Warren Buffet - Tariffs are not paid by the Tooth Fairy

[franky1]

[facepalm]
did you really just hit the reply button without doing any research... oh how silly does that continually make you look

atleast try to look behind your lame media stop just echoing the sentiments they presented 2 months ago which got debunked back then.. your missing many points and now even out of date of that crap. find out how things are actually working in the real world right now. stop getting stuck in the project fear narrative of 2 months ago.

do try to learn about whom, when and how the tariffs affect things.
auto car makers did not ask for a 36month delay.. learn why
learn why GM is making more trucks than it did a fortnight ago (its a real world example, not a unknown lame media economist estimate you cite)

just try to learn something before you press the reply button

heres another real life example

your project fear you recite thinks it would take tesla 2-3 years to set up in a new country and costing billions upfront
tesla already leased properties for HQ, and showrooms in india. yep indian tesla showrooms in 2025(are you shocked? does it meet your narrative?)
yep leasing not building up from foundations

can you now grasp the difference between your narrative vs whats actually happening in the real world

[BADecker]

US companies are responding to Trump's tariffs, favorably, and as MAGA would want them to.


U.S. companies rush to reshore manufacturing as Trump tariffs reshape global trade


https://www.naturalnews.com/2025-05-24-us-companies-rush-to-reshore-manufacturing.html
    A record 90 percent of U.S. firms plan to relocate manufacturing domestically or switch to American suppliers due to Trump's aggressive tariffs (10–30 percent on imports from China, Mexico and Canada), signaling a major shift in supply chains.

    Tariff revenues hit $16.3 billion in April 2024, contributing to a $258 billion federal surplus, while forcing companies to adapt – 54 percent plan price hikes, and only 15 percent will absorb costs internally.

    The tariffs are achieving their goal of reviving U.S. manufacturing, with firms in critical sectors (e.g., electronics, pharmaceuticals) expanding domestic operations. However, labor shortages and supply chain bottlenecks remain hurdles.

    The administration frames tariffs as a national security measure to reduce reliance on adversarial nations like China, revitalize skilled jobs and strengthen the middle class – countering critics who initially dismissed them as consumer taxes.

    The policy's success has put tariff opponents in an awkward position, as data proves businesses are "voting with their factories" by reshoring, contradicting claims that tariffs were outdated or harmful.

A new trade survey has revealed that the majority of U.S. companies are planning to bring manufacturing and sourcing back to American soil in response to the aggressive tariff policies of President Donald Trump.
...

[paxmao]

US companies are responding to Trump's tariffs, favorably, and as MAGA would want them to.


U.S. companies rush to reshore manufacturing as Trump tariffs reshape global trade


https://www.naturalnews.com/2025-05-24-us-companies-rush-to-reshore-manufacturing.html
    A record 90 percent of U.S. firms plan to relocate manufacturing domestically or switch to American suppliers due to Trump's aggressive tariffs (10–30 percent on imports from China, Mexico and Canada), signaling a major shift in supply chains.

    Tariff revenues hit $16.3 billion in April 2024, contributing to a $258 billion federal surplus, while forcing companies to adapt – 54 percent plan price hikes, and only 15 percent will absorb costs internally.

    The tariffs are achieving their goal of reviving U.S. manufacturing, with firms in critical sectors (e.g., electronics, pharmaceuticals) expanding domestic operations. However, labor shortages and supply chain bottlenecks remain hurdles.

    The administration frames tariffs as a national security measure to reduce reliance on adversarial nations like China, revitalize skilled jobs and strengthen the middle class – countering critics who initially dismissed them as consumer taxes.

    The policy's success has put tariff opponents in an awkward position, as data proves businesses are "voting with their factories" by reshoring, contradicting claims that tariffs were outdated or harmful.

A new trade survey has revealed that the majority of U.S. companies are planning to bring manufacturing and sourcing back to American soil in response to the aggressive tariff policies of President Donald Trump.
...

Let's say that is correct and there will be "massive" investiments and returns to the US. Who will pay for this BA? Because I think it is going to be you (I means, assuming you are really some dude from Texas and not from Beiging).

Yep, there is a good reason why all those products were being imported - mostly because they were cheaper. Now the price will be more "American". I am guessing quite a bit of inflation comming and Jerome not blinking at keeping rates high.

[BADecker]

US companies are responding to Trump's tariffs, favorably, and as MAGA would want them to.


U.S. companies rush to reshore manufacturing as Trump tariffs reshape global trade


https://www.naturalnews.com/2025-05-24-us-companies-rush-to-reshore-manufacturing.html
  Â  A record 90 percent of U.S. firms plan to relocate manufacturing domestically or switch to American suppliers due to Trump's aggressive tariffs (10–30 percent on imports from China, Mexico and Canada), signaling a major shift in supply chains.

  Â  Tariff revenues hit $16.3 billion in April 2024, contributing to a $258 billion federal surplus, while forcing companies to adapt – 54 percent plan price hikes, and only 15 percent will absorb costs internally.

  Â  The tariffs are achieving their goal of reviving U.S. manufacturing, with firms in critical sectors (e.g., electronics, pharmaceuticals) expanding domestic operations. However, labor shortages and supply chain bottlenecks remain hurdles.

  Â  The administration frames tariffs as a national security measure to reduce reliance on adversarial nations like China, revitalize skilled jobs and strengthen the middle class – countering critics who initially dismissed them as consumer taxes.

  Â  The policy's success has put tariff opponents in an awkward position, as data proves businesses are "voting with their factories" by reshoring, contradicting claims that tariffs were outdated or harmful.

A new trade survey has revealed that the majority of U.S. companies are planning to bring manufacturing and sourcing back to American soil in response to the aggressive tariff policies of President Donald Trump.
...

