How many foreign car manufacturers build in the US? These workers don’t work for Chinese wages…
What’s the best market in the world? America, your basic economics is full of holes, you make this too easy…
Assembly plays, glorified lego.. Where are all the parts coming from?
They are generally putting cars together for the local market...
But all this is changing... China is taking over , BYD even at 100% tariffs are still increasing heavily...
Now it isn't only worker cost, it is the ability to produce with tighter control, BYD make almost everything in house and rely less on outside companies... So it isn't about increasing, it is about defending what you got... VW are repurposing plants away from Cars in Europe.
Before there wasn't the investment those countries to produce cars, that has drastically changed...
The uneducated, classify uneducated. They perform millions of jobs around the world, uneducated is a broad category, the largest consumer base is uneducated, they are also the majority. They perform more jobs than you understand, but you listen to the minority…
Blue collar work... Yes there is semi skilled work, but plenty of places in the world. US workers are just uncompetitive in a lot of manufacturing jobs, even Trump says US shouldn't make socks...
He wants high end manufacturing. These plants can take decades to set up... First you need college educated workforce with experience... The tolerances are so fine... There are semi skilled workers off that but it very team focused... Very hard to build a plant to just do that in any reasonable timeframe... Other industries are highly automated and have little employment..
You don’t get it, just admit it, lots of people don’t get it…it’s not about Nationalist, study history, and you talk about the educated??
We didn’t tariff our allies in order to let them rebuild post WWII, now our products are taxed incredibly high in Europe, Japan, Asia, most are double our rates, do some research before you make any assumptions…
So the tax you are talking about is VAT... VAT is a standard tax on all products, it is not US specific... It is like Sales tax in the US...
What would you say if the EU said that their products shouldn't pay Sales Tax and US companies should?
VAT is a basic consumption tax and is all over the world... Question you should ask, why doesn't US have Federal VAT?
Did your research explain that US companies don't pay VAT when selling there goods... EU customers do and they pay it for all goods(there are exemptions but they on product types)...
EU people pay income tax too, do you want to complain about that too.. They could be using that money to buying more US goods..
Tariffs are the only way to take on China, hit them where it hurts the most. We’re doing deals with others, pay attention to facts…We have helped build China’s industry, where have you been?
We’re their single largest customer, make the market equal and force them to manufacture their products in America, it works!
Tariffs aren't the only way to take on China, actually they are one of the worst ways.. It really doesn't hurt them and actually economists predict China will win in the long run.
China's export to US represents only 3% of the Chinese Economy... Did someone not tell you this...
China will just have a slow year, US has built it manufacturing on assembling parts or material made/sorced in China... Even China took two seconds to ship products to Vietnam and Canada (and any other of the 191 countries in the world)...
That is why tariffs don't work...
If you get an Smart Phone from Italy with made in Japan on it... You putting on the Italian tariff... You have to effectively put the same tariff on every country in the world... Products are so complicated, where do you state the country of origin..
The way to take on China was to sign up and push the TPP, which is now the CTTP... Create alliances and than force China to do what you want by cutting off all their main markets...
Nope Trump, pulled out of TPP in 2017, three days into office only to regret it 3 years later..
This is the issue, Trump doesn't understand what he is doing and that is coming plainly obvious... He told everyone that China pays the tariff for months, we now think he actually believed that... His erratic behaviour is only causing investment capital to flee the US, this really hurts US business...
Companies will announce plants in US over the next few months, but the procurement of a site alone would take over two years... Tariffs could be gone by then...
Even if they buy the a site, throw a few diggers on it, but you are not building..
Everyone remembers this:
They got huge grants and tx incentives for that and did very little.. Every company knows this trick... High end manufacturing plant takes about decade to build and staff... For that you need a stable business environment, a trusted government that doesn't do stupid stuff like tariff supply chain of goods coming in...
You keep on forgetting that US is only 3% of the world population and its purchasing power is falling..
www.theguardian.com
