USMCA? Prior to that if was NAFTA (North American Free Trade Agreement). Trump considered, correctly, or not, that the previous trade agreement (NAFTA) was not equitable. He, according to him, negotiated a contract which benefited the USA. He, bizarrely, now says that the ratified trade agreement which he ratified, is detrimental to the prosperity of the USA.
US tarrifs. 10% U.K., 20% EU.
- Thread starter Mottie
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USMCA? Prior to that if was NAFTA (North American Free Trade Agreement). Trump considered, correctly, or not, that the previous trade agreement (NAFTA) was not equitable. He, according to him, negotiated a contract which benefited the USA. He, bizarrely, now says that the ratified trade agreement which he ratified, is detrimental to the prosperity of the USA.
Do you mean the chart that he held up? He said that the tariffs charged by other countries was calculated by taking into account currency manipulation and things that MAGAs would not understand. In reality, he selected all countries that the US has a trade deficit with (bar Russia, Canada/Mexico) and then divided that by the value of imports from them into the USA.
Eg Vietnam- trade deficit $123.5 billion divided by imports of $136.6 billion equals supposed tariffs of 90%.
New Zealand- $1.1 billion deficit, imports of $5.6 billion, supposed tariffs of 20%
The irony is that the far east countries that he is hitting the hardest are the ones that manufacture products for American firms such as Nike and Timberland.
Even if those countries drop tariffs to zero percent, he will still punish them because they will still export more to America than they import from America. America wants cheap clothing and electronics, the people of Vietnam will still not want a $20k US motorbike even if the tariffs are zero percent.
Yes, but the formula they used and published has variables for elasticity of trade. They used values that cancelled out, but should, according to what they claimed they were using, have used ones that reduced it by around 3/4.
Like I implied previously.
Whoever came up with it wasn't an expert in anything other than stupidity.
Unless they were trolling the orange rapist.......
Nike is f----d
Unless 12 year old Yank kids step up to the bar.
"Gregory Meyer in New York, A Anantha Lakshmi in Jakarta and Florian Müller in Frankfurt
Published 8 HOURS AGO
The Vomero 18 running shoe on display at a Nike store in New York features thick soles, a $150 price tag and tongue labels woven with the message “Made in Vietnam”.
That last fact is a big problem for Nike’s plans for a turnaround under chief executive Elliott Hill, who this year launched the Vomero 18 to win back runners who have switched to other brands. Vietnam has become the global centre of athletic shoe manufacturing — and it is subject to some of the most punishing US tariffs imposed by US President Donald Trump this week.
Trump has said he wants to bring manufacturing back to US shores. Analysts say the more likely effect will be higher prices for trainers, as the US lacks factories with the specialised equipment to make running shoes and workers with the knowhow to operate them."
FT.com
In a nutshell.
Well best the UK start organising the import of chlorinated chicken ??
And lower the cost of importing car parts from the states
We can get on very well without both of them.
Be that as it may
How ever any trade deal with the US
Than you can boycott the chlorinated chicken
Yes exactly
Sorry mate. I showed the workings out ( selected two countries at random). I do not understand your point about elasticity. The formula that Trump has used is very straight forward, and based on nothing more than trade deficits Vs imports. I have, previously checked about 10 different countries. My maths was correct on each occasion. Other than trade deficits and imports, there are zero variables. It is more BS from Trump and nothing to do with elasticity.
The only country (not part of Trump's USMCA agreement) which was given a free pass was Russia. The U.S. goods trade deficit with Russia was $2.5 billion in 2024, Russia exported $3.0 billion, that means that his chart should have accused them of applying (2.5/3) 83.3% tariffs. But... nah,the guy gave them a free pass.
Trump has penalised us even though we last had a trade surplus in 2015.
To be honest, I don't even understand his tariffs. For the last 50 years, the USA has applied 25% tariffs to imports of trucks, 8.5% to cars. The EU/UK- 10% for both. I agree with reciprocal tariffs, seems fair and equitable, but Trump is an utter moron. the preek will trigger a global recession
Ironically, it might push us closer to the EU and China. We can no longer trust America, and we have witnessed members of his administration saying that us Brits are pathetic.
They make sense when you look at why.
Trump has put very high blanket tariffs in place on everything. Why?
A = because Trump wants countries to crawl on their hands and knees to beg for him to remove them.
This is especially true of American businesses.
Trump will then selectively cut tariffs to those who line his pockets with large amounts of money.
Trump is using tariffs to make himself king.