Let's say that is correct and there will be "massive" investiments and returns to the US. Who will pay for this BA? Because I think it is going to be you (I means, assuming you are really some dude from Texas and not from Beiging).

Yep, there is a good reason why all those products were being imported - mostly because they were cheaper. Now the price will be more "American". I am guessing quite a bit of inflation comming and Jerome not blinking at keeping rates high.

It took decades for the Deep State to screw America. At the same time, they screwed many people around the world (including the UK) by making them less self-dependent. Trump in a few short months has already turned, say, half of the Deep State screwing of everybody around, so that you jokers have to stand on your own two feet for once.

Things like this don't happen overnight. But it will be a whole lot easier for America because the factories are still there, even if they are standing empty right at the moment. It will be easy to 're-populate' the factories so that we make ALL of our own products if necessary.

The Fed, if they don't work it right, will simply destroy themselves. Remember, we still have the availability of US Treasury notes anytime the Fed fails.

What I mean is, the Federal Reserve Bank is owned by European people and companies. If the US goes back to US Treasury notes, and simply cancels the Fed and the national debt, are you joker Europeans ready to go to war with the US?

[paxmao]

It is not the deep state BA, it is simple market dynamics. If something is expensive in the US and cheap elsewhere people will go to the cheaper - and oftetimes better. You have spend years blaming some misterious enemy for anything that goes wrong. You really require medical attention.

But anyway, some others are thinking of actually showing the public the influence of tariffs so there's no doubt about the effects:

https://finance.yahoo.com/news/tariffs-tariffing-walmart-shoppers-employees-202508912.html

These Walmart Price Hikes Are Going Viral After Trump Told The Chain To "EAT THE TARIFFS"

Yes... call the tooth fairy and tell companies that they need to go bankrupt because of your stupidity.

In mid-May, Walmart announced that price hikes were coming due to President Trump's tariffs. Other brands like Best Buy, AutoZone, and Adidas have also said they'll have to raise prices because the tariffs will increase their costs of doing business.

[BADecker]

You realize, paxmao, don't you, that the Deep State is the thing that is trying to manipulate marketing all the time.

People going where something is cheap is different that government directing them to go where government says the cheap things exist.

You don't need medical attention, but other people need to wake up to your Deep State mentality that tries to direct them into your stupidity.

Prices going viral are simply the change taking place. Once it is accomplished, things will be so MAGA that people will only have to work 4 hours a day - and on only one job - to support themselves and their whole family.

You really need to take a look at what is going on in America, and then teach your fellow Brits how to implement it over there... rather than leaching a free ride off America.

[paxmao]

You realize, paxmao, don't you, that the Deep State is the thing that is trying to manipulate marketing all the time.

People going where something is cheap is different that government directing them to go where government says the cheap things exist.

You don't need medical attention, but other people need to wake up to your Deep State mentality that tries to direct them into your stupidity.

Prices going viral are simply the change taking place. Once it is accomplished, things will be so MAGA that people will only have to work 4 hours a day - and on only one job - to support themselves and their whole family.

You really need to take a look at what is going on in America, and then teach your fellow Brits how to implement it over there... rather than leaching a free ride off America.

Not the case. China, Japan earlier with cars, India with Steel... there is no market manipulation, it simply people who can do it cheaper, beter and faster that the US.

You have created an imaginary enemy behind anything that does not fit Trump's narrative and, since it is shapless and lives in your imagination, can never be defeated. A text-book delusion, but very useful to manipulate you and many others I reckon.

Prices are not "going viral", the are rising sharply. This is indeed the "change" taking place and at this pace, there may be other "changes" taking place soon in the Capitol and the Senate.

As usual, you are assuming too much, all I can say is that I would not brag about having Trump leading even a local country fair, less so a country.

[franky1]

Not the case. China, Japan earlier with cars, India with Steel... there is no market manipulation, it simply people who can do it cheaper, beter and faster that the US.

what you dont realise is china is not that much cheaper

what you do not understand is DECADES ago, china did some manipulative crap where the chinese government subsidised car/steal industry to make things BELOW THEIR COST
this tricked the US into using china, and then creating multi-decade long trade deals(treaties) which bound companies into using china long term..
during this time though china raised their prices to normal costs and profits. so the spread between US vs china prices shrunk, thus was no longer that far apart

america could not* simply drop china and use other countries which were cheaper than china(EG vietnam) nor bring majority of production back to the US
*more so bush, obama, biden were too afraid to pull the rope from china's legs and cut new deals


but now, things can change.. and things are changing and the US is not wanting to get into the same trap again
car manufacturers are happy that new deals are being done

[paxmao]

Not the case. China, Japan earlier with cars, India with Steel... there is no market manipulation, it simply people who can do it cheaper, beter and faster that the US.

what you dont realise is china is not that much cheaper

what you do not understand is DECADES ago, china did some manipulative crap where the chinese government subsidised car/steal industry to make things BELOW THEIR COST
this tricked the US into using china, and then creating multi-decade long trade deals(treaties) which bound companies into using china long term..
during this time though china raised their prices to normal costs and profits. so the spread between US vs china prices shrunk, thus was no longer that far apart

america could not* simply drop china and use other countries which were cheaper than china(EG vietnam) nor bring majority of production back to the US
*more so bush, obama, biden were too afraid to pull the rope from china's legs and cut new deals


but now, things can change.. and things are changing and the US is not wanting to get into the same trap again
car manufacturers are happy that new deals are being done

That is a very vage statement. China is still cheaper in many products, including petrochemicals and low-tech pound crap articles.

However, over the years has become also faster and better in, for example, good-quality electronics. For example Xiaomi and Huawei are not below anything produced elsewhere (just as example, there are millions). The fact is that China has build a fantastic manufacturing ecosystem, particularly for a range of electronics. Meanwhile the US has not been competitive on this.

