[Villager24]

And just like that… everyone’s a tariff expert. 😂

[MicRoDrafting]

do NOT expect to see Businesses returning any time soon … primarily because these recent actions have led to the USA being viewed as Untrustworthy and Disgraceful concerning the Global Market/Economy and our previous allies …

… the World is No Longer Simply
Watching, BUT Now is Reacting !!

[ithos]

Economics is a strange subject.

A trade surplus is great for China, South Korea, Japan, Norway, Netherlands, Germany and Switzerland but bad for the United States who once saved the world from Tyranny with its manufacturing base.

Aircraft
Over 300,000 military aircraft, including:
Fighters: P-51 Mustang, P-47 Thunderbolt
Bombers: B-17 Flying Fortress, B-24 Liberator, B-29 Superfortress

Ships
88,410 naval vessels, including:
6,768 cargo ships (like the Liberty and Victory ships)
1,200 major warships
22 aircraft carriers (fleet and escort)

Tanks and Armored Vehicles
88,410 tanks and self-propelled guns

Small Arms
Over 12 million rifles and carbines
2.7 million machine guns
Over 40 billion rounds of ammunition

Vehicles
Over 2.3 million military trucks and jeeps

At its peak, the U.S. was producing nearly 40% of all Allied military equipment.

The vast majority of the workers were middle income.

But now we are told America sucks in manufacturing so we need to just run massive trade deficits and we will be so much more wealthier. Who cares if tens of millions will never have a shot of a meaningful career with good benefits. Let them flip burgers.

[jbartle1]

Originally Posted by Stu from NYC

You think the value of their portfolios does not go down when the market goes down?

Cry me a river, boo hoo

[opinionist]

Trillions have already been committed to investment in the United States. Maybe the new factories will be primarily robotic, but service jobs always spring up around factories. Corporations plan their investments years in advance. The fact that investments are publicly announced now means we are watching a plan unfold that was years in the making. The goal is trade balance and not trade dominance. We don't have to make socks in the US if we have something of value to export.

[Ski Bum]

This was the best answer so far:

Remember, Trump isn’t asking nations to pack up shop and relocate here, he gives them multiple choices:
1) build here
2) take your tariffs off and we will take ours off.

But I would add a third. Open your markets and we will drop our tariffs. This whole thing is about market access and non-tariff barriers.

The goal is to cut China out of the world economy. Anything that can be made in China can be made in Vietnam, Cambodia, etc. Vietnam is already making a deal. Trump is a Penn Wharton MBA. He understands the concept of the division of labor.

[Ski Bum]

Originally Posted by CoachKandSportsguy

Lets get this straight:

The grand plan trying to reverse 40 years of product trade optimization is very, very risky, and most likely not going to happen. First reason is that the cost is very high and the time frame is very long. To effectively move $3 per hour (est foreign labor rate) human labor to a $15 per hour (living wage cost of living domestic labor rate) requires either the US domestic economy to be put into a depression, or the US consumer will need huge wages increases to buy the domestic products without huge government UBI.

Examples, Tariffing a country like Vietnam, whose labor rate is $3 per hour and whose US tariff rate is 2%, with a 30% tariff, and then have them remove their tariff, reduces their product sales to the US, and still doesn't allow Vietnam the increased cost of living to afford US exports, as no one is increasing their labor rates. If the US tariff is removed, that still doesn't change the current status enough to increase the Vietnam std of living enough to afford US products.

The US's current wealth lost by labor manufacturing, has been replaced by high tech creation, innovation and products, primarily software. The real problem with software is that it can replace human labor, and that problem has a different solution than mfg relocation.

A bakery and a flour-sugar distributor will always run a trade imbalance. The distributor will never buy an equal amount of bakery goods. Same concept applies to Vietnam. . . or any other low wage mfg trading partner.

Second: US mfg is now 10-15% of the US labor. . . to build new capacity will take several years, and Nutlick believes that AI/robots can perform the labor in these new factories. So if this happens, the US consumer wins, but there are no jobs being brought back to the domestic shores. Therefore, where are the labor gains? And if this path is chosen, and the president isn't reelected, or doesn't corrupt the Congress and Judiciary branch to give him unlimited time in office, all this investment can be for not with a new president

Therefore, corporations will just sit and wait it out, and will start cutting labor to survive. It didn't work in the 1930s, and it still won't work in the 2020's.

good luck

Trump understands the concept of the division of labor. He is a Penn Wharton MBA. So maybe there's another reason?

[LonnyP]

#morewinning

[airstreamingypsy]

Originally Posted by Ski Bum

Trump understands the concept of the division of labor. He is a Penn Wharton MBA. So maybe there's another reason?

Trump graduated from the University of Pennsylvania in 1968 with a bachelor's degree in economics. He does NOT have an MBA.

[MrFlorida]

What if we get in a war with China, who will make out equipment ? Not us, we don't make anything except condo's and fast food.

[Nellmack]

Originally Posted by airstreamingypsy

Trump graduated from the University of Pennsylvania in 1968 with a bachelor's degree in economics. He does NOT have an MBA.

Like it or not we are in a world economy and it's too late to change that fact. We prove it every day when we choose the cheapest price on Amazon. We look up a product, compare pricing, click "order" and boom, we just purchased a tee shirt from Vietnam = world economy.

Contrary to what ToTV folks are saying, every single expert that I have read about say that tariffs are bad....very bad. The only logical reason for tariffs are to gain power. Place a tariff on a country and force that country beg for relief. Unfortunately, now, we all complicit in this power grab.

[Stu from NYC]

Originally Posted by MicRoDrafting

do NOT expect to see Businesses returning any time soon … primarily because these recent actions have led to the USA being viewed as Untrustworthy and Disgraceful concerning the Global Market/Economy and our previous allies …

… the World is No Longer Simply
Watching, BUT Now is Reacting !!

Does the fact that about 70 plus nations have approached us about coming up with a better deal matter?

[KAM+6]

Originally Posted by airstreamingypsy

Trump graduated from the University of Pennsylvania in 1968 with a bachelor's degree in economics. He does NOT have an MBA.

Went Bankrupt 6 times, several other businesses went bust. Latest was DC hotel. Scotland and Ireland golf courses have been in the red since day one. Also, many in US.

[Normal]

Manufacturing may not move, but many corporate offices are talking of moving their HQ and earnings to the US again. Taxes drove them away.

Purina , Budweiser , Tyco, IHS, Pfizer, Birger King(Canada lol), Medtronic, Frigidaire etc….

[kingofbeer]

Originally Posted by EastCoastDawg

True, but tariffs do NOT bring jobs back; they just make things more expensive for you and me.

All of the money raised from tariffs goes straight into the Government coffers.

Thinking that the plan is to give this new money away to the ultra rich.