Trump is wrong on how China tariffs work

[edward37]

AND it's only going to cost the average shopper an extra $768 a year in higher costs

It's all a matter of buying a chinese hammer for $4, it breaks and you buy another chinese hammer for $4....OR you could tell your Ace Hardware man you want an American-made hammer and will gladly pay him $8 for it just to keep from having to come back every 6 weeks.

America loves buying low priced Chinese goods If they were so fragile I don't think folks would buy them We WILL be paying for this We pay for trumps trade war

If we are paying these tariffs, why is inflation so low that it's well below even the Fed's benchmark desired level of 2%?

Notice the low interest rates

 

[edward37]

POLITICS
05/06/2019 07:05 am ET
Trump Lies Again About ‘China Paying Tariffs’ To The U.S. Treasury
The president’s threat to raise tariffs on Chinese goods would hit American consumers, not China.

By Mary Papenfuss

President Donald Trump on Sunday threatened to raise tariffs even higher on some Chinese products as he repeated the lie that China pays tariffs directly to the U.S. Treasury.

He claimed the “payments” have led to the improvement in the U.S. economy.

In fact, American consumers absorb the cost of tariffs on imported Chinese goods by paying higher prices for the products. The added costs are essentially a regressive tax on consumers because they’re not linked to income levels.

Trump tweeted his intention to hike tariffs to 25% on Friday and threatened to add tariffs to more products. The announcement sent global markets swooning as investors worried Trump’s threat could scuttle trade talks with China and deal a blow to both economies. The Wall Street Journal reported that China is considering canceling the trade talks in light of Trump’s threats.


Donald J. Trump

✔@realDonaldTrump
https://twitter.com/realDonaldTrump/status/1125069835044573186

For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods. These payments are partially responsible for our great economic results. The 10% will go up to 25% on Friday. 325 Billions Dollars....
[URL='https://twitter.com/realDonaldTrump/status/1125069835044573186']12:08 PM - May 5, 2019[/URL]

 

[Deplorable Yankee]

POLITICS
05/06/2019 07:05 am ET
Trump Lies Again About ‘China Paying Tariffs’ To The U.S. Treasury
The president’s threat to raise tariffs on Chinese goods would hit American consumers, not China.

By Mary Papenfuss

President Donald Trump on Sunday threatened to raise tariffs even higher on some Chinese products as he repeated the lie that China pays tariffs directly to the U.S. Treasury.

He claimed the “payments” have led to the improvement in the U.S. economy.

In fact, American consumers absorb the cost of tariffs on imported Chinese goods by paying higher prices for the products. The added costs are essentially a regressive tax on consumers because they’re not linked to income levels.

Trump tweeted his intention to hike tariffs to 25% on Friday and threatened to add tariffs to more products. The announcement sent global markets swooning as investors worried Trump’s threat could scuttle trade talks with China and deal a blow to both economies. The Wall Street Journal reported that China is considering canceling the trade talks in light of Trump’s threats.


Donald J. Trump

✔@realDonaldTrump

For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods. These payments are partially responsible for our great economic results. The 10% will go up to 25% on Friday. 325 Billions Dollars....
12:08 PM - May 5, 2019

Already covered post 2


wall st reacts to cow farts
before cow farts became a national joke thanks to AOC

 

[Zorro!]

And it costing us big time!

Trump's Trade War Cost U.S. More Than $3 Billion A Month, Economists Say | HuffPost

Trump's Tariffs Are Screwing Farmers. Many Still Won't Blame Him. | HuffPost

And doesn't understand trade deficits either. The fact the we importing more than we're exporting does not mean that we are loosing the difference....

Actually Trump's right about this too. In fact, the reason that the Trump administration was dead balls on on their Q1 2019 GDP projection and the "experts" all missed to the low side was because we had some badly needed relief from the trade deficit thanks to Trump's efforts to balance trade.

Here is the inarguable fact.

THE TRADE DEFICIT IS A SUBTRACTION FROM GDP.​

So how does this impact real world GDP?

Our Gross Domestic Product increased in 2018 from $19,485.394B to $ 20,494.079B an increase of $1,008.685B

The 2018 current account balance deficit was a loss of $488.472B.

Without this subtraction, 2018 GDP would have been $1,497.157B or nearly half again higher.

 

[Deplorable Yankee]

POLITICS
05/06/2019 07:05 am ET
Trump Lies Again About ‘China Paying Tariffs’ To The U.S. Treasury
The president’s threat to raise tariffs on Chinese goods would hit American consumers, not China.