This is Apple's CEO (again, I already posted it) explaining why China es far superior to the US is manufacturing of upmarket electronics and this explains how the end consumer will have to deal with a higher price:

https://www.youtube.com/watch?v=L9f5SQQKr5o

And now the POTUS wants to take back home so that the manufacturing ecosystem comes back home. But, and this is the point of the OP, there is a hefty bill to be paid for it and that is going to be paid by the american public.

Even Trump knows this and is calling for business to assume the loses instead of passing them to consumers.
https://youtu.be/kV3AnE-cAXU?t=6

"EAT THE TARIFfS" ... how is that? He said that tariffs would be paid by the other countries? Do you think he might have been... I do not know... lying about it?

So, failing Wallmart and Apple eating the costs... I think it is definetly time to call the Tooth Fairy.

It is just amazing that a President is calling for a private company on setting prices to his liking under what seems to be a threat.

[BADecker]

Since the government has Constitution control of the borders directly, and indirect control of the companies through the Contract Clause, it's good to see a President like Trump finally using his legal authority to MAGA.

[franky1]

Not the case. China, Japan earlier with cars, India with Steel... there is no market manipulation, it simply people who can do it cheaper, beter and faster that the US.

what you dont realise is china is not that much cheaper

what you do not understand is DECADES ago, china did some manipulative crap where the chinese government subsidised car/steal industry to make things BELOW THEIR COST
this tricked the US into using china, and then creating multi-decade long trade deals(treaties) which bound companies into using china long term..
during this time though china raised their prices to normal costs and profits. so the spread between US vs china prices shrunk, thus was no longer that far apart

america could not* simply drop china and use other countries which were cheaper than china(EG vietnam) nor bring majority of production back to the US
*more so bush, obama, biden were too afraid to pull the rope from china's legs and cut new deals


but now, things can change.. and things are changing and the US is not wanting to get into the same trap again
car manufacturers are happy that new deals are being done

That is a very vage statement. China is still cheaper in many products, including petrochemicals and low-tech pound crap articles.

However, over the years has become also faster and better in, for example, good-quality electronics. For example Xiaomi and Huawei are not below anything produced elsewhere (just as example, there are millions). The fact is that China has build a fantastic manufacturing ecosystem, particularly for a range of electronics. Meanwhile the US has not been competitive on this.

This is Apple's CEO (again, I already posted it) explaining why China es far superior to the US is manufacturing of upmarket electronics and this explains how the end consumer will have to deal with a higher price:

https://www.youtube.com/watch?v=L9f5SQQKr5o

if you listened to apples CEO. even he agrees that china is no longer the low labour country(i explained why)

as for skill
this is only able to be achieved if countries are locked into a multi decade treaty for being the main producer of a product, to then have sufficient guarantee that its worth investing in education, training and such

so now with these new trade deals de-coupling from china, what you will see is that chinese universities wont be offering as much education/training in certain industries.. where as places that are winning new treaties(locked in lengthy deals), such as india and vietnam will upskill and have education and training for these things

the vocational skill will drop in china and grow in vietnam due to these trade deals. along with vietnam having lower labour costs. the parts america import from vietnam will be cheaper. which will help america assemble finalised products cheaper than the last couple years

..
what you are not realising is the 'tooling' is done by machines now and those machines are leaving china and entering other countries, which is accelerating those countries abilities into months, instead of decades

EG take ancient history:
it took thousands of years to change from a stone mallet into a metal hammer. but once the metal hammer was made. it made different clans progress faster in days/months to make other tools by using the metal hammer

so although china grew from the 1970's to 2020's.. other countries can catch up in a few months-couple years.

heres the best example
TSMC took decades in taiwan to get down to the ability to produce 4nm chips

but here is the thing, it wont take america decades to catch up
TSMC is already capable of 4nm chips IN AMERICA
TSMC is also now building new facilities that will have more machines

so it wont be some multi decade long task to upskill/catch up with what china was able to do right now

as for "eat up the tariff"

there are ways to reduce the tariff internally between supplier/assembler/retailer. you might want to look into that. i think i gave you enough hints over the last few months what to look into

[paxmao]

Not the case. China, Japan earlier with cars, India with Steel... there is no market manipulation, it simply people who can do it cheaper, beter and faster that the US.

what you dont realise is china is not that much cheaper

what you do not understand is DECADES ago, china did some manipulative crap where the chinese government subsidised car/steal industry to make things BELOW THEIR COST
this tricked the US into using china, and then creating multi-decade long trade deals(treaties) which bound companies into using china long term..
during this time though china raised their prices to normal costs and profits. so the spread between US vs china prices shrunk, thus was no longer that far apart

america could not* simply drop china and use other countries which were cheaper than china(EG vietnam) nor bring majority of production back to the US
*more so bush, obama, biden were too afraid to pull the rope from china's legs and cut new deals


but now, things can change.. and things are changing and the US is not wanting to get into the same trap again
car manufacturers are happy that new deals are being done

That is a very vage statement. China is still cheaper in many products, including petrochemicals and low-tech pound crap articles.

However, over the years has become also faster and better in, for example, good-quality electronics. For example Xiaomi and Huawei are not below anything produced elsewhere (just as example, there are millions). The fact is that China has build a fantastic manufacturing ecosystem, particularly for a range of electronics. Meanwhile the US has not been competitive on this.

