Trump tariffs can strengthen all country's economy while weakening the colony's!

[pooya87]

We've all heard about this tariff war many times. After the recent announcements most people are talking about how the American middle class is screwed and they have to eliminate a lot of things from their basket as they simply stop buying them since their price is going to go up.
But this image above made me think of something interesting: This can strengthen economy of every country while it can even go as far as destroying US economy. Lets see how...

The way he is waging an economic war against the rest of the world is only going to have one consequence: it will isolate the colony. Specially now that the Old World Order is dead (the world where US was the only power) and we've entered a New World Order (multipolar world).
What's interesting is that even back when the colony was at its peak of power (end of 1990's and early 2000's) someone like W. Bush didn't go against everyone with the wars he waged to cause this kind of isolation. Today US has not only lost that power, but has been on a downward spiral in the past 20+ years and the regime is isolating it more and more every day.

Here is some tariff %:
54% China
49% Cambodia
46% Vietnam
36% Thailand
26% India
24% Japan
20% EU
...

Now all these countries export to the colony and also import from it. When Trump adds new tariffs on imports from any of these countries, they can and some will do two things: add tariffs on imports from US (any or all products) and stop exporting certain things to the colony like raw materials which US needs to domestically produce stuff.

And here is the difference between tariffs set by US and tariff set by any of these countries, the US tariffs is on almost everyone but the tariffs of these countries is only on US. Therefore for these countries importing from US becomes more expensive but they have alternatives since they don't have same tariffs on other countries.
So basically US regime in that little picture I posted above created a massive demand for products of all countries.

Any country that recognizes this golden opportunity and makes an effect, can easily take the market out of the hands of US. When they do, it cannot be taken back easily even if Trump removes those tariffs in the future. The damage will be done

Imagine this scenario: US imposes 54% tariffs on China and China decides to reciprocate and impose tariffs on major agricultural exports of US (soybeans and corn) two items that were worth 50 billion dollars.
You are Thailand with 36% new tariffs (and have your tariffs on US products) but see that $50 billion opportunity in China and you already produce soybeans and corn, you can easily increase your production and exports to China to take over than market. Now US exports $50 billion less as its economy shrinks by that much while Thailand exports $50 billion more as its economy grows by that much

But I should emphasize again that this golden opportunity has to first be recognized and the governments have to put a lot of effort to be able to use it.

[AirtelBuzz]

We have been seeing for a long time that the crypto market is not improving in any way due to this problem. Still the US president is trying to add more in new ways. Recently, through the newspaper, it was observed that Donald Trump had published a list of reciprocal tariffs and he mentioned more than 180 countries there. A few days ago they tried to add 25 percent on imported vehicles, and now it may have been effective.

New tariffs have been imposed on different countries of our South Asia, which has reduced the price of the share here and many people are afraid that it can be economically adverse effects.

By the way, OP you may have made a slight mistake because there is a 34% tariff on China. Here is a list of Trump's new tariffs on various countries,

Trump reciprocal-tariffs countries-chart-imports-united-states.

[pooya87]

By the way, OP you may have made a slight mistake because there is a 34% tariff on China.

Thanks for pointing that out, but 54% is correct.
I forgot to mention that 34% rate that is being mentioned in these new sets of tariffs is the additional tariffs on China. There is already another tariff rate on China which is up to 20% so the sum will be 54% after this.

Trump is imposing a 54% total tariff rate on imports from China, effective April 9, a White House official said.

Chinese imports had already been subject to 20% tariffs. Another 34% in reciprocal tariffs is being put on top of that, the official said.

[Churchillvv]

Firstly when he was elected people said he was going to wage war against his enemy countries but here the new regime isn't fight an enemy but is now making itself the enemy of the world.

However must individuals will be able to point out this underlying opportunity but the governments don't think like an individual especially my country Nigeria, will probably go down on their knees instead of reciprocating by exporting raw materials to other countries where the are no tariffs for economic growth.

World common enemy isn't that a shame!

