Hacker News Board Hacker News, browsed like a classic message board
Live data from Hacker News

White House announces 25 percent tariff on Chinese tech goods

theverge.com

Post reply on HN
Print view View original

41–50 of 390 posts

Re: White House announces 25 percent tariff on Chinese tech goods

#41

Post by kayfox »

nodesocket wrote: post #37
bmelton wrote: post #30

Earlier quoted context omitted.

Does that materially change whether or not it does or doesn't make it more expensive to build products in America that rely on Chinese components?

I can't speak specifically to these new items, but just to give an example, many auto experts came out and said the steel and aluminum tarrifs would raise car prices, but so small it's a rounding error. Typically under $100 or $200 per car. Point being, people jump to conclusions without seeing the impact on the total cost of goods. Meanwhile dismissing the point, putting more capital into the pockets of US based com…

This will eat into profits for US based electronics manufacturers, who in many cases may already be under contract for assemblies or finished products at particular price points. It will also make it even more uneconomical to manufacture electronics assemblies or finished products in the US, a business that has been drying up for years.

Re: White House announces 25 percent tariff on Chinese tech goods

#43

Post by tyfon »

gremlinsinc wrote: post #19
ceejayoz wrote: post #15

Earlier quoted context omitted.

Canada appears to be considering it. http://thehill.com/policy/international/392281-canadian-fore...

That would be awesome. I'd love for other countries to not blame ALL of us, for the actions of 1 individual...and would be nice to see him throw a huge hissy fit about it on twitter.

The 1 individual was democratically elected though so I guess it's just not 1 individual.

Now, I wouldn't mind if the rest of the world gave him the stick, but like it or not he does represents and is the figurehead of US so it is your responsibility to deal with his actions.

Re: White House announces 25 percent tariff on Chinese tech goods

#44

Post by NDizzle »

Washuu wrote: post #33
kayfox wrote: post #21

So, to encourage manufacturers in the US to build more stuff in the US, they will increase tariffs on components so that it will cost even more to build something in the US than to build it in China. Good plan, hello Canada!

I am in the middle of starting a business around a product that will get slammed by this. I was going to import the components and have the boards built here.("Made in the USA" labels are huge for my target market.) Assuming I am parsing all of this correctly it will end up being better for me to have the PCBs assembled into the products in China and not create jobs in the USA.

* assembled in the USA.

Re: White House announces 25 percent tariff on Chinese tech goods

#45

Post by mreome »

forkLding wrote: post #25

Wonder how Apple is taking this EDIT: Interesting, didn't know Apple manufacturing policies until now.

Apple doesn't assemble their devices domestily. This tariff does not include complete phones. I'm sure they are perfectly fine with these tarrifs, they are a barrier for potential competitors who don't already have established supply and assembly facilities in China/Tiwaian.

Re: White House announces 25 percent tariff on Chinese tech goods

#46

Post by kayfox »

Washuu wrote: post #33
kayfox wrote: post #21

So, to encourage manufacturers in the US to build more stuff in the US, they will increase tariffs on components so that it will cost even more to build something in the US than to build it in China. Good plan, hello Canada!

I am in the middle of starting a business around a product that will get slammed by this. I was going to import the components and have the boards built here.("Made in the USA" labels are huge for my target market.) Assuming I am parsing all of this correctly it will end up being better for me to have the PCBs assembled into the products in China and not create jobs in the USA.

Yeah, I'm worried because a nonprofit I'm working for recently decided to manufacture a convention badge in Ohio rather than China because it was barely economically feasible... with this tariff change it may eat too far into our donations.

Re: White House announces 25 percent tariff on Chinese tech goods

#47

Post by code_duck »

vtange wrote: post #13

A lot of argument against tariffs seems to assume that prices in the US will rise and stay increased permanently assuming production stays in China. Wouldn't the downsides of tariffs actually only remain until production moves to say, Vietnam, etc.?

What would the benefit be to the United States for production to shift to Vietnam? Simply to avoid it being done in China? I thought the idea was to increase domestic production.

Re: White House announces 25 percent tariff on Chinese tech goods

#48

Post by anon23423532 »

It's punishment for stealing hundreds of billions of dollars of IP, illegally subsidizing businesses to steal market share, and general national security by not outsourcing knowledge and infrastructure critical to national security to save a few bucks.

It's easy to let someone push you back inch by inch instead of fighting back, but eventually you're on the edge of a cliff and have nowhere else to go.

I'd take short term pain over one day waking up and realizing that China has total control over manufacturing for everything essential for modern life and in exchange we got cheap consumer goods for a few years.

Re: White House announces 25 percent tariff on Chinese tech goods

#49

Post by rgbrenner »

Washuu wrote: post #33
kayfox wrote: post #21

So, to encourage manufacturers in the US to build more stuff in the US, they will increase tariffs on components so that it will cost even more to build something in the US than to build it in China. Good plan, hello Canada!

I am in the middle of starting a business around a product that will get slammed by this. I was going to import the components and have the boards built here.("Made in the USA" labels are huge for my target market.) Assuming I am parsing all of this correctly it will end up being better for me to have the PCBs assembled into the products in China and not create jobs in the USA.

You can't use the "Made in the USA" label like that anyway. It must be all or virtually all made in the USA. At best you could label it "Made in USA from Imported Parts" or "Assembled in USA."

https://www.ftc.gov/tips-advice/business-center/guidance/com...

Re: White House announces 25 percent tariff on Chinese tech goods

#50

Post by cabaalis »

bmelton wrote: post #30
nodesocket wrote: post #26

Earlier quoted context omitted.

You realize that Democrats are supporting these tarrifs on China as well. China has already won the trade war by dumping steel and aluminum and stealing intellectual property for decades. This isn't even controversal.

Does that materially change whether or not it does or doesn't make it more expensive to build products in America that rely on Chinese components?

So let me ask you, do you think the people in charge do not know this? Do you buy into the media push that Trump is a petulant, reactive child who does not listen to advisers? Do you think our government is truly led by the whims of a single individual?

Tariffs are a political tool. There is some objective here that is not being publicly outlined because it would defeat the purpose of the strategy.

Example: Other countries involved in this "trade war" are placing tariffs specifically on bourbon. Why? What do they have to gain by that sort of rule? Absolutely nothing, other than putting political pressure on the representatives and senators from Kentucky. (Source: NPR, radio earlier this month where a representative of Canada said exactly this. I wish I could find the audio.) This is the very definition of other sovereign countries interfering with American politics. I would bet that the tariffs being placed here locally are designed to have similar effects.

Post reply on HN