White House press secretary says border wall will be funded by 20% import tax on Mexican goods

[ABX]

Yep. There is no such animal as a 100% American made car.

Even the Packard imported German leather and Canadian wood.

[Weird Tolkienish Figure]

Someone just brought up an excellent point on Twitter:


a tariff means that Americans are still paying for the wall.

[Cripplecreek]

There may have been 60 years ago, but not now.

Years ago cars were simpler and a car may have had several hundred to a thousand or so individual parts and pieces. Today the average car rolling off the assembly line must have a half million individual parts. I'm not sure America has the workforce or the industrial capacity to make one single model of car let alone other makes and models.

Don't miss your chance to get on the waiting list to buy the all new American Trabant!

Only a 10 year waiting list and a low low $500,000 base price! (Wait may vary depending on worker's rebellion and availability of forced labor)

Start paying now and your down payment will be paid prior to delivery.

[ABX]

Someone just brought up an excellent point on Twitter:


a tariff means that Americans are still paying for the wall.

And an import tariff means it doesn't even hit the Mexican business, it can only be levied against the American company doing the importing. They can't even pretend that Mexico is paying for it.

[Maj. Bill Martin]

Guess he'll have to go on a diet.

[NavyCanDo]

Yep. There is no such animal as a 100% American made car.

Closer to home for me, our Boeing 737. I know of many 737 parts that are purchased from Mexico. Some direct and some purchased by our domestic suppliers.

[EC]

That's a self-solving problem. Things have needed to come to a head for a long time. If Mex does that, their economy instantly collapses because every country doing biz there will run. Then the people can have their own revolution and have a chance of emerging better for it.

Norm - when was the last time a nation of primarily Spanish descent had a revolution and was better off for it?

[skeeter]

And an import tariff means it doesn't even hit the Mexican business, it can only be levied against the American company doing the importing. They can't even pretend that Mexico is paying for it.

It either drives up the cost or cuts into the profit margin.

If the item's cost goes up past a certain point consumers buy something else.

[Cripplecreek]

Closer to home for me, our Boeing 737. I know of many 737 parts that are purchased from Mexico. Some direct and some purchased by our domestic suppliers.

People don't seem to realize that companies will buy parts from other divisions of the same company.

When I worked for a factory making Cadillac door interiors, we bought foam filled parts from another division of our company in Homer Michigan. We did the same with another division of our company in Canada as well.

Try to explain multiple companies working in the same factory to a non blue collar type sometimes. A different department may be a whole different company. When I worked for Collins and Aikman I would take a part to the molding department to show them a problem and I was in Johnson Controls.

[Frank Cannon]

Oh no. Sombrero prices are going up......and with Cinco de Mayo right around the corner.

[txradioguy]

Makes us look like bullies IMO.


Good or bad you decide. Trump will need cooperation from other countries at a certain point.

Gonna really suck when other Latin American countries tax the mess out of us for things we import from them...in solidarity with Mexico.

[Norm Lenhart]

Norm - when was the last time a nation of primarily Spanish descent had a revolution and was better off for it?

I would say that their potential outcomes are on them, not us. They can stand or fall just as we had to. Our only involvement should be either preparing to deal with idiots or sane people accordingly.

[Norm Lenhart]

Gonna really suck when other Latin American countries tax the mess out of us for things we import from them...in solidarity with Mexico.

I think that would be temporary. Because a world without the American consumer funding it would be bad business for lots of repressive governments. Rather quickly, in fact.

[HonestJohn]

Exactly. Thus my comment about 'coming to a head' and 'global restructuring'. We too will have to  make choices as a people. Because the Obama left style of economics is not working. We can't have our cake and eat it too.

America forgot it doesn't NEED the world to survive. We should work with the world where possible, but not to our detriment. We CAN survive if we want to. But I very much doubt the world wants an isolated America. And so we have leverage.

If we want to use it. IF.

Survive and thrive are two different words.

[r9etb]

The most noticeable and immediate impact will be at the grocery store, with our fruits and vegetables.  Quite a lot is imported from Mexico.

Plus which, the resultant loss of agricultural jobs in Mexico would simply increase the numbers of immigrants and/or unrest in Mexico, but of which are counterproductive results of the proposed tariff.

[skeeter]

I think that would be temporary. Because a world without the American consumer funding it would be bad business for lots of repressive governments. Rather quickly, in fact.

America has at least enough leverage to choose who she does business with.

Whats wrong with offering free trade and access to our consumers based upon how that nation treats us? Mexico has acted as though the US is their personal commode for years.

[r9etb]

Norm - when was the last time a nation of primarily Spanish descent had a revolution and was better off for it?

Chile, 1971....?

[Norm Lenhart]

Survive and thrive are two different words.

I'd be more worried about surviving a global restructuring than immediately thriving. Priorities:

* We cannot continue status quo.

* Things are GOING to change. Radically. Regardless of any action by Trump simply because the numbers have long pointed to that.

* Choices must be made to either prepare for a more (extent/level to be determined by world events) independent existence on the global stage or a more global/socialist existence on the global stage.

[EC]

Chile, 1971....?

'73 was the coup. Those less fond of Pinochet might be in disagreement. If you could find any still breathing, that is. And the coup did stop the 40 year reign of a peaceful and prosperous democracy in favor of a military junta and tens of thousands of the "disappeared."

[truth_seeker]

Terrible idea if actually enacted.  Perhaps not a bad thing to threaten, though....

A strong negotiating position is a serious willingness, to simply walk away from a deal that you don't like.

[kevindavis007]

[kevindavis007]

[Frank Cannon]

Looks like that will be a collectors item soon.

[kevindavis007]

Looks like that will be a collectors item soon.

Yep...

[ABX]

Just like in Pennsylvania when they enacted the soda tax, anytime a government puts an oppressive tax on the people, businesses should itemize it. A line item on all receipts- Trump Border Tax. Let's see how consumers react to transparency.