[AVE5]

We've all heard about this tariff war many times. After the recent announcements most people are talking about how the American middle class is screwed and they have to eliminate a lot of things from their basket as they simply stop buying them since their price is going to go up.
But this image above made me think of something interesting: This can strengthen economy of every country while it can even go as far as destroying US economy. Lets see how...

For a visionary country, yes this should optimize an economy creativity and infrastructures to reduce the rate of importations from the United States and facilitates on building oneself productively with the most common things that has been depended on the US production.
Definitely the disasterous outcome of this tarrif increase would call on sit-up or eye opening to do many countries.
Imagine having the resources to produce by yourself in the locality of what you imports from abroad, I think it'd safe you expenses of importations and then other countries can as well buy from you which revenues would contribute to the strengthening of your economy.
So the US can then consume their products by themselves and lately find their values in the global markets faded due to poor international purchasing orders.

[franky1]

What's interesting is that even back when the colony was at its peak of power (end of 1990's and early 2000's) someone like W. Bush didn't go against everyone with the wars he waged to cause this kind of isolation. Today US has not only lost that power, but has been on a downward spiral in the past 20+ years and the regime is isolating it more and more every day.

i really do have to make a point here as i have seen it many times in your many topics,
you have no clue about the word colony

as a brit i have to correct you

the north america was colonised HUNDREDS of years ago, not just by brits of my ancestors era. but by the spanish and french and even scandanavian and slavic nations and such
northern america had many colonies..

however. the politics, control of area's, jurisdictions and regimes and settler statuses have changed HUNDREDS of years ago
yes north america WAS colonised(past tense)
but the modern USA is no longer a colony.

just like australia is no longer a colony of british prisoners
yes tribal australia(the tribes had many names for the mainland) WAS colonised(past tense)
but the modern australia is no longer a colony.

for emphasis:
the united states of america today(21st century) is not a colony(singular)
north american land HAD colonies(plural) hundreds of years ago

..
as for tariffs, you still have alot to learn about how many countries and USA know how to use or get around the tariff's so is not like its going to be "trade WAR!!"
its more of just some economic drama that will settle down.

[Spaceman1000$]

We've all heard about this tariff war many times. After the recent announcements most people are talking about how the American middle class is screwed and they have to eliminate a lot of things from their basket as they simply stop buying them since their price is going to go up.
But this image above made me think of something interesting: This can strengthen economy of every country while it can even go as far as destroying US economy. Lets see how...

The way he is waging an economic war against the rest of the world is only going to have one consequence: it will isolate the colony. Specially now that the Old World Order is dead (the world where US was the only power) and we've entered a New World Order (multipolar world).
What's interesting is that even back when the colony was at its peak of power (end of 1990's and early 2000's) someone like W. Bush didn't go against everyone with the wars he waged to cause this kind of isolation. Today US has not only lost that power, but has been on a downward spiral in the past 20+ years and the regime is isolating it more and more every day.

Here is some tariff %:
54% China
49% Cambodia
46% Vietnam
36% Thailand
26% India
24% Japan
20% EU

I've been reading about the news of new tariff on imported goods in the US and it's different percentages for different countries. I just saw that of my country Nigeria listed at 14 percent. Honesty I feel this measures been taken by President Donald Trump is to help boost local production, you just talked about the middle class struggling to purchase things due to how things are with the economy and how pricey some items have become. so if there are local production of goods that could meet the demands of the American people, you will see the price rate dropping down because there will be production competitions among companies and that will help reduce price, however goods that are produced locally don't pay for important duties hence there is no need to arbitrally hike the prices of goods. Don't also forget that local production also creates job availability, which is also a plus to the economy.

[avp2306]

Firstly when he was elected people said he was going to wage war against his enemy countries but here the new regime isn't fight an enemy but is now making itself the enemy of the world.

However must individuals will be able to point out this underlying opportunity but the governments don't think like an individual especially my country Nigeria, will probably go down on their knees instead of reciprocating by exporting raw materials to other countries where the are no tariffs for economic growth.