This is Apple's CEO (again, I already posted it) explaining why China es far superior to the US is manufacturing of upmarket electronics and this explains how the end consumer will have to deal with a higher price:

https://www.youtube.com/watch?v=L9f5SQQKr5o

if you listened to apples CEO. even he agrees that china is no longer the low labour country(i explained why)

as for skill
this is only able to be achieved if countries are locked into a multi decade treaty for being the main producer of a product, to then have sufficient guarantee that its worth investing in education, training and such

so now with these new trade deals de-coupling from china, what you will see is that chinese universities wont be offering as much education/training in certain industries.. where as places that are winning new treaties(locked in lengthy deals), such as india and vietnam will upskill and have education and training for these things

the vocational skill will drop in china and grow in vietnam due to these trade deals. along with vietnam having lower labour costs. the parts america import from vietnam will be cheaper. which will help america assemble finalised products cheaper than the last couple years

..
what you are not realising is the 'tooling' is done by machines now and those machines are leaving china and entering other countries, which is accelerating those countries abilities into months, instead of decades

EG take ancient history:
it took thousands of years to change from a stone mallet into a metal hammer. but once the metal hammer was made. it made different clans progress faster in days/months to make other tools by using the metal hammer

so although china grew from the 1970's to 2020's.. other countries can catch up in a few months-couple years.

heres the best example
TSMC took decades in taiwan to get down to the ability to produce 4nm chips

but here is the thing, it wont take america decades to catch up
TSMC is already capable of 4nm chips IN AMERICA
TSMC is also now building new facilities that will have more machines

so it wont be some multi decade long task to upskill/catch up with what china was able to do right now

as for "eat up the tariff"

there are ways to reduce the tariff internally between supplier/assembler/retailer. you might want to look into that. i think i gave you enough hints over the last few months what to look into

Oh, and where are those multiyear treaties that cannot be broken? Are these stored safely in "Freeports"?

Or could it be that China is doing it cheaper, better and faster not just in production, but also in producing a large and well skilled workforce? It is well expressed in the video.

On TSMC, I really hope that the investment in manufacturing capacity in the US actually happens. The risk concentration of having most of the production in Taiwan is simply incredible. This should have been done much earlier.

However, I see the same problem: you can bring the Ultraviolet printing machines to the US (and ASML, Belgium based. will thank you a lot for the purchases), but then you need the skilled maintenance and production professionals and you need them at the right price. I think that the implementation will take longer than expected.

I have seen one indicator pointing to a good level of inflation in the US, however it is just a high-frequency measure so it can change also quite quickly. Otherwise, I keep thinking that there is a price to pay for all this and that it will come from the credit cards of the lower income americans.

[franky1]

so you quote apples CEO. and when its pointed out to you that he infact is actually saying china is not as cheap as it used to be.. suddenly you want to not listen to even his words..

you are a funny guy, but your scripts of comedy do not stand up to the facts

try to learn whats actually going on, instead of making jokes

by the way TSMC has already been building within the US prior to trump.. so your "hope that the investment in manufacturing capacity in the US actually happens" is already a reality

they have another facility being built right now and getting ready for a third.. so it IS happening
as for the skill
watch the video again
listen for the words "vocational skill"
google "vocational skill meaning" and get the result ON THE JOB TRAINING

china is only skilled because they done the job to learn it. TSMC has already sent people from america years ago to learn the chinese practices and then got them doing it in america.

it took china decades to get efficient CNC machines that make other tooling stuff.. but now all america needs is the CNC machine and a few weeks training
using a very old but well known example in history:
what you need to learn is it took 1000 attempts over years to make the first reliable lightbulb worthy of being sold.. but once you have the functional prototype that meets standards, you then mass produce using moulds that can be replicated.. and be able to make billions of lightbulbs that work, quickly
(the first 1000 R&D bulbs take years, but the functional end product can make 1000 bulbs an hour)

it took china decades to get to the state they are at now, but they have dialled in all the efficiencies and methods that work. so now passing on latest knowledge takes hours/days/weeks. not decades

its called R&D. china done it all, taking the time and trial and error.. and now passing on the result can be done quickly

so research the research, it wont take you long

anyways..
i hope it does not take you years to learn how businesses can 'eat up' the tariff's or more precisely legally avoid tariff's to not pass on the cost to the customer.. the methods will make you chuckle as much as warren buffet chuckled when asked about his worry about tariffs

[paxmao]

so you quote apples CEO. and when its pointed out to you that he infact is actually saying china is not as cheap as it used to be.. suddenly you want to not listen to even his words..

you are a funny guy, but your scripts of comedy do not stand up to the facts

try to learn whats actually going on, instead of making jokes

by the way TSMC has already been building within the US prior to trump.. so your "hope that the investment in manufacturing capacity in the US actually happens" is already a reality

they have another facility being built right now and getting ready for a third.. so it IS happening
as for the skill
watch the video again
listen for the words "vocational skill"
google "vocational skill meaning" and get the result ON THE JOB TRAINING

china is only skilled because they done the job to learn it. TSMC has already sent people from america years ago to learn the chinese practices and then got them doing it in america.

it took china decades to get efficient CNC machines that make other tooling stuff.. but now all america needs is the CNC machine and a few weeks training
using a very old but well known example in history:
what you need to learn is it took 1000 attempts over years to make the first reliable lightbulb worthy of being sold.. but once you have the functional prototype that meets standards, you then mass produce using moulds that can be replicated.. and be able to make billions of lightbulbs that work, quickly
(the first 1000 R&D bulbs take years, but the functional end product can make 1000 bulbs an hour)

it took china decades to get to the state they are at now, but they have dialled in all the efficiencies and methods that work. so now passing on latest knowledge takes hours/days/weeks. not decades

its called R&D. china done it all, taking the time and trial and error.. and now passing on the result can be done quickly

so research the research, it wont take you long

anyways..
i hope it does not take you years to learn how businesses can 'eat up' the tariff's or more precisely legally avoid tariff's to not pass on the cost to the customer.. the methods will make you chuckle as much as warren buffet chuckled when asked about his worry about tariffs

Please, enlighten me... How are business going to "eat" the costs of tariffs? In my book that means reducing profits to support Trumps agenda, which many shareholder will not be willing to do. What is you DIY (what you call your DYOR) on this? Please do not tell me that it will be using "freeports"?