By Mary Papenfuss

President Donald Trump on Sunday threatened to raise tariffs even higher on some Chinese products as he repeated the lie that China pays tariffs directly to the U.S. Treasury.

He claimed the “payments” have led to the improvement in the U.S. economy.

In fact, American consumers absorb the cost of tariffs on imported Chinese goods by paying higher prices for the products. The added costs are essentially a regressive tax on consumers because they’re not linked to income levels.

Trump tweeted his intention to hike tariffs to 25% on Friday and threatened to add tariffs to more products. The announcement sent global markets swooning as investors worried Trump’s threat could scuttle trade talks with China and deal a blow to both economies. The Wall Street Journal reported that China is considering canceling the trade talks in light of Trump’s threats.


Donald J. Trump

✔@realDonaldTrump

For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods. These payments are partially responsible for our great economic results. The 10% will go up to 25% on Friday. 325 Billions Dollars....
12:08 PM - May 5, 2019

and not for nuttin sweetie pie the chinks already made thier demands known ...

 

[edward37]

POLITICS
05/06/2019 07:05 am ET
Trump Lies Again About ‘China Paying Tariffs’ To The U.S. Treasury
The president’s threat to raise tariffs on Chinese goods would hit American consumers, not China.

By Mary Papenfuss

President Donald Trump on Sunday threatened to raise tariffs even higher on some Chinese products as he repeated the lie that China pays tariffs directly to the U.S. Treasury.

He claimed the “payments” have led to the improvement in the U.S. economy.

In fact, American consumers absorb the cost of tariffs on imported Chinese goods by paying higher prices for the products. The added costs are essentially a regressive tax on consumers because they’re not linked to income levels.

Trump tweeted his intention to hike tariffs to 25% on Friday and threatened to add tariffs to more products. The announcement sent global markets swooning as investors worried Trump’s threat could scuttle trade talks with China and deal a blow to both economies. The Wall Street Journal reported that China is considering canceling the trade talks in light of Trump’s threats.


Donald J. Trump

✔@realDonaldTrump

For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods. These payments are partially responsible for our great economic results. The 10% will go up to 25% on Friday. 325 Billions Dollars....
12:08 PM - May 5, 2019

and not for nuttin sweetie pie the chinks already made thier demands known ...

So China is finished talking with no meetings upcoming??? Farmers are feeling the pain ...among others

 

[TheProgressivePatriot]

And it costing us big time!

Trump's Trade War Cost U.S. More Than $3 Billion A Month, Economists Say | HuffPost

Trump's Tariffs Are Screwing Farmers. Many Still Won't Blame Him. | HuffPost

And doesn't understand trade deficits either. The fact the we importing more than we're exporting does not mean that we are loosing the difference....

Actually Trump's right about this too. In fact, the reason that the Trump administration was dead balls on on their Q1 2019 GDP projection and the "experts" all missed to the low side was because we had some badly needed relief from the trade deficit thanks to Trump's efforts to balance trade.

Here is the inarguable fact.

THE TRADE DEFICIT IS A SUBTRACTION FROM GDP.​

So how does this impact real world GDP?

Our Gross Domestic Product increased in 2018 from $19,485.394B to $ 20,494.079B an increase of $1,008.685B

The 2018 current account balance deficit was a loss of $488.472B.

Without this subtraction, 2018 GDP would have been $1,497.157B or nearly half again higher.

Interesting how you toss this stuff out there without a source.

 

[edward37]

The Art of the Deal??? BS only way he dealt was with teams of lawyers threatening everyone

 

[Zorro!]

And it costing us big time!

Trump's Trade War Cost U.S. More Than $3 Billion A Month, Economists Say | HuffPost

Trump's Tariffs Are Screwing Farmers. Many Still Won't Blame Him. | HuffPost

And doesn't understand trade deficits either. The fact the we importing more than we're exporting does not mean that we are loosing the difference....

Actually Trump's right about this too. In fact, the reason that the Trump administration was dead balls on on their Q1 2019 GDP projection and the "experts" all missed to the low side was because we had some badly needed relief from the trade deficit thanks to Trump's efforts to balance trade.

Here is the inarguable fact.

THE TRADE DEFICIT IS A SUBTRACTION FROM GDP.​

So how does this impact real world GDP?

Our Gross Domestic Product increased in 2018 from $19,485.394B to $ 20,494.079B an increase of $1,008.685B

The 2018 current account balance deficit was a loss of $488.472B.

Without this subtraction, 2018 GDP would have been $1,497.157B or nearly half again higher.