World common enemy isn't that a shame!

His intention is clear and he always said that he want to make America rich again. This is selfish action made by Trump and I don't know if he even think about the negative effect of this actions since they might get affected if those nation turn their backs on them and choose other destination to trade their goods.

Hopefully there would be an enlightenment will come to Trump since for this actions might bring bad effect to his country since instead of getting positive effect on their economy they might experience a huge slow down especially that they might experience reduced of exports good and also heavy inflations.

They might also discourage investors to come because they don't want to deal with those high tariff impose by US.

[Cointxz]

 In my country, Tariff on goods from US is 34% while the current Tariff set for our goods to US is 17% which is still low compared on what we are currently using to US goods.

Tariffs is really good to make country doesn’t rely on exports especially on country like Philippines that has a good weather for crops and other raw materials to grow.

China will be heavily affected by this since they are the number 1 exporter of goods.

*cough* Temu

[rodskee]

Firstly when he was elected people said he was going to wage war against his enemy countries but here the new regime isn't fight an enemy but is now making itself the enemy of the world.

he did say that he wanted to promote domestic producers and that he has felt that usa was being taken advantage of of too many countries for far too long so here is he now trying to correct it

what will happen is there will be less demands for trades between different countries and the usa but if trump is confident that their local goods is enough to not need other imports then we shall see

However must individuals will be able to point out this underlying opportunity but the governments don't think like an individual especially my country Nigeria, will probably go down on their knees instead of reciprocating by exporting raw materials to other countries where the are no tariffs for economic growth.

well countries with lower tariffs will definitely use this to their advantage attracting other countries with higher tariffs to set camp in countries with low tariff and contribute to their growing economy

[coupable]

..
as for tariffs, you still have alot to learn about how many countries and USA know how to use or get around the tariff's so is not like its going to be "trade WAR!!"
its more of just some economic drama that will settle down.

I find your point of view logical and largely reasonable if we consider that the US administration is aware of the potential consequences of its choices and will certainly not do anything that would harm its economy. Therefore, Pooya's opinion becomes meaningless. However, there is an important point worth noting: the United States imposes additional tariffs on its imports from its most important sources of supply, while those same sources could stop exporting to the United States in search of new markets or impose taxes in return. In any case, these countries will not be completely harmed unless their economies are entirely dependent on exports to the US or their economies are chronically dependent, as is the case with Canada, which will be forced to defend numerous sectors harmed by the severing of relations between the two countries.

The point is that the US administration could be led by lunatics who are ready to destroy themselves. No one would imagine that an American president would implement schemes that would harm his country's interests, but in reality, we have seen lunatic American presidents. Was there a justification for the Iraq war, for example? Did the United States achieve any of the results it hoped for? The same thing happened with the Vietnam War, which completely drained the American economy without any returns. Today, Trump is leading a mad adventure under the umbrella of populism and racist ideas.

[DanWalker]

I've been reading about the news of new tariff on imported goods in the US and it's different percentages for different countries. I just saw that of my country Nigeria listed at 14 percent. Honesty I feel this measures been taken by President Donald Trump is to help boost local production, you just talked about the middle class struggling to purchase things due to how things are with the economy and how pricey some items have become. so if there are local production of goods that could make the demands of the American people, you will see the price rate dropping down because there will be production competitions among companies and that will help reduce price, however goods that are produced locally don't pay for important duties hence there is no need to arbitrally hike the prices of goods. Don't also forget that local production also creates job availability, which is also a plus to the economy.

But you forget one thing: the cost of living in the US is very expensive and that number will be higher in big cities like New York, Los Angeles or San Francisco...That is also why for decades, American corporations/businesses have never built factories and produced domestically. They look for countries with cheaper production costs such as China, India...to optimize profits as well as lower product prices.

Therefore, promoting domestic production is unlikely to solve the problem and ensure that US consumers have access to cheaper products. Moreover, domestic production is not as simple as you think. To be able to produce domestically, businesses need to rebuild infrastructure and this will cost a lot of time and money. I don't think businesses will be enthusiastic and supportive of this plan.