Do you think that Trump is going to put a tariff policy and then make sure that companies pass over it? Are you mental?

All I am saying is that:

- China is still cheaper in many products.
- In many other is faster or better.
- In all cases has build a fantastic ecosystem that the US has not. (the video is about this later).

And the bottom line is that the lower income US inhabitants are going to pay the bill of having a moroon as POTUS, and maybe, only maybe, they will learn the lesson for the next time - if they vote at all.

Meanwhile you are providing "that type of evidence" on how the prices are not going to raise. And I am sure you have "that type of evidence" on why raising the US debt in 5 Trillion is also a great idea because "business will eat the debt, it will be paid by foreingers, the "freeports" will pay it or some other of those six year old explanations).

[BADecker]

so you quote apples CEO. and when its pointed out to you that he infact is actually saying china is not as cheap as it used to be.. suddenly you want to not listen to even his words..

you are a funny guy, but your scripts of comedy do not stand up to the facts

try to learn whats actually going on, instead of making jokes

by the way TSMC has already been building within the US prior to trump.. so your "hope that the investment in manufacturing capacity in the US actually happens" is already a reality

they have another facility being built right now and getting ready for a third.. so it IS happening
as for the skill
watch the video again
listen for the words "vocational skill"
google "vocational skill meaning" and get the result ON THE JOB TRAINING

china is only skilled because they done the job to learn it. TSMC has already sent people from america years ago to learn the chinese practices and then got them doing it in america.

it took china decades to get efficient CNC machines that make other tooling stuff.. but now all america needs is the CNC machine and a few weeks training
using a very old but well known example in history:
what you need to learn is it took 1000 attempts over years to make the first reliable lightbulb worthy of being sold.. but once you have the functional prototype that meets standards, you then mass produce using moulds that can be replicated.. and be able to make billions of lightbulbs that work, quickly
(the first 1000 R&D bulbs take years, but the functional end product can make 1000 bulbs an hour)

it took china decades to get to the state they are at now, but they have dialled in all the efficiencies and methods that work. so now passing on latest knowledge takes hours/days/weeks. not decades

its called R&D. china done it all, taking the time and trial and error.. and now passing on the result can be done quickly

so research the research, it wont take you long

anyways..
i hope it does not take you years to learn how businesses can 'eat up' the tariff's or more precisely legally avoid tariff's to not pass on the cost to the customer.. the methods will make you chuckle as much as warren buffet chuckled when asked about his worry about tariffs

Please, enlighten me... How are business going to "eat" the costs of tariffs? In my book that means reducing profits to support Trumps agenda, which many shareholder will not be willing to do. What is you DIY (what you call your DYOR) on this? Please do not tell me that it will be using "freeports"?

Do you think that Trump is going to put a tariff policy and then make sure that companies pass over it? Are you mental?

All I am saying is that:

- China is still cheaper in many products.
- In many other is faster or better.
- In all cases has build a fantastic ecosystem that the US has not. (the video is about this later).

And the bottom line is that the lower income US inhabitants are going to pay the bill of having a moroon as POTUS, and maybe, only maybe, they will learn the lesson for the next time - if they vote at all.

Meanwhile you are providing "that type of evidence" on how the prices are not going to raise. And I am sure you have "that type of evidence" on why raising the US debt in 5 Trillion is also a great idea because "business will eat the debt, it will be paid by foreingers, the "freeports" will pay it or some other of those six year old explanations).

Let franky1 answer. But there isn't anything difficult about it.

The median annual income in the US is around $50,000.

The low end is people living on the streets or in their cars.

High end is the major company owners.

Major companies can easily afford to absorb the financial loss they might incur from the tariffs. Even if Trump closes their international trade loopholes that give them ways around the tariffs, they can afford to adapt by starting to make their complete product line in the US.

When this happens, the median income will rise, because jobs in other countries will come back to the US. All it will take is a little time. There might be temporary pain for all, but it is only temporary as Americans adapt. No more 'low end', living on the streets and in their cars.

There is nothing difficult about this at all.

One of the major things that people don't realize is that tariffs barely apply to sole proprietorships.

[paxmao]

so you quote apples CEO. and when its pointed out to you that he infact is actually saying china is not as cheap as it used to be.. suddenly you want to not listen to even his words..

you are a funny guy, but your scripts of comedy do not stand up to the facts

try to learn whats actually going on, instead of making jokes

by the way TSMC has already been building within the US prior to trump.. so your "hope that the investment in manufacturing capacity in the US actually happens" is already a reality

they have another facility being built right now and getting ready for a third.. so it IS happening
as for the skill
watch the video again
listen for the words "vocational skill"
google "vocational skill meaning" and get the result ON THE JOB TRAINING

china is only skilled because they done the job to learn it. TSMC has already sent people from america years ago to learn the chinese practices and then got them doing it in america.

it took china decades to get efficient CNC machines that make other tooling stuff.. but now all america needs is the CNC machine and a few weeks training
using a very old but well known example in history:
what you need to learn is it took 1000 attempts over years to make the first reliable lightbulb worthy of being sold.. but once you have the functional prototype that meets standards, you then mass produce using moulds that can be replicated.. and be able to make billions of lightbulbs that work, quickly
(the first 1000 R&D bulbs take years, but the functional end product can make 1000 bulbs an hour)

it took china decades to get to the state they are at now, but they have dialled in all the efficiencies and methods that work. so now passing on latest knowledge takes hours/days/weeks. not decades

its called R&D. china done it all, taking the time and trial and error.. and now passing on the result can be done quickly

so research the research, it wont take you long

anyways..
i hope it does not take you years to learn how businesses can 'eat up' the tariff's or more precisely legally avoid tariff's to not pass on the cost to the customer.. the methods will make you chuckle as much as warren buffet chuckled when asked about his worry about tariffs

Please, enlighten me... How are business going to "eat" the costs of tariffs? In my book that means reducing profits to support Trumps agenda, which many shareholder will not be willing to do. What is you DIY (what you call your DYOR) on this? Please do not tell me that it will be using "freeports"?

