Tariff primer

[TemplarKormac]

Hate to say, but if you're explaining, you're losing.

 

[dudmuck]

Trump tariff policy is modeled after FDR’s who used and signed into law the reciprocal tariff act

they just calculated U.S deficit to the country / U.S imports from the country. thats not what FDR did.

 

[struth]

they just calculated U.S deficit to the country / U.S imports from the country. thats not what FDR did.

Trump is using recpitical tariffs like fdr did

 

[dudmuck]

Trump is using recpitical tariffs like fdr did

FDR did not use the formula of U.S deficit to the country / U.S imports from the country.

 

[struth]

FDR did not use the formula of U.S deficit to the country / U.S imports from the country.

Ok. I am not sure what formula he used to come up with his rates

Not really the point

 

[Marener]

Ok. I am not sure what formula he used to come up with his rates

Not really the point

You can’t call them reciprocal tariffs if you’re lying about what tariffs other countries are applying to us.

 

[struth]

You can’t call them reciprocal tariffs if you’re lying about what tariffs other countries are applying to us.

What’s the lie?

 

[Marener]

What’s the lie?

His claim about tariffs other countries are applying to US goods.

 

[struth]

His claim about tariffs other countries are applying to US goods.

What's the lie? Are you saying other countries don't have tariffs on us?

 

[Sherlock Holmes]

How tariffs work. Explained quite well. Lot of information on the 2018 tarifffs and how Wall Street responded.

Now we’ll look at what tariffs did and didn’t do last time. One, they didn’t trigger inflation, which stayed below the Fed’s target. Two, they more than doubled tax receipts from customs duties. And three, they hit stocks, and the S&P 500 tanked 20% in 2018.

Some basics about tariffs.​

I posted this list before. But it’s important, so here it is again:

1. Tariffs have two roles: raising taxes (which the US desperately needs); and changing the economic math for domestic production.
2. US “trading partners” have used tariffs extensively to raise taxes and to protect and support their own industries at the expense of US production and exports. The US has used tariffs, they all have used tariffs to raise taxes essentially since the beginning.
3. Tariffs are applied to the cost for the importer. If a big US retailer buys T-shirts by container loads from a factory in Bangladesh that it intends to retail in the US for $9.99 each, and if the tariff on this product is 25%, the importer (the retailer) is going to have to pay 25% in taxes on the cost from the factory. If the factory charges $1 per T-shirt, the tariff amounts to 25 cents.
4. Tariffs are a direct tax on the profit margins of foreign producers and US importers. Whether or not they can charge more for their products without gutting their sales to pass on the tariffs is decided by the market. And if they can pass on a portion or all of the tariffs, it would be a one-time bump.
5. Companies are already charging the maximum amount they can and still obtain their sales goals. If they raise prices to pass on the tariffs, sales may fall. Whether or not the retailer can raise the price of the T-shirt to $10.24 without pulling the rug out from under the desired sales volume is decided by the market, not by the retailer, and the retailer may find that it has to eat the tariffs.
6. US importers may negotiate the purchase price to where the foreign factory eats part of the tariff, in which case foreign producers pay the taxes to the US government.
7. Domestic production reduces transportation expenses, loss of Intellectual Property (a huge issue in China), supply-chain uncertainty and lead times (catastrophic issues during the pandemic), and other costs and risks. Tariffs tilt the balance further in favor of domestic production.
8. Foreign manufacturers can avoid tariffs by producing in the US. All major foreign automakers that sell in the US already manufacture vehicles in the US. In terms of “US content,” Honda models are right behind Tesla on top of that list. Tariffs will further encourage US production, including of components and assemblies.
9. Many producers have cut prices in the US over the past two years, either directly or through incentives to reach their sales goals, including automakers (here) and homebuilders (here). In this environment, they will eat 100% of any tariffs because they cannot pass on any additional costs.
10. Industrial robots cost about the same anywhere. Products can be and are manufactured in the US price-competitively when advanced automation reduces the labor-cost component. Tariffs add some pluses to that math.

What Trump’s Tariffs Did Last Time (2018-2019): No Impact on Inflation, Doubled Receipts from Customs Duties, and Hit Stocks | Wolf Street

I suggest people get their info from a reputable economist or educational material.

https://www.amazon.com/Global-Economy-Youve-Never-Seen/dp/1615195173/?tag=usmb-20

I wouldn't waste my time ingesting a commentary posted by a trumpanzee most of whom can't read anyway.

 

[konradv]

Trump is fighting for a fair and free future for the globe.

When countries can’t enslave people to produce cheap products, the world is better off

You’ll have to get used to not oppressing people

Trump isn’t doing what you think he’s doing. He’s tanking the global economy.

 

[Sherlock Holmes]

Well you voted for this magats...

‘Scary times’: New York shopkeepers plan ‘astronomical’ price hikes under Trump tariffs

Small businesses that import goods brace for steep price increases that they have to pass on to their customers

www.theguardian.com

 

[Marener]

What's the lie? Are you saying other countries don't have tariffs on us?

Does Vietnam have a 90% tariff on all US goods?

 

[Sherlock Holmes]

Don't pay any attention to Dulldude and his ridiculous "primer" start getting an education you idiotic magats, it's the only chance you have of snapping out of the cult.

Trump tariffs: ‘In economic terms, it makes no sense at all’

President’s shock move has no historic parallels, but the deep uncertainty for the global economy may prove as destructive as the tariffs

www.theguardian.com

 

[struth]

Trump isn’t doing what you think he’s doing. He’s tanking the global economy.

Weird because the economy is doing better then it did under the prior admin that gave us record inflation

 

[Sherlock Holmes]

Weird because the economy is doing better then it did under the prior admin that gave us record inflation

Why not tell us the earth is flat while your at it

 

[struth]

Does Vietnam have a 90% tariff on all US goods?

Depends on how you are calculating the tariffs. Understanding the US Tariff List: Implications for Vietnam

The rate itself doesn't determine if something is a reciprocal tariff or not, Reciprocal tariffs are tariffs imposed by one country in response to tariffs imposed by another country on its exports.

Reciprocal Tariff Calculations

Executive Summary Reciprocal tariffs are calculated as the tariff rate necessary to balance bilateral trade deficits between the U.S. and each of our trading partners. This calculation assumes that persistent trade deficits are due to a combination of tariff and non-tariff factors that prevent...

ustr.gov

Reciprocal tariffs are calculated as the tariff rate necessary to balance bilateral trade deficits between the U.S. and each of our trading partners. This calculation assumes that persistent trade deficits are due to a combination of tariff and non-tariff factors that prevent trade from balancing. Tariffs work through direct reductions of imports.

Reciprocal tariff rates range from 0 percent to 99 percent, with unweighted and import-weighted averages of 20 percent and 41 percent.


Look this stuff is way above your reading level, stick to playing with lincoln logs.

 

[struth]

Why not tell us the earth is flat while your at it

View attachment 1096681

View attachment 1096680

US Inflation Rate Monthly Analysis: Consumer Price Index | YCharts

In depth view into US Inflation Rate including historical data from 1914 to 2025, charts and stats.

ycharts.com

Inflation is at 2.82 percent.

 

[Marener]

Depends on how you are calculating the tariffs

It doesn’t. Trump’s definition of tariffs is gibberish.

 

[struth]

It doesn’t. Trump’s definition of tariffs is gibberish.

Trump's defination of a Reciprocal tariff is that of what everyone in the world defines them as. which are tariffs imposed by one country in response to tariffs imposed by another country on its exports.

Again, this is way outside of your limited ability to comprehend, so I don't expect you to understand.