Results 1 to 7 of 7
  1. #1
    AppleCider's Avatar
    Join Date
    Aug 2014
    Location
    apple orchard
    Posts
    19,592
    Manga
    Whole Cake Island
    Anime
    Whole Cake Island
    Gender
    Male
    Beli
    21,945
    Gold
    0
    EXP
    0
    swordsman doctor


    Trade tariffs: Chorus of condemnation intensifies

    Source: BBC News

    Massive US tariffs come into force on Friday as condemnation of the Trump administration's move intensifies.

    Criticism of the import tax on steel and aluminium from the EU, Canada and Mexico was joined by top congressional Republicans.

    Leaders from affected nations reacted furiously, setting out tit-for-tat tariffs on the US, ranging from steel to sleeping bags and ballpoint pens.

    France's president told Mr Trump by phone that the US move was "illegal".

    Emmanuel Macron told him the EU would respond in a "firm and proportionate manner", the Elysee Palace says.

    The French president normally enjoys a good relationship with his US counterpart.

    Mr Trump has justified the tariffs by arguing that US steel and aluminium producers are vital to national security and threatened by a global supply glut.

    That rationale was rejected by allies. Canadian Prime Minister Justin Trudeau described that claim as an affront. "That Canada could be considered a national security threat to the United States is inconceivable," he said.

    What are others saying?

    UK International Trade Secretary Liam Fox said the 25% levy on steel was "patently absurd". He branded the Trump administration's move as "just protectionism", adding: "It would be a great pity if we ended up in a tit-for-tat trade dispute with our closest allies."

    Mexican Foreign Minister Luis Videgaray said his country would also impose duties: "Mexico's position on trade, or on immigration, or on security, or on whatever area of co-operation with the United States, will not vary, not because of offensive rhetoric nor unjustified unilateral measures like this type. We will continue to defend the interests of Mexico, just as we have done until now."

    Opposition to the tariffs was joined by congressional Republicans. "I disagree with this decision," House Speaker Paul Ryan, the most influential Republican in Congress, said in a statement.

    "Today's action targets America's allies when we should be working with them to address the unfair trading practices of countries like China," he said.

    And House Ways and Means Committee chairman Kevin Brady said: "These tariffs are hitting the wrong target." Europe, Mexico and Canada "are not the problem - China is", he added.

    What do the US tariffs mean?

    Mr Trump first announced plans for the tariffs in March, but granted some exemptions while countries negotiated.

    US Commerce Secretary Wilbur Ross on Thursday said talks with the EU, Canada and Mexico had not made enough progress to warrant a further reprieve.

    Tariffs of 25% on steel and 10% on aluminium go into effect on Friday.

    They apply to items such as plated steel, slabs, coil, rolls of aluminium, and tubes - raw materials which are used extensively across US manufacturing, construction, and the oil industry.

    Mr Ross said the president had the authority to lift the tariffs or alter them at any time, leaving room for "flexibility".

    "We continue to be quite willing and indeed eager to have discussions with all those parties," Mr Ross said.

    What action are Canada, Mexico and Europe taking?

    Canada said it would levy tariffs of up to 25% on about $13bn worth of US products starting 1 July. Those include certain types of American steel, as well as consumer goods such as yoghurt, whiskey and roasted coffee.

    Mexico's economy ministry said it was planning new duties for steel, pork legs and shoulders, apples, grapes, blueberries and cheese.

    The EU's 10-page list of retaliatory tariffs range from cast iron to kidney beans and snuff.

    It has announced it will also take action against the US at the World Trade Organisation.

    What economic effect will all this have?

    Canada, Mexico and the EU together exported $23bn (£17bn) worth of steel and aluminium to the US in 2017 - nearly half of the $48bn of total steel and aluminium imports last year.

    European firms have said they fear lower US demand for foreign steel will divert shipments to Europe.

    But IHS Markit associate John Anton said he expected the effects to be distributed across a wide range of markets, limiting the effect on prices outside of the US.

    That leaves America to bear the brunt of the economic impact, which economists say will appear in the form of higher prices and job losses - as many as 470,000 by one estimate.

    Steel prices in the US have already spiked due to the uncertainty.

    Information firm IHS Markit predicts US steel prices will rise roughly 10% more in coming months largely as a result of the wider application of the tariffs.

    Mr Ross has dismissed the concerns about higher costs, arguing that the effects will be minimal.

    But analysts said certain industries, such as manufacturing, are likely to face severe impact.

    "Hopefully devastated is too strong a word, but I'm not sure it is," Mr Anton said.

    Mr Levy added that while the overall economic impact might remain relatively modest, the decision to expand the tariffs to allies fuelled concerns about the administration's other threats.

    "This in and of itself is not that quantitatively significant," he said. "It's just a horrible precedent."

