Caterpillar and Microsoft all fell sharply.

Traders work on the floor of the New York Stock Exchange shortly after the opening bell in New York​

Bond prices surged as investors sought cover, sending yields lower. High-dividend stocks like utilities, another safe-play investment, rose. U.S. indexes had their worst drops since February 8.

The S&P 500 index dropped 68 points, or 2.5 percent, to 2,643, erasing its gain for the year. The Dow sank 724 points, or 2.9 percent, to 23,957. The Nasdaq lost 178 points, or 2.4 percent, to 7,166.

Stock market plunges on fears of trade tensions between the U.S. and China

See also:

Stocks tumble to worst day in six weeks after Trump tariff action
March 22, 2018 - U.S. stocks slumped on Thursday as President Donald Trump’s move to impose tariffs on up to $60 billion of Chinese imports drove fears about the impact on the global economy, fueling the biggest percentage declines in Wall Street’s three major indexes since they entered correction territory six weeks ago.

Trump signed a presidential memorandum that will target the Chinese imports only after a consultation period. China will have space to respond, reducing the risk of immediate retaliation from Beijing. But after equities recovered somewhat from earlier lows, selling pressure resumed on Wall Street heading into the close as investors fretted over the potential scale of U.S tariffs and possible impact on global trade. “There’s too much negative sentiment right now,” said John Carey, portfolio manager at Amundi Pioneer Asset Management in Boston. “It’s possible that it will be rough sledding for a while. I don’t see anything on the horizon that will reassure people that things are just great.”

Major industrials slumped. Plane maker Boeing Co lost 5.2 percent, Caterpillar Inc dropped 5.7 and 3M Co lost 4.7. The three were among the biggest drags on the Dow Jones Industrial Average. The S&P industrials sector plunged 3.28 percent. The Dow Jones Industrial Average fell 724.42 points, or 2.93 percent, to 23,957.89, the S&P 500 lost 68.24 points, or 2.52 percent, to 2,643.69, and the Nasdaq Composite dropped 178.61 points, or 2.43 percent, to 7,166.68. The losses marked the biggest daily percentage drop for each of the major indexes since Feb. 8, when the Dow and S&P confirmed a market correction from their Jan. 26 highs. Selling was broad, with only the defensive utilities 0.44on the plus side, up 0.44 percent, out of 11 major S&P sectors.

The CBOE Volatility Index, the most widely followed barometer of expected near-term volatility in the S&P 500, finished up 5.48 points at 23.34, its highest close since Feb. 13.23.34. U.S. treasury prices gained as investors sought out safe havens. Benchmark 10-year notes last rose 23/32 in price to yield 2.8244 percent, from 2.907 percent late on Wednesday. The drop in yields weighed on financial stocks, which were down 3.70 percent, making them the worst performing of the major sectors.

Another decline in shares of Facebook Inc, down 2.7 percent, continued to weigh on the broader market and the tech sector, the best performing S&P group for this year. The S&P technology index fell 2.69 percent on fears of greater regulation in the wake of the Facebook data leak. Facebook Chief Executive Mark Zuckerberg said he was open to additional government regulation and happy to testify before the U.S. Congress. AbbVie Inc tumbled 12.8 percent after the drugmaker said it would not seek accelerated approval for its experimental lung cancer treatment based on results from a mid-stage study.

Stocks tumble to worst day in six weeks after Trump tariff action

 

[william the wie]

It is over due. Clinton, both Bushes and Obama were all useless in foreign policy.

 

[waltky]

Granny says, "Dat's right - give it time, the Donald knows what he's doin'...

Seoul to expand auto market for U.S. in return for tariff exemption
March 26,`18 -- South Korea will further open up its auto market to American companies in exchange for an exemption from U.S. tariffs on steel, Seoul's trade minister said Monday.

Minister Kim Hyun-chong told reporters in Seoul, after his weeks-long trip to Washington, that the two governments have reached an agreement on amending their bilateral free trade agreement (FTA). For months, Seoul and Washington have been at odds over revising the pact, which U.S. President Donald Trump had called a "horrible deal" and a "job-killer," that increased America's trade deficit.

During trade talks, South Korea agreed to further lower barriers for U.S. carmakers in the local auto market -- which Washington has been pushing for throughout the three rounds of renegotiation talks. Seoul will apply eased vehicle emission standards for American cars shipped to the country from 2021 to 2025, as well as double the number of U.S. cars that don't have to comply with domestic regulations from the current 25,000 to 50,000. The two sides also agreed to extend the 25 percent tariff on imports of Korean pickup trucks by 20 years until 2041, Chosun Ilbo reported.

[cengter]

South Korean officials say they are willing to expand its auto market for U.S. car makers in exchange for an exemption on tariffs for steel exported to the United States, a measure imposed this month by President Donald Trump.[/center]

Exports of American cars to South Korea soared 380 percent from 2011, before the trade pact was enforced, to $1.68 billion in 2015. Meanwhile, Washington agreed to exclude South Korea from the 25 percent tariff it will levy on foreign steel. However, an annual quota will be set on South Korean steel products -- some 286 million tons, or 70 percent of the country's steel exports shipped to the United States between 2015 and 2017. Kim says around three percent of the country's steel exports will be affected, Yonhap reported.

Other revisions include minor changes to the investor-state dispute settlement clause, which Seoul has claimed could be abused by multinational companies to sue the local government for alleged discriminatory practices. The trade ministry says officials are currently working on the final draft of the deal before the two governments sign and ratify the document.

Seoul to expand auto market for U.S. in return for tariff exemption