If you read US mainstream media you will find tremendous support against tariff wars. Not only in MSM but from academics, politicians and everyone in between. Show me that kind of blatant criticism getting published in Chinese media against Xi.
Now the Fun starts both ways, US tariff 10% starts from this Monday.
China Cancels Trade Talks With U.S. Amid Escalation in Tariff Threats
Move comes after U.S. announces to tariffs on $200 billion of Chinese goods
Tariffs could mean a 2M drop in car sales and cost 715,000 jobs, warns auto industry group
There was already a 25% tariff on US cars which is one of the points. China has unfair tariffs in the US. Also, most US cars sold in China are built in China.
I like this. Some good numbers to track. Lets revisit in 3 months.
Some incremental reforms needed here too
From the article:
Ironically, shortly before the Trump administration enacted the first round of tariffs on Chinese goods, that country announced plans to reduce its own duties on imported vehicles from 25 percent to 15 percent. Now, however, U.S.-made vehicles are subject to 40 percent tariffs, making them even less competitive with auto imports from Europe or Japan, as well as vehicles made in China.
BMW, the largest exporter of American-made vehicles to China, says it is looking for ways to maintain demand for the X5 utility vehicles produced in South Carolina, perhaps boosting sales in the U.S. or Europe. But Ford has already announced plans to cut production of the Mustang and other vehicles shipped to China.
Already enacted tariffs on imported aluminum and steel have added about $240 to the cost of producing a new car, truck, or crossover in the U.S., noted Peter Nagle, a senior economist with research firm IHS Markit. And the first round of tariffs with China is adding still more to the price that manufacturers have to pay for a variety of parts used on American assembly lines.
The impact will grow as a result of the second round of China tariffs, Nagle added, cautioning that a “dizzying” series of trade moves will “exacerbate” the problems the auto industry faces as it struggles to head off the first downturn in sales since emerging from the depths of the last recession. Activating tariffs using Section 232 rules would likely prove devastating, he warned.
Nagel estimated consumers would be “looking at price increases of $1,300 for a typical mass market product, up to $5,800 for a luxury vehicle.” Those increases would not be limited to just imported vehicles. Toyota, for example, has forecast the price of a U.S.-made Camry would rise about $1,600.
Tariffs is a tax on American consumers.
Now, I understand why automakers are forced to have factory in China ! Same thing Trump is doing putting exactly 25% tariff.
China reducing tariff on US cars is a kind of win for Trump, as they understand that their tariff is high compared to USA (Pre-tariff).
Looks like Trump is correct in adding tax which many failed to look into.
Unfair trade practices by China are going on for ages now. But still people are not complaining about them. They are complaining about us doing the same. What a hypocrisy.
Because of tariffs US companies were forced to manufacture completely in China. Making it easy for Chinese to steal the tech and build their own companies to compete globally. A template used by China for everything else.
Tariff wars and related discussions are bringing this to mainstream Americans.
When we meet up again, I’ll explain to you why is not the same.
Don’t forget the joint venture requirements to manufacture in China.
Ford CEO says metals tariffs cost company $1 billion | Article [AMP] | Reuters
Their revenue is $150B so it’s less than 1%. $1B seems like a lot, but it’s a pretty small impact.
he said struggle in china
oh shit, but they continue to struggle for a long time before tariff, Hm… it’s pretty easy to find something to blame on it’s own incompetency. Ah… i never thought of even thinking ever buying a ford. sorry ceo, the cars you made sucks and poor resale value compare to toyota.
Of course you’d compare with profit not revenue.