Do you think that Trump is going to put a tariff policy and then make sure that companies pass over it? Are you mental?

All I am saying is that:

- China is still cheaper in many products.
- In many other is faster or better.
- In all cases has build a fantastic ecosystem that the US has not. (the video is about this later).

And the bottom line is that the lower income US inhabitants are going to pay the bill of having a moroon as POTUS, and maybe, only maybe, they will learn the lesson for the next time - if they vote at all.

Meanwhile you are providing "that type of evidence" on how the prices are not going to raise. And I am sure you have "that type of evidence" on why raising the US debt in 5 Trillion is also a great idea because "business will eat the debt, it will be paid by foreingers, the "freeports" will pay it or some other of those six year old explanations).

Let franky1 answer. But there isn't anything difficult about it.

The median annual income in the US is around $50,000.

The low end is people living on the streets or in their cars.

High end is the major company owners.

Major companies can easily afford to absorb the financial loss they might incur from the tariffs. Even if Trump closes their international trade loopholes that give them ways around the tariffs, they can afford to adapt by starting to make their complete product line in the US.

When this happens, the median income will rise, because jobs in other countries will come back to the US. All it will take is a little time. There might be temporary pain for all, but it is only temporary as Americans adapt. No more 'low end', living on the streets and in their cars.

There is nothing difficult about this at all.

One of the major things that people don't realize is that tariffs barely apply to sole proprietorships.

In my book, lower income covers anything below 30k USD a year and BTW is racially distributed towards dark skins (black, latino, mixed,..)

If your theory is correct, those companies and their owners are going to say "that's ok, we will not raise prices, instead we will tell our shareholders that they will be making less money". What do you think shareholders will do with their money? What do you think they will do with any CEO that proposes that "strategy".

If my theory is correct, most of the impact will be passed to consumers.

However, most likely, as things are going now, a deal with China will be reached and Trump will say it all went as per his plan or "it was prank"

[franky1]

Please, enlighten me... How are business going to "eat" the costs of tariffs? In my book that means reducing profits to support Trumps agenda, which many shareholder will not be willing to do. What is you DIY (what you call your DYOR) on this? Please do not tell me that it will be using "freeports"?

Do you think that Trump is going to put a tariff policy and then make sure that companies pass over it? Are you mental?

All I am saying is that:

- China is still cheaper in many products.
- In many other is faster or better.
- In all cases has build a fantastic ecosystem that the US has not. (the video is about this later).

And the bottom line is that the lower income US inhabitants are going to pay the bill of having a moroon as POTUS, and maybe, only maybe, they will learn the lesson for the next time - if they vote at all.

Meanwhile you are providing "that type of evidence" on how the prices are not going to raise. And I am sure you have "that type of evidence" on why raising the US debt in 5 Trillion is also a great idea because "business will eat the debt, it will be paid by foreingers, the "freeports" will pay it or some other of those six year old explanations).

YOU keep thinking things are going to 5x in price or take a decade of empty shelves before retailers get to sell stuff thats american made

so lets give you all the hints again and let you then actually try to do some research to realise your mistakes when you enlighten yourself properly

trump is not actually wanting to close the ports and make every business a prisoner of the US resources to only build things from US supplies..
the whole point in having tariffs is to continue getting stuff from abroad, .. if trump wanted just US only he would simply close the ports and not play with tariffs

so knowing that he still wants businesses to get resources and parts abroad, what he actually doesnt want is the sole reliance of china as source
why, you might ask. because china IS NOT AS CHEAP AS OVER PLACES
however treaties have been locked into place for decades forcing businesses to use china as they have the treaty/permit/licence to be the supplier of goods on extended contracts covering decades

what trump does not want is companies to just prod along the same path, getting stuff from china and just passing the tariff onto the customer
instead he wants companies to think smarter. find other opportunities to be efficient and economic. find cheaper sources.. thus eating the tariff away

EG
lets say steal(for chassis) is $750/tonne in china.. but with a 145% tariff makes it $1,837.5
lets say steal(for chassis) is $1000/tonne in US.. but with 0% tariff but 25% more than china's 0% tariff old price
lets say other parts $30k combined, sourced china(pre tariff)
lets say other parts $15k combined, sourced india(pre tariff) .. so with 26% tariff $18.9k

so:
a car usually costing $40k with a 20% profit ($8k) trump doesnt want the car brand to raise the price by 25% or 145% using "tariff war" as excuse
what trump wants the car manufacturer to do is

a. car still $40k but instead of $8k profit, make $7750 profit due to $250 extra cost of steal
b. get parts from vietnam/india which are cheaper then china. thus increase profit overall when combines with a US steal chassis (+$11.9k = $19.65)

i simplified the numbers for demo but you should atleast get a hint at the idea
cars will/should not go from $40k to be $98k due to "china being charged 145%"
cars should still be $40k but where US assembly act smarter in their sourcing and not be reliant on china, and not penalise the US customer for it

and yes if you look into MFN and other deals(treaties) yet to be signed there will be special discounts on tariffs
and if you look deeper. when imports are not destined for "end customer" but instead are just transport from one department of a company to another department of same company on different land. there is no tariff if delivered through freeports which have different customs arrangements than normal
so companies will set up transfer paths from their own manufacturing factory in india to their own assembly factory in america and avoid tariff
EG lets take coca cola. that produce syrup in US but assemble end fizzy drink around the world. other countries dont charge coca-cola a tariff because the syrup is not going to end customer but a different department of same company to become fizzy drink to then sell domestically

get it yet

[paxmao]

Please, enlighten me... How are business going to "eat" the costs of tariffs? In my book that means reducing profits to support Trumps agenda, which many shareholder will not be willing to do. What is you DIY (what you call your DYOR) on this? Please do not tell me that it will be using "freeports"?

