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US Tariffs, Sigh!

JamesLam

New Member
We are a Canadian business and import into the US and buy from the US. This is both directly and indirectly through customers, distributors and suppliers.

How are Canadian and US businesses handling the new challenges?

I suppose we can add the additional Chinese tariffs into the thread as well.

I'm sure this will become slightly politically charged but this is not the goal of this thread. I'm hoping for a discussion that provides pragmatic and practical observations.


James
 

GAC05

Quit buggin' me
Should be interesting. Everything we buy or sell here is imported (except for the fish and coconuts), it's probably going to hurt on both ends. We sell accessories for commercial trucks and our main line of campers recently moved their factory to Mexico from the US. Quality and service has gone down but I was hoping it would just be until they got settled into their new supply chains and manufacturing setup. Higher prices will not help us sell these things (except to DOD and the federal government). Hopefully, Musk will develop some space-based manufacturing that will make everything dirt cheap.
 

Gino

Premium Subscriber
I'm not sure how this might fit in, but my wife and I went to a diner about 15 miles away from where we live, out in the country last night. We both got a sandwich and a soda. Our bill was $36 something plus the tip. They said everything we got was made fresh..... right there. I don't think the electric, soda, meats, rolls or just about anything else was brought in, but that seemed a tad too much for that amount of food and no tariffs showed up on the bill. Ya know, when I was in high school, a 6-pak of budweiser cost $1.60. What is it today ?? Why can I get a car battery at walmart for one price or auto zone for almost twice as much ??
 

JamesLam

New Member
I'm not sure how this might fit in, but my wife and I went to a diner about 15 miles away from where we live, out in the country last night. We both got a sandwich and a soda. Our bill was $36 something plus the tip. They said everything we got was made fresh..... right there. I don't think the electric, soda, meats, rolls or just about anything else was brought in, but that seemed a tad too much for that amount of food and no tariffs showed up on the bill. Ya know, when I was in high school, a 6-pak of budweiser cost $1.60. What is it today ?? Why can I get a car battery at walmart for one price or auto zone for almost twice as much ??
I think this highlights what pretty well all of us have been exposed to, increases in prices and cost of living right across the board. Yet we're scrambling to charge more for our goods and services. The tariffs have added another level of complication and uncertainty to our day-to-day.
 

Bobby H

Arial Sucks.
I've hated our so-called trade policy for decades. This goes back to the 1970's when companies were sacking American workers to export the manufacturing to Japan. We allowed them and then other countries (cough: China) to dump product into our market at prices below the cost it took to manufacture them. Wall Street loved it. But it decimated a lot of smaller American companies and hollowed out the middle class.

Now we're in a position where American consumers are dependent on cheap, imported products. And several of our domestic industries rely on illegal migrant labor. The agri-business sector is especially dependent on that kind of labor. The companies play a shell game with their paperwork to hide the fact most of those workers are paid cash off the books. There has to be some kind wink wink, nudge nudge arrangement with government regulators and inspectors to let this stuff fly. It is kind of funny how all the INS raids shown on TV the past week or so have taken place in big cities (in mostly blue states). The raids are obviously publicity stunts. Or Dr Phil doesn't want to go on an INS raid at a slaughter house.

Sign companies who hire American born workers and pay them on the books are subject to having OSHA, EPA, DOT, etc crawling up their ass. But a cattle processing plant in the Texas panhandle appears to be getting a pass on those hassles. If a migrant gets maimed on the job out there they just patch him up and send him home. If one of our workers gets seriously hurt on the job there's going to be all kinds of hell to pay.

Here's the sad thing: if we booted every illegal worker out of the country it's likely businesses like those cattle processing plants way out in the sticks would probably shut down. Working in a slaughter house is a pretty horrific, nasty job. I'll drive past these places on road trips from Oklahoma to Colorado. The buildings are hundreds of yards off the road yet even at that distance the stink is so powerful it makes me gag. American born people wouldn't do those jobs for what the migrants are getting paid. But even if they did I'm sure the workers comp insurance premiums on those American workers would be staggering. It's likely most of our meat would end up being imported (and subject to those tariffs).

Meanwhile, there is serious growth in the construction of new manufacturing plants in Mexico. We seem to be giving every foreign-born person the message they're not welcome here. If there is a big surge of job growth South of the border we may see millions of people self-deport. In the background America has a worsening fertility crisis. Birth rates are falling fast because we have priced so many young adults out of being able to afford parenthood. We're going to be a rapidly aging nation with a shrinking working-age population. That will be "great" for our tax base. The military might have to bring back the draft. Anyway, 20 years from now this country might be begging for any kind of immigrants it can get.

GAC05 said:
Hopefully, Musk will develop some space-based manufacturing that will make everything dirt cheap.

Haha. Doing anything at all, ever, in space is only going to be extremely expensive. The costs of getting anything off the ground and into orbit is insane.
 