  2. #2
    Joseph Joestar's Avatar
    Join Date
    Aug 2014
    Location
    Californication
    Posts
    35,915
    Manga
    Whole Cake Island
    Anime
    Only Manga
    Gender
    Male
    Beli
    5,519
    Gold
    0
    EXP
    0
    swordsman thief


    As someone who lives in the US and hates Trump, this is far from the worst thing he has done for the country. The US has lost a massive amount of factory jobs since the 80s leading to a ton of layoffs i know several adults working for fastfood because they lost their factory jobs and its honesty just sad

    Spoiler!
    Silver | 0XP | 128.5k gold | Move Set | TL

  3. #3
    The Shining Hero Super Croc's Avatar
    Join Date
    Aug 2014
    Location
    New World
    Posts
    4,182
    Manga
    Whole Cake Island
    Anime
    Fishman Island
    Gender
    Male
    Beli
    1,693
    Gold
    0
    EXP
    0
    martialarts doctor


    Thank God.


    Fact: Oda will never introduce a character as useless as Kyuin.

  4. #4
    Yomi's Avatar
    Join Date
    Nov 2015
    Posts
    3,862
    Manga
    Zou
    Anime
    Only Manga
    Beli
    815
    Gold
    7,070,473
    EXP
    529
    martialarts scientist


    I'm kind of ignorant on the situation. Obviously this move isn't to punish other countries, but is to promote growth of our own industry. China is an issue, but to be legit I could care less about the other countries. My main concern is will this work the way he wants it to? I remember hearing that America already uses a lot of its own steel and aluminum, and that our demand as a country exceeds what we produce locally, but I haven't researched or fact checked this at all. We will just have to what happens I guess
    Commander
    Saya | 6.1 | Calamity's Rebirth | Travel Log | ??? XP | ??? Gold

  5. #5
    Rise-Chan's Avatar
    Join Date
    Jun 2012
    Location
    Germany
    Posts
    17,091
    Manga
    Whole Cake Island
    Anime
    Only Manga
    Gender
    Genderless
    Beli
    2,002,463
    Gold
    0
    EXP
    0


    As a Canadian I'm upset. @BTR understands me.

  6. #6
    BTR's Avatar
    Join Date
    Nov 2013
    Location
    Canada
    Posts
    25,294
    Manga
    Whole Cake Island
    Anime
    Zou
    Gender
    Male
    Beli
    3,564
    Gold
    0
    EXP
    0
    martialarts navigator


    I don't think people praising this move understand the concept of retaliatory tariffs. The EU, China, and Canada won't take this lying down. The American agricultural sector (much larger than steel and coal, which are dying industries because technology is crowding out the workers, not import competition) is going to take a heavy blow. And American steel using industries, such as the auto industry, will also experience a lot of pain, because now they have to buy expensive US steel over cheaper Chinese and European steel. You're saving a handful of jobs in steel, and then losing hundreds in auto and downstream industries. Cars and food prices are going to go up once the EU tariffs go into place. Harley Davidson is already feeling the pain, hence why they are moving a production facility out of the United States and into Europe. America's largest nail producer has had to up prices and layoff workers in Missouri to compensate.

    Bush already tried steel tariffs. They were a disaster that cost America like, 10 jobs for every steel job won back. And people shouldn't even want steel back. It's a labour intensive industry, and America has to pivot to become a human capital focused economy, because other countries like China and India will beat it out in the labour markets. Let steel and coal die. Retrain the workers in those industries. America has infrastructure problems, surely some workers can be retrained for that line of work instead?

    Everyone loses in a trade war. I am actually glad he's doing this though. The brunt of the pain will be felt in the fall, and if the good economic situation America has right now worsens, the Democrats sweet the House of Representatives and probably either maintain the current ratio in the Senate or even take it.

    If this goes on for more than a year though, that recession that has been predicted (there's one every decade) will probably be triggered.

    Quote Originally Posted by Rise-Chan View Post
    As a Canadian I'm upset. @BTR understands me.
    I wouldn't worry too much. We typically patronized American steel more because we were allies. Chinese steel is way cheaper, so we could just switch to that and actually come out okay. I'm more worried about NAFTA.
    Last edited by BTR; Jun 29th '18 at 02:35 PM.

    Still the Hero.

    "Ideas Never Die..."

  7. #7
    Senior Member SniperKing's Avatar
    Join Date
    Aug 2014
    Posts
    5,005
    Manga
    Whole Cake Island
    Anime
    Dressrosa
    Gender
    Male
    Beli
    58,747
    Gold
    0
    EXP
    0


    BTR summed this up really well, those who support tariffs fail to see the big picture here. Trading is done because it is more efficient economically. It allows both micro and macro level re-allocation of resources to the fields in which the producer is more proficient. Tariffs hinder economic efficiency by making companies/countries/whatever produce something that they aren't as good at, and as a result of this their overall production will drop.

    In a nutshell:

    Farmer A can produce 5 liters of milk and 10 kilos of bread, 7 liters of milk and no bread, or 25 kilos of bread and no milk. The latter is obviously the most efficient if they can sell their most efficient product with a ratio that gives them both more milk and more bread than initially (e.g. 7 liters of milk and 12 kilos of bread) with the same amount of resources used in the production. Tariffs fuck this system up either partially or completely, by diminishing the amount of milk that you can buy and the amount of bread that your foreign customer can buy from you. Essentially this will lead to a situation in which you gain less with the same amount of resources used. Ofc there are limitations to this, but the US is not a new, weak or very small economy which means that they don't really apply here.

    And hence ends the econ 101 lesson haha

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •