The Hawk-Dove game is a wise framework to consider. When both are Hawks, both get harmed. When one is a Hawk and the other a Dove, the Dove gets hurt, and the Hawk laughs. I hope both can be Doves, bringing tariffs to zero and making all great again.
US Administration announces 34% tariffs on China, 20% on EU
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Re: US Administration announces 34% tariffs on China, 20% on EU
#412A possible retaliation by the EU could be to not enforce US intellectual property rights in the EU anymore. Or we could start taxing cloud companies, who, until now, have not paid taxes in the EU for profits that they generate in the EU.
I don't think the current US administration understand the EU.
There are some things where I have my doubts about the current actions of the European countries, like rearmament. Will that be dropped the minute a new US administration enters? What the EU does well, like really well, is trade and bureaucracy. It is, in my mind one of the few areas where the EU can absolutely run circles around the US, while managing to protect and isolate itself from the worst fallout. We've already seen this with the current EU tariffs, they are extremely precise and targets Republican votes at almost no cost to EU consumers. I think that will continue, rather than imposing broad tariffs, the EU will target things Trump care about specifically.
Re: US Administration announces 34% tariffs on China, 20% on EU
#413Why haven't we questioned the asymmetric high tariffs imposed by the EU on America for decades? The EU imposed a 10% tariff on US cars for decades while the US only imposed 2.5% on the EU. And this happened while the EU exerted a significant trade surplus against the US on automobiles. I don't advocate trade wars, but I can understand the case for some rebalancing, given the historic context. Hopefully Trump will onl…
Of course a lot of the vehicles that would be interesting to the US market are not classified as cars, but as (light) trucks, and have a 25% tariff applied (originally due to a minor tariff "war" in the 1960s around chicken exports). It's just wrong that the US until now has not questioned and acted upon foreign tariffs.
Re: US Administration announces 34% tariffs on China, 20% on EU
#414The EU probably does not have a trade surplus with the US, but rather a trade deficit. https://www-gmexconsulting-com.translate.goog/cms/de/dunkle-...
I was thinking the same. IT is a huge business, the best kind of business right now, the pinnacle of human technology at this point in time. America is the world leader in development, and "exports" of IT. You can't really tariff software, as it's some kind of IP.
On the other hand, much of the "digital infrastructure" is free and open. Perhaps if rival powers put enough effort into sanctioning US effective sales in IT, however that may work, America could lose it all.
Re: US Administration announces 34% tariffs on China, 20% on EU
#415The next phase is likely geopolitical. Countries will begin negotiating directly with the U.S. administration to secure exemptions or reductions in tariffs.
In effect, it’s the formation of a new American sphere of influence / empire.
Re: US Administration announces 34% tariffs on China, 20% on EU
#416I 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 there are people who know. But not the decision maker. I notice the use of collective pronouns, but there is only one person driving this. Everyone else is riding the tiger.
Not sure why, despite long and consistent experience, that people keep thinking he’s anyone but exactly who he appears to be. There’s no grand plan, calculated risk, or 4D-chess. The clown is just putting on a performance, based on his immediate feelings, and the immediate reaction of the crowd. There’s nothing else there.
Re: US Administration announces 34% tariffs on China, 20% on EU
#417I 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…
>> hot takes "they have no idea what's coming" are I believe naive
While I agree they probably have some idea what will happen, don't forget that these same people added a journalist to a group chat where they planned a military attack. They fired a bunch of critical people and then didn't know how to get in touch with them to try and rehire them. Assuming they're total idiots isn't much of a stretch.
Re: US Administration announces 34% tariffs on China, 20% on EU
#418The De Minimis loophole is highly significant with FOUR Million packages per day (What ???). The clause to address this loophole needs to be stated more accurately - It should be clearly defined to be higher or lower of 30 % of the value of shipment under $800 OR $25 per shipment and not either. If either then the De Minimis loophole will be continue to be used at $25 per shipment.
Source : https://www.whitehouse.gov/fact-sheets/2025/04/fact-sheet-pr...
Re: US Administration announces 34% tariffs on China, 20% on EU
#419It is not a conspiracy anymore. Problem - Reaction - Solution.
Start a war in the middle of Europe and Gaza. Tariffs. Recession - Panic - Digital ID, Social scoring, CDBC, Digital dollar, AI governance, tech feudalism.
That's all folks. :)
Re: US Administration announces 34% tariffs on China, 20% on EU
#420From 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…
>> If that is the case in the US, I fully expect total chaos and mayhem when all the Temu / AliExpress/ Wish customers start receiving extra bills for their orders.
All three of those stores are very popular in my part of Europe. So there must be some workaround.