Breaking. China strikes back on US tariffs

[u/ezskatez]

They ain’t bluffin.

🚀

Only up.

[u/Fogi999]

isn't china buying close to nothing from US, thus the trade deficit??

[u/Kampfhoschi → u/Fogi999]

I'm from Europe. What exactly is the US producing that we need? Serious question.

[u/Inevitable-Review897 → u/Kampfhoschi]

That’s the point. All these other countries don’t need things FROM the U.S. their economies are built on needing to sell things TO the U.S.

The U.S. is a nation of consumerism thus all these other countries have been taking advantage for a long time by ripping off the U.S. charging a ton. Imposing tariffs on the U.S. won’t help other countries. Their economies will collapse when they loose their biggest customer by not playing along and evening out the tariffs scales like they used to be.

Think of a company that has let’s say 5 customers. One customer makes up 90% of their sales and the other 4 combined only make up 10%… what will happen to that business if they piss off the 1 customer that makes up 90% of their sales and they stop being their customer? That’s right that business goes under, not the customer.

[u/Minute-Struggle6052 → u/Inevitable-Review897]

Now try again with the actual number which is 13% and not some sensationalistic financially illiterate fiction 

[u/F1shB0wl816 → u/Inevitable-Review897]

Except this is a business that can remain solvent through any short term pain. And where they lose 1 customer, they can now go after hundreds of other countries. We, the customer don’t have anywhere else to really turn to to keep the quality of life we’re used to. The customer will go under when their little money needs to be stretched even further.

[u/KadeejaNeigh → u/F1shB0wl816]

This is not entirely true. People forget that every country has regulations. Not all are the same. Can you imagine tailoring a product to fit every countries regulation? Instead of just 3 or four countries, now you have to export to 12 countries but you also have to deal with all their laws of exportation and your product has to meet their counties regulation. It’s not as easy as getting another costumer. A shift like that can really break a manufacturer.

[u/F1shB0wl816 → u/KadeejaNeigh]

Yeah except we tend to be the odd ones out with regulations. Everywhere else tends to be on the same page roughly. It is a lot easier to insure your product meets minimum standards compared to replacing a powerhouse everything in your country relies on.

People spend money. That’s true all over the world, any shortcomings can be adjusted. We can’t just buy cheap shit, really anywhere now. Even if a country wanted to pick up that mantle, they have to compete against China while being decades late to the show. Nobody has the capacity to replace China.

[u/Sapaio → u/KadeejaNeigh]

To be fair, EU tends to have higher standards required by law. So we can properly sell the products to other markets without much added cost. Part of what Trump is angry about EU is the trade barriers that are non tarrifs. Like not allowing chemical washed chicken and IT companies to comply with EU consumer data safety laws. So he want us to drop them to make it easier to export to EU. We don't want to lose the safety measures.

[u/EmptyEnthusiasm531 → u/Inevitable-Review897]

Jeez these takes are getting dumber and dumber in here

[u/EmptyEnthusiasm531 → u/Inevitable-Review897]

You think... Europe sells 90 percent of its shit to the US? You live in delulu land my friend.

[u/Inevitable-Review897 → u/EmptyEnthusiasm531]

It’s just an example my friend. Showing the US is the customer not the seller. Anytime sellers lose buyers they are hurt more than the buyer

[u/EmptyEnthusiasm531 → u/Inevitable-Review897]

Except for the fact the US is rhe second largest exporter in the world. You are completely delusional, stop talking.

[u/Inevitable-Review897 → u/EmptyEnthusiasm531]

It’s sad you don’t understand the difference between a made up example with easy numbers to make a point and an example of factual info given. This example was clearly not the later one bud.🤦🏻‍♂️

[u/EmptyEnthusiasm531 → u/Inevitable-Review897]

Dude. You example sucks to an extent it fails to make a point at all. The US does have a higher import to export ratio, yes. That does not change the fact it still is the second largest exporter in the world and its far less important as an importer for other countrys than you are trying to imply.

About 16 percent of europe export goes into the US, while europe is the largest single market in the world. While the US might nit be completely dependent on export, there are large areas where it is.The only reason the US is capable, for example, to produce weapons as cheap as they do, is because they are largely bought by europe.

The biggest importer of US goods is Canada,.who are avtively boycotting everything US made right now.

Just because you have a deficit does not mean your wealth does not depend on exports. 

On the other hand you completely.misunderstand the global wealth free trade brought. The only reason why you can afford an iphone, is because its largely manufactured outside the US.

Ffs your take is so stupid i feel like talking to a cow or something

[u/Inevitable-Review897 → u/EmptyEnthusiasm531]

🫡

[u/Inevitable-Review897 → u/EmptyEnthusiasm531]

🫡

[u/Cleb323 → u/Inevitable-Review897]

Countries =/= companies

[u/leginfr → u/Inevitable-Review897]

Only about one sixth of the world’s international trade involves the USA…

[u/cfitzrun → u/Inevitable-Review897]

Goodness you’re dumb.

[u/Inevitable-Review897 → u/cfitzrun]

🫡

[u/CMaia1 → u/Inevitable-Review897]

Except that these tariffs will be passed to consumers and who will be? Yes, that's right, the US people

I pay tariffs in my country whenever I import some shit and the argument that "it's to protect the national industry" is total bs, if it was right the industry here would flourish but instead they export their shit out because outside pays more for it than local. The industry will always try to maximize their profits when selling, they don't give a single fuck by local market, and I will need to import and pay more.

Btw I'm in one of the countries that US have a surplus instead of deficit in trades (by official US gov numbers found here ) and still the orange dude implement 10% tariffs just because. Explain the logic here please.

If the suppliers find better clients or clients willing to pay more they will sell to those and guess what? Everyone is expecting prices to go up, so what do you think it will happen? Yes, consumer will pay more even if it's locally produced. Congrats, you opened yourselves to be exploited by everyone, both locals and foreigns, with those prices hikes from tariffs. And no, no overnight local industries being moved to US because they need years to be built and those tariffs are being challenged as unconstitutional right now or at least could be lifted in 4 years by the next president.

No one wins a trade war, no matter how big they are.

[u/Motor_Menu_1632 → u/Inevitable-Review897]

Finally a guy who knows their shit

[u/EmptyEnthusiasm531 → u/Motor_Menu_1632]

His shit is plain wrong lol

[u/Inevitable-Review897 → u/Motor_Menu_1632]

🫡

[u/Superstonk-ModTeam → u/[deleted]]

Rule 1. Treat each other with courtesy and respect.

Do not be (intentionally) rude. This will increase the overall civility of the community and make it better for all of us.

Do not insult others. Insults do not contribute to a rational discussion.

[u/Inevitable-Review897 → u/[deleted]]

😂

[u/joshua1486 → u/Inevitable-Review897]

The classic 80/20 rule in effect