Do you think that Trump is going to put a tariff policy and then make sure that companies pass over it? Are you mental?

All I am saying is that:

- China is still cheaper in many products.
- In many other is faster or better.
- In all cases has build a fantastic ecosystem that the US has not. (the video is about this later).

And the bottom line is that the lower income US inhabitants are going to pay the bill of having a moroon as POTUS, and maybe, only maybe, they will learn the lesson for the next time - if they vote at all.

Meanwhile you are providing "that type of evidence" on how the prices are not going to raise. And I am sure you have "that type of evidence" on why raising the US debt in 5 Trillion is also a great idea because "business will eat the debt, it will be paid by foreingers, the "freeports" will pay it or some other of those six year old explanations).

YOU keep thinking things are going to 5x in price or take a decade of empty shelves before retailers get to sell stuff thats american made

Those are your words not mine. Do not attribute me things that are in your mind, it is a syptom of bad stuff there.

so lets give you all the hints again and let you then actually try to do some research to realise your mistakes when you enlighten yourself properly

trump is not actually wanting to close the ports and make every business a prisoner of the US resources to only build things from US supplies..
the whole point in having tariffs is to continue getting stuff from abroad, .. if trump wanted just US only he would simply close the ports and not play with tariffs

so knowing that he still wants businesses to get resources and parts abroad, what he actually doesnt want is the sole reliance of china as source
why, you might ask. because china IS NOT AS CHEAP AS OVER PLACES
however treaties have been locked into place for decades forcing businesses to use china as they have the treaty/permit/licence to be the supplier of goods on extended contracts covering decades

what trump does not want is companies to just prod along the same path, getting stuff from china and just passing the tariff onto the customer
instead he wants companies to think smarter. find other opportunities to be efficient and economic. find cheaper sources.. thus eating the tariff away

EG
lets say steal(for chassis) is $750/tonne in china.. but with a 145% tariff makes it $1,837.5
lets say steal(for chassis) is $1000/tonne in US.. but with 0% tariff but 25% more than china's 0% tariff old price
lets say other parts $30k combined, sourced china(pre tariff)
lets say other parts $15k combined, sourced india(pre tariff) .. so with 26% tariff $18.9k

so:
a car usually costing $40k with a 20% profit ($8k) trump doesnt want the car brand to raise the price by 25% or 145% using "tariff war" as excuse
what trump wants the car manufacturer to do is

a. car still $40k but instead of $8k profit, make $7750 profit due to $250 extra cost of steal
b. get parts from vietnam/india which are cheaper then china. thus increase profit overall when combines with a US steal chassis (+$11.9k = $19.65)

i simplified the numbers for demo but you should atleast get a hint at the idea
cars will/should not go from $40k to be $98k due to "china being charged 145%"
cars should still be $40k but where US assembly act smarter in their sourcing and not be reliant on china, and not penalise the US customer for it

and yes if you look into MFN and other deals(treaties) yet to be signed there will be special discounts on tariffs
and if you look deeper. when imports are not destined for "end customer" but instead are just transport from one department of a company to another department of same company on different land. there is no tariff if delivered through freeports which have different customs arrangements than normal
so companies will set up transfer paths from their own manufacturing factory in india to their own assembly factory in america and avoid tariff
EG lets take coca cola. that produce syrup in US but assemble end fizzy drink around the world. other countries dont charge coca-cola a tariff because the syrup is not going to end customer but a different department of same company to become fizzy drink to then sell domestically

get it yet

Yes you have effectively "simplified the numbers" to the point that they are not real and are not valid to analyse a wide carpet-bombing of all the sectors with tariffs - your usual DIY.

The fact is that you cannot justify:

a) How the upskilling works.
b) How the US companies are going to import parts without tariffs.
c) How are you going to convince others to invest in the US if they have to "eat up the tariff".

And so many other things your are skipping over.

But it is irrelevant, even a 20% increase in basic products or a number of industrial products is already very bad news for large swathes of the population.

There's nothing to look into Franky, most of the things you said do not even match each other. Like: tariffs are there, but they will be circunvented, and in any case they will not raise the prices... But when Amazon or Wallmart say that they are going to publish the cost of tariffs separately... oh, they should eat it, they are greedy.... all the usual excuses.

If they do not pass the cost to consumers, shareholders will eat them - and it does not matter if it is a 5% because there are many companies whose margings are quite tight, and these tend to be the ones that sell to the lower income classes. If you pass the cost to shareholders, they will simply take the money elsewhere and then investment in the US will diminish.

Again, Coca Cola is not an example in this context, but there is no reason why other countries could not choose to put tariffs on imports of syrup.

At this point all I need to understand, after the deals are closed and the real end tariffs are known, the effects in China, US and Europe. All the rest is just you pretending to know.

There is however something that will not be the same after this clowny pantomime by Trump: Business and countries will be very careful on trusting the US, ever.

[franky1]

YOU keep thinking things are going to 5x in price or take a decade of empty shelves before retailers get to sell stuff thats american made

Those are your words not mine. Do not attribute me things that are in your mind, it is a syptom of bad stuff there.