JamesLam

New Member
It looks like Mexico negotiated a 30 pause. Possibly Canada and/or China get the same concession. Who knows where this will go from here?

Spin and optics maybe?
 

Gino

Premium Subscriber
Let's talk about more serious stuff, like who is gonna get control of the panama canal........ us or the chinese ??
 

Stacey K

I like making signs
I think we will avoid the tariffs. Mexico is working with us as of this morning. I have less hope for Canada with your current leadership but let's keep our fingers crossed.

We'll just have to increase my prices to account for tariffs if it comes down to that.

Down here, we may at some point, see enough relief from government cuts to make up for some tariffs if it comes down to that. Unfortunately, they removed the Lawn Dart Safety Committee so who knows what's next! ;)
 

Geneva Olson

Expert Storyteller
I've hated our so-called trade policy for decades. This goes back to the 1970's when companies were sacking American workers to export the manufacturing to Japan. We allowed them and then other countries (cough: China) to dump product into our market at prices below the cost it took to manufacture them. Wall Street loved it. But it decimated a lot of smaller American companies and hollowed out the middle class.

Now we're in a position where American consumers are dependent on cheap, imported products. And several of our domestic industries rely on illegal migrant labor. The agri-business sector is especially dependent on that kind of labor. The companies play a shell game with their paperwork to hide the fact most of those workers are paid cash off the books. There has to be some kind wink wink, nudge nudge arrangement with government regulators and inspectors to let this stuff fly. It is kind of funny how all the INS raids shown on TV the past week or so have taken place in big cities (in mostly blue states). The raids are obviously publicity stunts. Or Dr Phil doesn't want to go on an INS raid at a slaughter house.

Sign companies who hire American born workers and pay them on the books are subject to having OSHA, EPA, DOT, etc crawling up their ass. But a cattle processing plant in the Texas panhandle appears to be getting a pass on those hassles. If a migrant gets maimed on the job out there they just patch him up and send him home. If one of our workers gets seriously hurt on the job there's going to be all kinds of hell to pay.

Here's the sad thing: if we booted every illegal worker out of the country it's likely businesses like those cattle processing plants way out in the sticks would probably shut down. Working in a slaughter house is a pretty horrific, nasty job. I'll drive past these places on road trips from Oklahoma to Colorado. The buildings are hundreds of yards off the road yet even at that distance the stink is so powerful it makes me gag. American born people wouldn't do those jobs for what the migrants are getting paid. But even if they did I'm sure the workers comp insurance premiums on those American workers would be staggering. It's likely most of our meat would end up being imported (and subject to those tariffs).

Meanwhile, there is serious growth in the construction of new manufacturing plants in Mexico. We seem to be giving every foreign-born person the message they're not welcome here. If there is a big surge of job growth South of the border we may see millions of people self-deport. In the background America has a worsening fertility crisis. Birth rates are falling fast because we have priced so many young adults out of being able to afford parenthood. We're going to be a rapidly aging nation with a shrinking working-age population. That will be "great" for our tax base. The military might have to bring back the draft. Anyway, 20 years from now this country might be begging for any kind of immigrants it can get.



Haha. Doing anything at all, ever, in space is only going to be extremely expensive. The costs of getting anything off the ground and into orbit is insane.
Do you honestly believe that the sending the illegals home is going to cause us to have an american base worker problem?

The ones hes gathering up now are the ones the other countries released out of prison and sent over here.
 

GAC05

Quit buggin' me
Haha. Doing anything at all, ever, in space is only going to be extremely expensive. The costs of getting anything off the ground and into orbit is insane.
Yeah, I know, but Elon said as soon as he finishes debugging his teleporter system it won't be much of an issue. He's going to message me when it is ready, but most likely it is going to be a subscription service.
 

ddarlak

Go Bills!
These tariffs are a joke, they were put in place just so orange clown can later take them away claiming some fictitious hugely big win. He loves nothing more than to blow his ego up and be loved by nitwits.

The man went bankrupt 6 frickin times, he is not smart. He just knows how to swindle brainless rednecks.
 

ProSignTN

New Member
Do you honestly believe that the sending the illegals home is going to cause us to have an american base worker problem?
I haven't seen a white man with a roofing hammer in his hand around here for years now and same goes for concrete, masonry and landscaping. And the only reason we're still working in electrical, plumbing and HVAC is because you got to be licenced to pull wire, lay pipe and pump Freon.

We just lost a chicken pant here that employed over 400 people, mostly Hispanic. Said company employees over 10,000 corporate wide. They cited the equipment as too old to be updated, but their decision could have been influenced by the promises our county Sheriff has been making for years now about "sending them all back home". He's backtracking somewhat now, as that community is decimated and all those tax dollars the chicken factory had contributed are gone.

So, yes I do honestly believe my own anecdotal evidence, especially when the the vast majority of economists, both professionals and scholars, recognize and understand how important immigrant labor is to our economy.

As far as tariffs: If your supplies and overhead cost more, then charge more. It's Capitalism 101.
 
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