To cut your tariff, buy American stuff

[mystery-ak]

April 4, 2025
To cut your tariff, buy American stuff
By Jesse Richman, Howard Richman

On Wednesday, President Trump moved to place reciprocal tariffs on many of the countries of the world.  The calculation of tariff rates was based principally on the size of the U.S. trade deficit with the country.  Countries that sell the U.S. a lot and buy little or nothing from the U.S. got high tariffs.

The initial response from many countries is to threaten retaliatory tariffs.  That is their right, and they can pursue counter-tariffs if they wish.  But such tariffs would hurt them more than the U.S.  Trade wars are hard on trade-surplus countries, but they can be beneficial for trade-deficit countries.

Take, for example, the trade war ignited by America’s Smoot-Hawley tariff of 1930.  Even though that tariff was only slightly higher than the Fordney-McCumber tariff of 1922, which it replaced, Smoot-Hawley was a huge mistake, because the U.S., at that time, was the world’s primary trade-surplus country, and trade wars hurt trade-surplus countries.

more
https://www.americanthinker.com/blog/2025/04/to_cut_your_tariff_buy_american_stuff.html

[Bigun]

April 4, 2025
To cut your tariff, buy American stuff
By Jesse Richman, Howard Richman

On Wednesday, President Trump moved to place reciprocal tariffs on many of the countries of the world.  The calculation of tariff rates was based principally on the size of the U.S. trade deficit with the country.  Countries that sell the U.S. a lot and buy little or nothing from the U.S. got high tariffs.

The initial response from many countries is to threaten retaliatory tariffs.  That is their right, and they can pursue counter-tariffs if they wish.  But such tariffs would hurt them more than the U.S.  Trade wars are hard on trade-surplus countries, but they can be beneficial for trade-deficit countries.

Take, for example, the trade war ignited by America’s Smoot-Hawley tariff of 1930.  Even though that tariff was only slightly higher than the Fordney-McCumber tariff of 1922, which it replaced, Smoot-Hawley was a huge mistake, because the U.S., at that time, was the world’s primary trade-surplus country, and trade wars hurt trade-surplus countries.

more
https://www.americanthinker.com/blog/2025/04/to_cut_your_tariff_buy_american_stuff.html

Finally! Someone who knows what he is talking about!

[Right_in_Virginia]

Finally! Someone who knows what he is talking about!

This is a must read!

[roamer_1]

Except THERE ISN'T ANY 'AMERICAN STUFF'.

 

[Weird Tolkienish Figure]

Except THERE ISN'T ANY 'AMERICAN STUFF'.

 

There is, as long as you avoid consumer electronics.

[Bigun]

Except THERE ISN'T ANY 'AMERICAN STUFF'.

 

  Maybe we ought to fix that!

[Timber Rattler]

What "American stuff?"

 

[The_Reader_David]

American coffee?  (Okay some is grown in Hawaii, but it's high end stuff, there' not enought and production won't scale up due to there not being much more land there suitable for growing it.)

American bananas?

American rubber?  (Yes, we make synthetic substitutes good for some uses, but there are some uses that require natural rubber, from rubber trees that won't grow in the US.)

Tariffs on products that cannot be produced here, not cannot because we offshored their production, but cannot ever because of lack of enough land with the right climate for some crop, or in the foreseeable future because we don't have enough known reserves of some mineral, are harmful to the interests of American consumers and America as a nation.

[roamer_1]

There is, as long as you avoid consumer electronics.

No, there's really not. Try to find ANYTHING that is 100% American made. Most manufacturers rely on Asia at the component level, or the part level. So the wire, the nuts and bolts, even the tooling and machinery... You cannot avoid it.

[roamer_1]

Maybe we ought to fix that!

Maybe so - But this ain't how.

[Bigun]

Maybe so - But this ain't how.

It's a hell of a lot better than nothing!

[Weird Tolkienish Figure]

No, there's really not. Try to find ANYTHING that is 100% American made. Most manufacturers rely on Asia at the component level, or the part level. So the wire, the nuts and bolts, even the tooling and machinery... You cannot avoid it.

I don't understand why it has to be 100% American though. Any significant assembling in the US adds to the local economy and such. It's a ridiculous position IMO to believe if it's not 100% American then it's invalid.  It's more lazy black and white thinking IMO.

