Floyd Brown wrote:
Where dose the money come from to pay the tariffs?
Where dose that money end up?
Who gains & who pays?
Well I say we the general public pay.
It is trying to turn inter nation trade in to a win lose game.
I fail to see any real gain for the general public out of all or this.
We pay the increase price of imports.
Or we pay the increased costs of domestic products.
Who then have less competitive prices from imports.
If only we had a place to escape to until the madness of it all ended.
Where dose the money come from to pay the tariffs?... (
show quote)
I agree this is crazy. When it was reported by General Mattis that Trump wanted to repeal the Trade agreement with South Korea, and remove all Troops. Mattis tried hard to explain the advantages of trade with South Korea but Trump could not understand the complexity of Trade. So Mattis flat out told him if you do this it will create WWIII. So Trade is also a National security issue
Money is paid for by the country that is importing to our country so when a 25% tariff is levied on a country the price of goods go up so a tariff is nothing but a tax on consumers. But what you have to understand is when the US export goods to Canada they levy a tariff on us so nobody wins. (Trade war) It’s just another method of taxation and the consumers gets screwed.
What we need to understand is, it’s loose loose there’s no winner when you levy a tariff it creates trade wars. Both countries or member countries pay more for goods.
That’s why we have trade agreements to prevent these trade wars on tariffs.
This is a manufactored Crisis by Trump. He needs to raise funds to offset his deficit due to his wealthy tax cuts. So he cannot raise taxes that would destroy his talking points and he would loose his base so the next easy way to raise funds is tariffs. If he levies these tariffs he could conceivably raise $122 Billion in funds that would lower his deficit numbers but who pays this $122 billion the tax payer. It’s a tax on the poor and middle class.
The US lost jobs to automation not NAFTA, we are loosing our manufacturing jobs to Robots. But Trump never mentions the innovation as it relates to job loose.
These trade agreements have been negotiated for the last hundred years. We loose jobs we gain jobs.
So let’s look at total trade in the US
Total US trade in 2017 was $5.2 Trillion
Exports. $2.3 trillion
Imports. $2.9 trillion
Now every year these numbers fluctuate depending on the world economy.
For example Mexico has a population of 144 million people, the US has 324 million people who buys more stuff. Now the US economy is doing great so who is buying more stuff. Now if the US economy goes in decline we stop buying stuff. So the trade deficit decreases. So in some cases trade deficits are good because the US economy is doing great.
I was in business for 28 years 165 employees and the years that I made the most money were the years I paid the most taxes. So I was only to happy to pay a high tax rate I was making a fortune.
Trade agreement encourage unrestricted flow of goods and services at a affordable price.
Eliminates child labor, raises wages to a living standard in member countries, it gives education, healthcare, economic growth, protects American innovation on patterns.
It eliminates world poverty. Promotes allies and relationships with member countries. All in the interest of national security.
Trade agreements as far as job loss/Gains the US started tracking this in 2013. It accounted for over 11 million jobs in the US. Through 2013 to 2016 an additional 125,000 jobs were created. Since the trade wars were created no actual data is available but all indications are that number is going in the wrong direction and trade deficits have actually increased under Trump.
Total trade deficit around the world for the US is $502 billion. Now Trump is attacking Canada with tariffs and our trade deficit is only $18 billion, but our trade deficit with China was $375 billion. China makes up 63% of our deficit. Canada makes up 3%. So instead of Trump going into negotiations with China he starts levying tariffs, so what does China do they levy tariffs on the US. ( Trade war)
The reason for trade agreement is to remove tariffs not increase them.
When Obama negotiated this through TPP China wanted nothing to do with TPP because of restrictions on Child labor, wages, Healthcare, forced labor camps, environmental issues. So through TPP the US would have more avenues for affordable goods and not import from China.
(WHY WOULD HE JUST WALK AWAY ITS CRAZY)
If you want a better deal negotiate not withdraw from billions in trade.
When Trump withdrew China jumped right in. They were thrilled they could not believe the US would just walk away from the T***s Pacific with Trade between 12 nation’s which has grown to 16 nation’s and 3 more countries ready to sign on. TPP could be as big as the WTO. And the US is blocked out from any negotiations. Trump wants to walk away from the WTO which has 164 nation’s. Trump is trying to levy tariffs on the UK
I have read many trade agreements there very difficult to understand but a simple way of putting it is this way. I am just taking one product cloths, Mexico makes the clothing and exports to the US. But the US makes the fabric that Mexico uses to make the cloths. But Trump just uses Jobs lost of stitching these cloths together and does not take into consideration of making and manufacturing of the fabric.
A few years back a friend of mine mentioned that apparel was labeled made in America and he clearly showed me that these cloths were made in Mexico and imported to the US. But I did the reseach because this appeared to be a bad deal. But it wasn’t. So is that label legal when the fabric was manufactured in the US. ????????. Jobs lost were low paying jobs forcstitching but actual manufactoring created higher paying jobs through innovation and automations.
Trade agreements are very complex that’s why it takes years of negotiations there’s a lot of give and take.
The US has multi lateral trade agreements with over 230 nation’s around the world and Trump leads us to believe that he can do bi-Lateral agreements with all these nations it would take 50 years to accomplish this not to mention the cost and loss of trade while these negotiations are on going. Like I said you just don’t make a trade agreement overnight.
He did with Mexico and Mexico was only to happy to sign because it meant nothing to Mexico’s bottom line . But Mexico accomplished a major factor it would SHUT UP TRUMP FROM HIS CHILDISH FACTS.