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   POLITICS      Political Discussions      39,875 messages   

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   Message 38,026 of 39,875   
   Joseph Pereira to All   
   Why US Import Tariffs Won't Work   
   02 Oct 25 05:56:08   
   
   TZUTC: -0500   
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   Trump wants to use the tariffs to force manufacturers to start making products   
   in the US again.   
      
   That's a pretty hopeless proposition.   
      
   There are several reasons for this.   
      
   The main reason it won't work is that China isn't 30% or 60% cheaper. If US   
   manufacturers want to compete with China in the US, they'll have to impose a   
   500% to 600% tariff.   
      
   US industrial products are literally 6 times more expensive if you want to   
   make them in the US.   
      
   This is due to the scale of production, which the US can't match. After all,   
   China produces for the world. The US wants to produce for the US.   
      
   Moreover, Americans want a wage that allows them to live in the US. With very   
   expensive American products, US wages will also have to rise.   
      
   And that's not even mentioning the fact that the US has to rebuild its   
   production from scratch. After all, it's practically gone. Are American   
   companies going to invest in something they know they can never compete with   
   globally? Suppose a future administration decides it's not worth it, then   
   you'll have invested billions for nothing. Who seriously wants to take that   
   risk?   
      
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