[roamer_1]

It's a hell of a lot better than nothing!

No, in fact, it's not. This is tremendous damage.

[Weird Tolkienish Figure]

American coffee?  (Okay some is grown in Hawaii, but it's high end stuff, there' not enought and production won't scale up due to there not being much more land there suitable for growing it.)

American bananas?

American rubber?  (Yes, we make synthetic substitutes good for some uses, but there are some uses that require natural rubber, from rubber trees that won't grow in the US.)

Tariffs on products that cannot be produced here, not cannot because we offshored their production, but cannot ever because of lack of enough land with the right climate for some crop, or in the foreseeable future because we don't have enough known reserves of some mineral, are harmful to the interests of American consumers and America as a nation.

And yes this is just common sense, which I feel like people on both sides of this issue lack at times. Also sometimes export tariffs make more sense than import tariffs, especially if a country like china is using that materiel.

[Wingnut]

Maybe Americans should stop buying stuff they don't need and tight their belts.  Save some money and pay down their consumer debt.  If people don't buy stuff prices will fall. 

[roamer_1]

I don't understand why it has to be 100% American though. Any significant assembling in the US adds to the local economy and such. It's a ridiculous position IMO to believe if it's not 100% American then it's invalid.  It's more lazy black and white thinking IMO.

Alright, but that's not the point.

The point is that all the sub-components coming from Asia ARE subject to tariff (and shortage because of tariff), and so you are not avoiding anything.

[Right_in_Virginia]

This is tremendous damage.

Not to us ... Uhhh, sorry, I mean not to Americans.

[roamer_1]

Not to us ... Uhhh, sorry, I mean not to Americans.

YES it is.

[Weird Tolkienish Figure]

Maybe Americans should stop buying stuff they don't need and tight their belts.  Save some money and pay down their consumer debt.  If people don't buy stuff prices will fall.

But to me that is statism isn't it?

[Right_in_Virginia]

I don't understand why it has to be 100% American though. Any significant assembling in the US adds to the local economy and such.

Why do you still prefer waiting for China, et al., to send the parts to be assembled --- when we can and should control our own supply chain?

[Wingnut]

But to me that is statism isn't it?

I don't know what that is.

[Right_in_Virginia]

YES it is.

Nah. 

[Canuck Conservative]

Maybe Americans should stop buying stuff they don't need and tight their belts

Simplistic rhetoric. Trade is more inter-connected than most people realize.

What about American farmers that need fertilizer (as one example)?

America doesn't produce enough itself; are you telling them to stop importing and go without, and put up with lower crop yields?

(But at least everything will be 100% American!!)

 

[Weird Tolkienish Figure]

I don't know what that is.

Basically the government deciding for the people what's good for them.

[roamer_1]

Why do you still prefer waiting for China, et al., to send the parts to be assembled --- when we can and should control our own supply chain?

'Can and should' have nothing to do with it. Those parts won't suddenly and magically pop up being made here. In fact, they likely won't be made here anyway, which means we will have to go without. That's what happened the last time you dingbats got your way.

[Bigun]

No, in fact, it's not. This is tremendous damage.

Sorry my friend but you clearly don't know what you are talking about here.

[roamer_1]

Maybe Americans should stop buying stuff they don't need and tight their belts.  Save some money and pay down their consumer debt.  If people don't buy stuff prices will fall.

That don't help folks on the bottom end of things. That sure don't help folks trying to put products together or getting parts for fixing things.

[Wingnut]

Basically the government deciding for the people what's good for them.

You mean like take the jab. Stay locked up in you house and like it.   Nah.  Never again.

[Right_in_Virginia]

'Can and should' have nothing to do with it. Those parts won't suddenly and magically pop up being made here. .

I'm so grateful we've an administration that does not share your oppressive loser POV.  The supply chain matters and is one of the dominate spokes in the redesign of the global trading system --- whether or not you like it, agree with it or understand it.

[Wingnut]

That don't help folks on the bottom end of things. That sure don't help folks trying to put products together or getting parts for fixing things.

You are a regular Tim Taylor.  You'll figure it out.

[roamer_1]

Sorry my friend but you clearly don't know what you are talking about here.

