Mistake in headline: tge article says 54% rate on China. 34 looks like a typo.
Apparently it is 34% on top of current 20%, bringing it to a total of 54%.
But who knows with these guys.
US Administration announces 34% tariffs on China, 20% on EU
131–140 of 1001 posts
Re: US Administration announces 34% tariffs on China, 20% on EU
#132Here's a csv and google sheet of the data. Turns out they aren't tariffs countries charge us. They are trade imbalance percentages. Unreal: https://docs.google.com/spreadsheets/d/1xK0OQ5VGl8JHmDSIgbXh... https://gist.github.com/mcoliver/69fe48d03c12388e29cc0cd87eb...
I see how the tariff numbers may have been calculated. But why is it done that way? What is the rationale behind such a calculation? Is this a way to balance the existing trade deficits? How does it work? Would appreciate you (or anybody else) shed some light on the economics of the thing.
If he used real numbers the tariffs would be so low that it wouldn't make any sense.
Re: US Administration announces 34% tariffs on China, 20% on EU
#133From what I understand, de minimis exemption has also been removed. That is a huge, huge deal. It effectively means that all goods imported from China will be slapped with a 30% import tax, as soon as said goods arrive the US border / customs. Usually what happens then, is that the courier will pay that tax, and then bill the recipient later on - as well as charge some fee/fees for the work done. This is why in some…
Courier will only pay the tax if it's a DDP solution, and then bill it back to the actual merchant. FedEx, DHL, and UPS provide this as an option. If it goes USPS, or no DDP solution is in place, it's going DDU and it will simply be stuck in a sufferance warehouse or at the local post office until the recipient comes in and pays the bill.
Re: US Administration announces 34% tariffs on China, 20% on EU
#134From what I understand, de minimis exemption has also been removed. That is a huge, huge deal. It effectively means that all goods imported from China will be slapped with a 30% import tax, as soon as said goods arrive the US border / customs. Usually what happens then, is that the courier will pay that tax, and then bill the recipient later on - as well as charge some fee/fees for the work done. This is why in some…
Well, the good news is almost nobody is gonna like this, so I don't anticipate it lasting beyond Trump's presidency, assuming he makes it 4 years at this rate. The bad news is that even after tariffs are removed, it will take years for prices to recover, if they ever do.
Re: US Administration announces 34% tariffs on China, 20% on EU
#135Someone figured out that the new tariffs are just our trade deficit with that country divided by the country's exports. I think more and more we see lots of evidence they don't know what they're doing.
To give further evidence that they don't know what they're doing, it's easy to generate this tariff plan using a fairly simple LLM prompt that gives back that same ratio:
https://bsky.app/profile/amyhoy.bsky.social/post/3lluo7jmsss...
Re: US Administration announces 34% tariffs on China, 20% on EU
#136Inheriting a strong economy beating all expectations that was just about to end its fight with inflation and burning it all away in a pump and dump crypto scheme fashion, while doing nothing (or even working to expand) unprecedented wealth inequality. Good luck, going to need it. The world reserve currency status is faltering, and so will the benefits it allowed US economy.
> just about to end its fight with inflation
Inflation will decline only when the deficit declines.
Re: US Administration announces 34% tariffs on China, 20% on EU
#137I think a lot of people assume the economic consequences like these have not been understood by the WH. Although I don't like this administration I beg to differ: they know what's going to happen, and they expect the coming storm because they seek what follows. They want to repudiate foreign held debt, or devalue it, by revaluation of the USD and they will wear what they think of as a one time economic shock to get t…
Of course they don't know. Should be obvious by now.
They are not experts in the field. But loyalists for a trump autocracy
Re: US Administration announces 34% tariffs on China, 20% on EU
#138I think a lot of people assume the economic consequences like these have not been understood by the WH. Although I don't like this administration I beg to differ: they know what's going to happen, and they expect the coming storm because they seek what follows. They want to repudiate foreign held debt, or devalue it, by revaluation of the USD and they will wear what they think of as a one time economic shock to get t…
Trump 2 is as far from Trump 1 as Trump 1 was from W. Bush.
Re: US Administration announces 34% tariffs on China, 20% on EU
#139This won't bring home manufacturing but let's say that it will... The US doesn't have the people to do the actual manufacturing. I saw a video recently explaining how sectors like the military, construction and the automotive industry each have 100K+ positions that they are unable to fill. A return to manufacturing adds to that shortage. Apparently there's some 7 million young men of working age that are...missing in…
No people, no supply chain, and no total lack of environmental regulations mean most manufacturing jobs are not coming back no matter what the tariffs are. It's not just one reason that the manufacturing jobs have left, but a conflation of reasons.
Unless… well, unless you eliminate the EPA, invade Canada and Greenland and take their raw materials, and make people so poor that they take up factory jobs again.
Re: US Administration announces 34% tariffs on China, 20% on EU
#140Here's a csv and google sheet of the data. Turns out they aren't tariffs countries charge us. They are trade imbalance percentages. Unreal: https://docs.google.com/spreadsheets/d/1xK0OQ5VGl8JHmDSIgbXh... https://gist.github.com/mcoliver/69fe48d03c12388e29cc0cd87eb...
I see how the tariff numbers may have been calculated. But why is it done that way? What is the rationale behind such a calculation? Is this a way to balance the existing trade deficits? How does it work? Would appreciate you (or anybody else) shed some light on the economics of the thing.
The label "tariffs charged to the US" is just straight-up wrong, either due to incompetence or malice (likely to justify the high tariffs).
But basing the tariffs on import/export ratio makes sense if your goal is to be a net exporter with every country, as it discourages imports until that's the case. It's still somewhat arbitrary though; my guess is that the White House is pursuing that goal mostly for political, not economical reasons.