YOU were the one many conversations ago of this topic crying about the capex being many billions to bring full production to US and how that cost would be passed onto customers..
as i have explained many times, businesses will continue to do parts importing and US assembly method, thus reducing costs
as i have explained many times, trump is not closing the borders. even he knows US wont be full US sourced domestic production

your exaggerated numbers have been debunked and answered numerous times
dont pretend now that you did not exaggerate things to sound like high capex numbers being passed onto customers.. your whole multiple conversations of this topic show what your mind was thinking and words were saying

The fact is that you cannot justify:

a) How the upskilling works.
b) How the US companies are going to import parts without tariffs.
c) How are you going to convince others to invest in the US if they have to "eat up the tariff".

i have already explained ad-nauseam.. you having reading and memory problems is something you need to deal with

but to clarify once more:
a. people dont need to learn how to make a caveman hammer to then learn how to make a wooden mallet to then learn how to make a metal hammer..
it does not take millions of years to learn to make a metal hammer, just days worth of "vocational"(search for it in topic) training

b. as just said and said before.. transfering from one department of same company to another department of same company oversea's is treated as a different customs arrangement than that of selling parts to a customer.
also when the treaties are legally binding and voted in as law. they will have special arrangements for certain entities to get free access or discounts. just learn this stuff.. google is your friend. try it for once

c. there are, as explained already many methods to chew on the tariffs and break them up.. you pretend businesses just have to swallow the tariffs. learn that businesses will swap china for cheaper vietnam/india. and also set up parts factories under the brand in those countries and send it not as a sale to customer, but transfer to other operations.

There's nothing to look into Franky, most of the things you said do not even match each other. Like: tariffs are there, but they will be circunvented, and in any case they will not raise the prices... But when Amazon or Wallmart say that they are going to publish the cost of tariffs separately... oh, they should eat it, they are greedy.... all the usual excuses.

what you dont realise is this
amazon are doing greed flation tricks

lets say amazon wholesale buy a pair of shorts for $0.50 but retail it for $11 (yep shorts are actually $0.50 and less from foreign countries)
even at 145% amazon then say the customer has to pay $16 tariff so the total is $28

reality is amazon paid $0.50 for the shorts thus paid $0.72 tariff to get it delivered to amazon fulfilment/distribution centres. thus amazon could easily eat up the $0.72 extra and still profit by selling the shorts for $11

[paxmao]

YOU keep thinking things are going to 5x in price or take a decade of empty shelves before retailers get to sell stuff thats american made

Those are your words not mine. Do not attribute me things that are in your mind, it is a syptom of bad stuff there.

YOU were the one many conversations ago of this topic crying about the capex being many billions to bring full production to US and how that cost would be passed onto customers..

Which is not what you said above. You insist on me reading you posts, but obviously you do not put yourself over the painstaking effort of doing so.

as i have explained many times, businesses will continue to do parts importing and US assembly method, thus reducing costs
as i have explained many times, trump is not closing the borders. even he knows US wont be full US sourced domestic production

As I have explained many times, costs will go up. The more tariffs and closeness of the market the more up.

your exaggerated numbers have been debunked and answered numerous times

Sorry, I must have missed the debunking part. Is that the post in which you deny that massive investment will be needed or the one in which you say massive inversting is already taking place?

dont pretend now that you did not exaggerate things to sound like high capex numbers being passed onto customers.. your whole multiple conversations of this topic show what your mind was thinking and words were saying

There's no exageration as there seems to be no number... again, look in your mind, it may very well be there instead of in my post - a bad sign Franky, you are listening to voices.

The fact is that you cannot justify:

a) How the upskilling works.
b) How the US companies are going to import parts without tariffs.
c) How are you going to convince others to invest in the US if they have to "eat up the tariff".

i have already explained ad-nauseam.. you having reading and memory problems is something you need to deal with

but to clarify once more:
a. people dont need to learn how to make a caveman hammer to then learn how to make a wooden mallet to then learn how to make a metal hammer..
it does not take millions of years to learn to make a metal hammer, just days worth of "vocational"(search for it in topic) training

Please, do not blame me if I say that you give DIY explanations proper of a 6 year old. Most of the high-value added production (tb honest even manufacturing cheap and good hammers) requires training and sometimes years of training.

b. as just said and said before.. transfering from one department of same company to another department of same company oversea's is treated as a different customs arrangement than that of selling parts to a customer.
also when the treaties are legally binding and voted in as law. they will have special arrangements for certain entities to get free access or discounts. just learn this stuff.. google is your friend. try it for once
c. there are, as explained already many methods to chew on the tariffs and break them up.. you pretend businesses just have to swallow the tariffs. learn that businesses will swap china for cheaper vietnam/india. and also set up parts factories under the brand in those countries and send it not as a sale to customer, but transfer to other operations.

Nope, when it gets to the border, it gets taxed. There cannot be tariffs and no tariffs at the same time. You seem to claim that all those tariffs are equal to nothing and can be avoided. Simply not true.

There's nothing to look into Franky, most of the things you said do not even match each other. Like: tariffs are there, but they will be circunvented, and in any case they will not raise the prices... But when Amazon or Wallmart say that they are going to publish the cost of tariffs separately... oh, they should eat it, they are greedy.... all the usual excuses.

what you dont realise is this
amazon are doing greed flation tricks

lets say amazon wholesale buy a pair of shorts for $0.50 but retail it for $11 (yep shorts are actually $0.50 and less from foreign countries)
even at 145% amazon then say the customer has to pay $16 tariff so the total is $28

reality is amazon paid $0.50 for the shorts thus paid $0.72 tariff to get it delivered to amazon fulfilment/distribution centres. thus amazon could easily eat up the $0.72 extra and still profit by selling the shorts for $11

What you call "greedflation" is a company selling at the highest price they can and user buying at the lowest price they can. "Greedflation" does not exist in a market in which other competitors can simply lower the price and get the sale.

This is so simple, so basic and so easy to understand... supply, demand, price point... the veeery basics.

Why the f**k would Amazon have to renounce to even one single cent of what they can get their hands on? Do you think these companies are there for the "good of the people" This is not a "trick" Franky, companies in general are there to earn money, not to support Trumps political needs.