I know EXACTLY what I am talking about.
In order for a tariff to have no effect on Americans, there has to be an alternative to choose.
There is not.

This will increase costs on Americans and this will cause shortages.

[Wingnut]

I know EXACTLY what I am talking about.
In order for a tariff to have no effect on Americans, there has to be an alternative to choose.
There is not.

This will increase costs on Americans and this will cause shortages.

You need to get outdoors and breathe in some fresh air.  I think you got a severe cabin fever.  You ain't making sense.
Either that or you need to take Sargent Adrian Cronauer's advice.

[roamer_1]

I'm so grateful we've an administration that does not share your oppressive loser POV.  The supply chain matters and is one of the dominate spokes in the redesign of the global trading system --- whether or not you like it, agree with it or understand it.

Moronic bullshit.
The supply chain does not change overnight. Tumpy can't waive his magic wand and cause industry to pop up fully formed, ready to give Americans jobs.

What will happen is the same damn thing that happened last time. Spiraling parts costs and shortages.

[Weird Tolkienish Figure]

You mean like take the jab. Stay locked up in you house and like it.   Nah.  Never again.

  So we're in agreement then?

[Wingnut]

So we're in agreement then?

Nope.  Not at all.  I don't accept your premise.

[Right_in_Virginia]

Moronic bullshit.
The supply chain does not change overnight. Tumpy can't waive his magic wand and cause industry to pop up fully formed, ready to give Americans jobs.

You sound predictably bitter and surprisingly uninformed --- making reading your words a complete waste of time.   

[Timber Rattler]

Reagan has a big warning about tariffs that Conservatives are conveniently forgetting...


https://www.youtube.com/watch?v=5t5QK03KXPc

[catfish1957]

Reagan has a big warning about tariffs that Conservatives are conveniently forgetting...


https://www.youtube.com/watch?v=5t5QK03KXPc

RWR's premise was on Free and FAIR The past 30 years have been anything but so.  Me, I'm tired of our country have the "Kick Me" sign on our back.   I say let DJT use the tariff leverage, and watch how much of them fall by the wayside towards free and fair...... due to negotiative terms. 

There will those that don't, and we will just have to find alternative sourcing or enhance inermal national industrial output.

[roamer_1]

You sound predictably bitter and surprisingly uninformed

Nope. Just involved in manufacturing and contracting all my life. I know exactly what it takes to build a business, to build a supply chain, and how to successfully compete in a repetitive construction and manufacturing market.

The problems in American supply are endemic, and have not been fixed... Paramount among them the high cost and low quality of American labor. Then there's JIT thinking caused by taxing inventory, which means there is no way to create a substantial inventory buffer. Then there's EPA and OSHA regulations that create impossible barriers. And that's just off the top of my head.

Fixing American business is going to take years and years. Decades of government getting the hell out of the way and making a place that is good for business. Not a single presidential term.

And it's gonna take fixing that FIRST. Because no business is going to want to be forced to play here. And the minute they can, they will go right back to wherever favors them.

That all means Congress. Ratified and written in law. That is what supplies a stable and ongoing change. Tumpy can write EOs till the cows come home. Folks will figure out another way to make money without the US and wait for fair weather (four years from now).

That means shortages here, when Asian companies can't make money at it, so stop supply...
Or more cost as Asian companies pass costs on to the American People...

Because there is no American alternative.

Different story if you want to fire up an American industry and impose a tariff to protect that industry while it is young... Give it room to grow.

But if you think a tariff to protect the fat asses in Detroit and the fat asses in the labor unions - If you think that's a good thing, you're in for a real surprise.

FAFO. Here we go.

[Fishrrman]

Weird expounded:
"I don't understand why it has to be 100% American though. Any significant assembling in the US adds to the local economy and such. It's a ridiculous position IMO to believe if it's not 100% American then it's invalid."

That's a good point.

I recall reading a day or two back that the vehicles with the most "American-made" components were (are you ready?):
- Honda
- Tesla
- Toyota

Take it with a grain of salt, just something I recall reading, may or may not be true.

So... I'm wondering if a Toyota RAV (assembled in Canada) might have MORE "American content" than a Ford product assembled in the U.S.