[Spaceman1000$]

I've been reading about the news of new tariff on imported goods in the US and it's different percentages for different countries. I just saw that of my country Nigeria listed at 14 percent. Honesty I feel this measures been taken by President Donald Trump is to help boost local production, you just talked about the middle class struggling to purchase things due to how things are with the economy and how pricey some items have become. so if there are local production of goods that could make the demands of the American people, you will see the price rate dropping down because there will be production competitions among companies and that will help reduce price, however goods that are produced locally don't pay for important duties hence there is no need to arbitrally hike the prices of goods. Don't also forget that local production also creates job availability, which is also a plus to the economy.

But you forget one thing: the cost of living in the US is very expensive and that number will be higher in big cities like New York, Los Angeles or San Francisco...That is also why for decades, American corporations/businesses have never built factories and produced domestically. They look for countries with cheaper production costs such as China, India...to optimize profits as well as lower product prices.

Therefore, promoting domestic production is unlikely to solve the problem and ensure that US consumers have access to cheaper products. Moreover, domestic production is not as simple as you think. To be able to produce domestically, businesses need to rebuild infrastructure and this will cost a lot of time and money. I don't think businesses will be enthusiastic and supportive of this plan.

So you will rather the American business community folds it's hands and allow productivity eludes them because of cheap productivity and cheap labor from China they've been enjoying for years. Your seeing the short time effect of the policies that the president is implementing, look at it in the long run where there is high level of productivity in America, where the cost of living will be brought down because of high level of productivity and availability of goods and services. For a first world economy like America, domestic production will not be tedious task, they have the resources and they have the manpower.

[Alpha Marine]

I agree with this. One mistake Trump is making is that there are hardly any items that only the US exports, and there are loads of things they import. If it becomes too difficult to do business with them, businesses will find other alternatives, and this will hurt the US.
Then there is the fact that the goods that they make it to the US will be very expensive.
It's insane to think this will in any way favour the US in the long run or even in the short run. As long as the US doesn't take the necessary steps to start producing goods to a level of importing just for the luxury of it, it won't be favourable to them

[pooya87]

However must individuals will be able to point out this underlying opportunity but the governments don't think like an individual especially my country Nigeria, will probably go down on their knees instead of reciprocating by exporting raw materials to other countries where the are no tariffs for economic growth.

I think all countries would take a similar approach not because of weakness but simply to avoid conflict which is the worst thing for the economy and its stability. So far we've seen markets dump (including bitcoin which had a surprisingly small drop IMO) which is a preview of what's to come: more recession, market volatility and worst of all uncertainty.

But it won't help as we've seen this already with US neighbors. So the reciprocations come next and I think all countries would eventually do that as well because that's the only way.

~
So you will rather the American business community folds it's hands and allow productivity eludes them because of cheap productivity and cheap labor from China they've been enjoying for years.

In short: they can't have their cake and eat it too.
They can't have a strong fiat (dollar) and keep its exchange rate artificially high and also be able to compete internationally with cheap products manufactured in countries with fiat with low exchange rate like China.
The cost of living in the US is not high just because the production is low, it is high because of the dollar as well.
And if they dump the dollar (like what Chinese do to stay heavily competitive) it would be the end of the colony because one of the weapons they've used so far to gain power and move ahead was the dollar!

you have no clue about the word colony
the north america was colonised HUNDREDS of years ago,

I may need to find a more accurate term since the colony declared independence 249 years ago (which is hardly hundreds of years). But USA is definitely not a country, it simply lacks the characteristics of a nation state to be one.
So I'll give you that one.

[Wind_FURY]

Any country that recognizes this golden opportunity and makes an effect, can easily take the market out of the hands of US. When they do, it cannot be taken back easily even if Trump removes those tariffs in the future. The damage will be done

But the problem is, and Trump knows it, is that the U.S. is the biggest importer/consumer of those manufactured goods coming from those countries with the highest tariffs. What those tariffs might do is lower the demand for those products because they would be expensive for U.S. consumers. That would mean lower economic activity for exporters because their production depends on those consumers.

