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19/05/25
13:31
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Originally posted by Fishinnick:
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Yeh well next level people deserve next level adjective. Seeing as you don't understand the Trump admin tariff reasoning i'll quickly give you one easy to see example for you to think about. Real world example below. In the USA a Jeep grand Cherokee L Summit Reserve vehicle starting MSRP price is about $65,000 In Japan this same vehicles starting price is about $102,000. I don't think one needs much grey matter to realise the real cost of shipping this vehicle to Japan is no where near the $37,000 difference. Japan says it has zero tariff's on car imports and from an english language definition point of view that would be technically correct however the real world sale price of that vehicle in Japan clearly shows a near 50% increase over what the vehicle is sold for in the US and maybe closer to 40% if one was to account for shipping costs in rough numbers. This simple example obviously shows that even though Japan says it has zero tariff's on autos the truth is they wack the price of this US vehicles with an extra 40% cost, JEEP is not making this extra 40% on it's cars in Japan, Japan has created these costs with anti-competitive or stealth like protectionist political and maybe monetary policies which avoid the Tariff definition but impact the cost of the Jeep to the Japanese consumer having the same effect as a tariff and thus these policies are really tariff's effectively if one wants to be real. There are no legitimate reasons for Japan to impose such extra costs on the Jeep other than protectionism if you think about it, someone drives the Jeep on the boat in the US and someone drives the JEEP off the boat in Japan and sticks it in the car yard and shipping charges it's fee, theres no way this can cost 30-40k for every vehicle, Japan obviously not playing fair in the auto trade game thus Trump hits them with 25% and like Trump has said he's being nice with his tariff levels, setting them at 25% on Jap autos which is much lower than Japans effective rate of about 40% or so.
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I am beginning to wonder if agreeing to zero or greatly reduced tariffs on US imports is a zero sum game for the us in the end if the aim was to sell more of what the US produces. Can’t imagine Europeans, Japanese, British, Asians and South Americans being big buyers of truck sized 7L V8 SUVs from the US … ditto a lot of what the US produces is loud, garish, largely unappealing and mostly expensive anyway. Dex