Interesting how you toss this stuff out there without a source.

These aren't obscure pieces of information, they are available to anyone who wants them.

Balance on the Current Account is here:

U.S. Bureau of Economic Analysis, Balance on current account [IEABCA], retrieved from FRED, Federal Reserve Bank of St. Louis; Balance on current account, May 11, 2019.

GDP is here:

U.S. Bureau of Economic Analysis, Gross Domestic Product [GDPA], retrieved from FRED, Federal Reserve Bank of St. Louis; Gross Domestic Product, May 11, 2019.

 

[edward37]

Is this "winning" ? f**k Trump! Biggest idiot and unfit clown to ever disgrace the White House


About this website

USATODAY.COM

How the trade war with China could hit you: Higher prices, lost jobs and falling stocks

 

[Deplorable Yankee]

POLITICS
05/06/2019 07:05 am ET
Trump Lies Again About ‘China Paying Tariffs’ To The U.S. Treasury
The president’s threat to raise tariffs on Chinese goods would hit American consumers, not China.

By Mary Papenfuss

President Donald Trump on Sunday threatened to raise tariffs even higher on some Chinese products as he repeated the lie that China pays tariffs directly to the U.S. Treasury.

He claimed the “payments” have led to the improvement in the U.S. economy.

In fact, American consumers absorb the cost of tariffs on imported Chinese goods by paying higher prices for the products. The added costs are essentially a regressive tax on consumers because they’re not linked to income levels.

Trump tweeted his intention to hike tariffs to 25% on Friday and threatened to add tariffs to more products. The announcement sent global markets swooning as investors worried Trump’s threat could scuttle trade talks with China and deal a blow to both economies. The Wall Street Journal reported that China is considering canceling the trade talks in light of Trump’s threats.


Donald J. Trump

✔@realDonaldTrump

For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods. These payments are partially responsible for our great economic results. The 10% will go up to 25% on Friday. 325 Billions Dollars....
12:08 PM - May 5, 2019

and not for nuttin sweetie pie the chinks already made thier demands known ...

So China is finished talking with no meetings upcoming??? Farmers are feeling the pain ...among others

bloody nose references do not register either eh ?

not all of em the ones dependent on exports ...soybeans and hogs

what are you doing to help them through the orange man bad times?

 

[jc456]

jesus h whats stoppin the chinese from eating the ten percent on their end? apparently according to some reports not much!
if the chinese are covering the ten percent what does it matter if myself or a freight forwarder , a chink warehouse stuffed with chink nationals operating at of redhook ...OR goddamn ford pays the friggin duties...youre still not out the 10% and the consumer feels ungotz

Well they can deny the shipments and send them back. Does it really take rocket science?

 

[TheProgressivePatriot]

Trump will live to regret this insanity:

11 million U.S. workers are affected by Trump's trade war, and they're largely in Trump country

 

[edward37]

POLITICS
05/06/2019 07:05 am ET
Trump Lies Again About ‘China Paying Tariffs’ To The U.S. Treasury
The president’s threat to raise tariffs on Chinese goods would hit American consumers, not China.

By Mary Papenfuss

President Donald Trump on Sunday threatened to raise tariffs even higher on some Chinese products as he repeated the lie that China pays tariffs directly to the U.S. Treasury.

He claimed the “payments” have led to the improvement in the U.S. economy.

In fact, American consumers absorb the cost of tariffs on imported Chinese goods by paying higher prices for the products. The added costs are essentially a regressive tax on consumers because they’re not linked to income levels.

Trump tweeted his intention to hike tariffs to 25% on Friday and threatened to add tariffs to more products. The announcement sent global markets swooning as investors worried Trump’s threat could scuttle trade talks with China and deal a blow to both economies. The Wall Street Journal reported that China is considering canceling the trade talks in light of Trump’s threats.


Donald J. Trump

✔@realDonaldTrump

For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods. These payments are partially responsible for our great economic results. The 10% will go up to 25% on Friday. 325 Billions Dollars....
12:08 PM - May 5, 2019

and not for nuttin sweetie pie the chinks already made thier demands known ...

So China is finished talking with no meetings upcoming??? Farmers are feeling the pain ...among others

bloody nose references do not register either eh ?

not all of em the ones dependent on exports ...soybeans and hogs

what are you doing to help them through the orange man bad times?

Me? Nothing Trump will give them plenty of free help Next time they won't vote for the moron

 

[Zorro!]

Is this "winning" ? f**k Trump! Biggest idiot and unfit clown to ever disgrace the White House

This most certainly IS winning:

Say "Thank you" to the Chinese for that spike to right in funds flowing into the US Treasury.

The Chinese Guy doesn't look too happy about it!

 

[edward37]

But there is good news Those states getting hit the HARDEST are those that voted for Trump ,,,There is a GOD

 

[Hellokitty]

'President Trump said in a Twitter thread Friday that China is paying billions of dollars to the U.S. Treasury due to tariffs hours after he reignited the trade war with a tariff spike. This is a claim he's made before, including back in January, when he said it twice during a press conference and on Twitter.

Reality check: The tariffs are paid by U.S. importers of affected Chinese goods, not by China's government or by Chinese companies. Importers then either raise costs on consumers, lower their own profit margins or both.'

President Trump is wrong on how China tariffs work

What a fucking idiot Trump is...he does not even know how a tariff works.

Hey MORON...it's an import tariff. Why the fuck would China pay for an import tariff? Moron.

What a useless piece of shit he is.

Why don't liberals shame companies that charge the consumer more instead of lowering their own profit margins? Liberals have no issue telling companies to lower their profit margins so they can pay higher wages.

Also if people want to buy goods made in China what's the problem with them having to pay more? A lot of the cheep products made in China can be made in the US. Why should the exact same product cost less if it's made in China vs. made in the US?

 

[Thinker101]

Ahhh, no.

Ahhh, yes

So the purpose of a tariff, according to you, is what? Collecting a duty? Dumbass.

post #63

dumbass -

Sigh...WTF, all you idiots belong to the same club?

apparently youre the idiot - youre the moron who doesnt know how tariffs work-

kudos dumbass ..

My question was, do you know the purpose of tariffs? You can read, right? Dumbass.

 

[charwin95]

Trump's tariff increase today only will cost American families $767 per year.

How will the tariff increase impact Americans?

In reality it’s far more than $767.

If you own a business. Then you go out and buy supplies, hardwares, softwares, groceries and other commodities that went up. Definitely I will increase my prices.
Prices across the board from commodities to services will increase because of trade wars.

 

[Hellokitty]

Consumers pay for Tariffs

Trump is charging working Americans in his trade war

Nope.....Not only are Americans forced to buy crap because nobody makes good stuff anymore, but now they can buy from a new American company (not crap), who employs Americans, pays taxes to our IRS, and has to stand up to any lawsuits because their product injured somebody....that should make your ambulance-chasers and venture capitalists happy....did you know Schumer is supporting Trump on these tariffs?

Another ignorant Trumpbot who has no clue about macroeconomics.

Okay dufus - I'll try to make it so simple even you can understand it.

If you have two widgets sold in America and of equal quality. One is made in China and costs $10. One is made in America and costs $12. Now, thanks to Trump's tariffs...that Chinese made widget costs $15. So, naturally, people start buying the American widget...but not for $12.

You see, the American corporation knows they can jack the price up to $13.50 and still be undercutting the Chinese widget nicely. So that is what they will do. That is how business operates.

Result?

American consumers - many of whom are poor/on fixed incomes and depended on that cheap Chinese widget to make ends meet - now have to pay 35% more for the same product. So that means they have less money to spend on other things. That's called 'inflation'. And that could hurt the poor a TON.

And what about these jobs you think will result?

They will only be temporary. Since the extra sales are SOLELY based on the tariffs and since the tariffs could be removed at any time, there is NO WAY that a company is going to build a new factory for the added production. So they will just add another shift or something similar.

Finally, the tariffs will cost jobs as many American companies depend on cheap Chinese imports so that they can manufacture their products cheaper. With that source gone, they will have to use more expensive components. This will raise the price of their products (more inflation) and cause layoffs as they lose competitiveness.

Trump’s lumber tariffs to cause job losses, higher home prices
Trump's massive new tariffs could end up costing America 146,000 jobs
Here's How Many Jobs America Could Lose Because of the Trump Tariffs

So what is the result?

Some temporary, added US jobs. Much higher prices for consumers and US jobs losses.


I realize you Trumpbots either cannot or will not read anything negative against your messiah. But Trump's tariffs will not help the US economy ONE LITTLE BIT.

That is why the markets are tanking every time the trade deal rumors are bad.


School is out.

And since you obviously learned nothing (because Trumpbots NEVER seem to learn)...you get an 'F'.


We are done here (for now).

Have a nice day.

Corporations understand if they raise prices more then people can afford they will be stuck with a storeroom full of widgets.