No nation-state/country/government will win in this "war".

[Lida93]

Sinp

I've been reading about the news of new tariff on imported goods in the US and it's different percentages for different countries. I just saw that of my country Nigeria listed at 14 percent. Honesty I feel this measures been taken by President Donald Trump is to help boost local production, you just talked about the middle class struggling to purchase things due to how things are with the economy and how pricey some items have become. so if there are local production of goods that could meet the demands of the American people, you will see the price rate dropping down because there will be production competitions among companies and that will help reduce price, however goods that are produced locally don't pay for important duties hence there is no need to arbitrally hike the prices of goods. Don't also forget that local production also creates job availability, which is also a plus to the economy.

Trump has already made it clear before now that he is here to put America interest before all else as his own way of making America great again.  The tariff as imposed may be bad for industries outside the US but not so for those existing and operating on the US soil. The tariff is one that is in the interest of the US economy to encourage and protect domestic industries from international competitions.

His intention is clear and he always said that he want to make America rich again. This is selfish action made by Trump and I don't know if he even think about the negative effect of this actions since they might get affected if those nation turn their backs on them and choose other destination to trade their goods.

If it's that simple for those other nations you're talking about to turn to somewhere else to carry out their trades I bet they would have done it even before you get to write this. The US wield so much economic power in the international scene and this Trump knows too well that many nations would have no choice but to accept the tariff as given after several rants.  What these nations should do is to look into negotiating than confronting the policy.

[pooya87]

But the problem is, and Trump knows it, is that the U.S. is the biggest importer/consumer of those manufactured goods coming from those countries with the highest tariffs. What those tariffs might do is lower the demand for those products because they would be expensive for U.S. consumers. That would mean lower economic activity for exporters because their production depends on those consumers.

No nation-state/country/government will win in this "war".

That's a war alright.

Your post reminded me of another interesting side effect of these crazy moves as I was checking some numbers, and that is the trade deficit of US which most probably will grow even more because all those countries are starting to reciprocate in a similar fashion. US already has a negative trade balance will all those countries in the list and that can grow even bigger if they start importing less from the US...

[Bitcoin Smith]

~
Your post reminded me of another interesting side effect of these crazy moves as I was checking some numbers, and that is the trade deficit of US which most probably will grow even more because all those countries are starting to reciprocate in a similar fashion. US already has a negative trade balance will all those countries in the list and that can grow even bigger if they start importing less from the US...

With this tariff war the things are going to get ugly, this will affect the farmer, production and every Industry in the US that will again get back at the US economy, stagnant or even reduced growth rate and then the spiral of high inflation and so on...

If he had done this with one or few countries then things could have been different but with as many as countries then as you said US is going to suffer more than any other country and who is going to pay the price is the middle class.

[Smartprofit]

As far as I understand, this trade war was started by Donald Trump primarily to increase the revenues of the American budget. The US tax system does not have such a tax as VAT on imported goods (all other countries except Canada have such a tax).

Donald Trump cannot introduce a new tax, he does not have such authority, for this it is necessary to change the entire tax legislation of the USA, and this is a very long process that can take several years. Therefore, Donald Trump introduced duties (on goods from almost all countries).

It should also be noted here that Donald Trump made a fundamental decision to abandon the principles of globalization, which has been considered the basis of the modern economic system for the past few decades. Is this good or bad? I do not know. I cannot answer this question.

In justification of Donald Trump's actions, it can be noted that now the US GDP is only 15 percent of the world GDP, whereas previously the US GDP was 50 percent of the world GDP. From this we can conclude that globalization has not benefited the United States. Donald Trump made exactly this conclusion.

Now it is difficult to say what consequences the introduction of duties and the start of a trade war with the whole world will lead to.  Most likely, the world will never be the same again, but it is difficult to say what it will be like.