inb4 products that have absolutely no supply chain dependence to China 'somehow' increase in price.
this post was submitted on 23 Nov 2024
497 points (98.1% liked)
News
23367 readers
3154 users here now
Welcome to the News community!
Rules:
1. Be civil
Attack the argument, not the person. No racism/sexism/bigotry. Good faith argumentation only. This includes accusing another user of being a bot or paid actor. Trolling is uncivil and is grounds for removal and/or a community ban. Do not respond to rule-breaking content; report it and move on.
2. All posts should contain a source (url) that is as reliable and unbiased as possible and must only contain one link.
Obvious right or left wing sources will be removed at the mods discretion. We have an actively updated blocklist, which you can see here: https://lemmy.world/post/2246130 if you feel like any website is missing, contact the mods. Supporting links can be added in comments or posted seperately but not to the post body.
3. No bots, spam or self-promotion.
Only approved bots, which follow the guidelines for bots set by the instance, are allowed.
4. Post titles should be the same as the article used as source.
Posts which titles don’t match the source won’t be removed, but the autoMod will notify you, and if your title misrepresents the original article, the post will be deleted. If the site changed their headline, the bot might still contact you, just ignore it, we won’t delete your post.
5. Only recent news is allowed.
Posts must be news from the most recent 30 days.
6. All posts must be news articles.
No opinion pieces, Listicles, editorials or celebrity gossip is allowed. All posts will be judged on a case-by-case basis.
7. No duplicate posts.
If a source you used was already posted by someone else, the autoMod will leave a message. Please remove your post if the autoMod is correct. If the post that matches your post is very old, we refer you to rule 5.
8. Misinformation is prohibited.
Misinformation / propaganda is strictly prohibited. Any comment or post containing or linking to misinformation will be removed. If you feel that your post has been removed in error, credible sources must be provided.
9. No link shorteners.
The auto mod will contact you if a link shortener is detected, please delete your post if they are right.
10. Don't copy entire article in your post body
For copyright reasons, you are not allowed to copy an entire article into your post body. This is an instance wide rule, that is strictly enforced in this community.
founded 1 year ago
MODERATORS
- It's Walmart: what item they sell has no connection to China?
- It's important tariffs actually the board not just China
I think a lot of their food items aren't from China, and a few random things are even domestic. I think they sell Lodge cast iron pans, which are fully made in America.
I think his "plan" is a really big tariff on China and a moderate one on every other country?
That's my understanding as well.
But, as the original comment suggested, it doesn't really matter.
If every other cast iron pan goes up 15% in price, what do you think Lodge will do?
-
keep their price the same, see modest relative increase in market share with a demand for investment in additional production, knowing full well the tariffs aren't going to be permanent leaving them over-invested in production whenever they drop the tariffs.
-
Also raise their prices by 15%, immediately show increased revenue at no additional cost to shareholders next quarter. CEO gets massive bonus.
Mexico is already threatening a reverse tariff.
I would imagine production cost for lodge could go up since they source the material from scrap yards and if the cost of iron in general goes up because a percentage of it is imported than the cost of scrap should increase as well.
Hey now, the Waltons need some extra cash. Who could even get by on a measly four million dollars a hour in this economy?
Gotta prepare just in case one of them gets drunk and murders a person with a car again.
Tariffs make companies able to compete better within the walled garden, but weakens their competitiveness worldwide. It creates a race to the bottom inside the garden, but makes them weak outside the border. They also makes prices increasefor the local buyers. Costs get passed along, it's not as if manufacturers are going to absorb increases, they don't need to. GM, Ford, Chrysler are all going to pass them on (as any domestic manufacturer)
Yup. I am the international buyer at my Made in America company. We pay the tariffs. We do not absorb them it gets added into the price. And when China is 50-75% lower than American made, another 30% tariff isn’t going to bring the business back here. I kept posting that on my Facebook for weeks before the election. No one listens.
Everyone seems to be wringing hands about policy, but this is just another datapoint that propaganda won this election.
Even worse, China has already begun moving their Chinese-owned production to Malaysia, circumventing the tariffs on Chinese imported finished goods.
I heard about this a few months back on a podcast about auto parts. China just shipped the fan belts they were making to a warehouse in Vietnam, rebranded them, and shipped them to the US, tariff free.
They did some sort of chemical analysis on the Made in China and Made in Vietnam belts and the formulation of the rubbers was identical.
Enforcement to counter this would likely eat up too much of the tariff money, so it just won't be done. China will still get paid the same, and at minimum we'll eat China's additional shipping costs.
That is really interesting, what is the name of the podcast?
One possible silver lining:
By removing dirt-cheap goods from the market, this could make it more difficult to ignore the underlying problem: People are not being paid enough for their labor to afford the things they need at home. Instead, they are expected to depend on subsidized/sketchy foreign manufacturing, while corporations and the super-rich are being allowed to extract a disproportionate share of the world's wealth from everyone else, hoard it, buy favorable legislation and policies, and avoid paying their fair share in taxes. This is already unsustainable; tariffs will make it more obvious.
(I don't imagine this is why Trump wants tariffs, but perhaps he'll accidentally place the straw that breaks the camel's back, leading lawmakers to face either reform or revolution. Unfortunately, I think it's likely to make things worse for the rest of us before it makes things better.)
Once again, corporate america will use this as an excuse to raise prices more than necessary, gouging the people and stuffing the pockets of CEOs.
Correct. Trump’s 2017 tariffs raised the price of foreign made dishwashers by 20%. American manufacturers also jacked up the cost of their appliances, in order to match that price that customers were paying for the other brands, pocketing the difference.
Yep, and the prices will stay high even after the tariffs are gone.
Grocery stores are the worst about this too. Prices are still absurdly high despite there being no more supply issues from covid.
The average American is already stretched to the breaking point with what overinflated goods they can afford. We'll soon see people either buy just the bare essentials or start stealing at a much higher rate than we already have. Food riots might very well be a thing in the world's richest country soon.
The genius part is now that Republicans are in charge of the government here, deficits no longer matter, and they will push through huge tax cuts on the rich. These massive tax cuts will only trickle down to working folks in the form of direct rebate checks, just to give Trump an excuse to have his signature all over them. Trump will convince these people that the additional money is to help offset rising prices, and his voters will believe it.
Deficits will no longer matter until after the midterms, and then if Democrats can gain back control of either house of Congress, the deficit will become a big problem again, that can only be solved by slashing more programs. The checks will stop, and Trump will blame Democrats.
load more comments
(1 replies)
load more comments
(1 replies)
The fact that they're sending this message now means they will use this as an excuse go raise the prices even higher than nessesary to increase their profit margin. If they really cared about consumers then they should have been yelling from the treetops BEFORE the election.
They said this the last time it happened... During his last presidency.
Walmart Chief Financial Officer Brett Biggs said in an interview that higher tariffs will result in increased prices for consumers.
If only someone else said something about how bad these tariffs would be...
https://amp.miamiherald.com/opinion/article292867514.html
https://www.euronews.com/business/2024/11/04/how-much-could-trumps-tariffs-damage-europes-economy
https://thehill.com/opinion/finance/4938752-trump-economic-policies-impact/amp/
https://amp.cnn.com/cnn/2024/10/16/politics/trump-fact-check-john-deere-economy
https://www.semafor.com/article/10/18/2024/what-are-the-consequences-of-trumps-tariffs
https://www.businessinsider.com/trump-tariff-threat-john-deere-economists-baffled-2024-9
https://fortune.com/2024/08/16/trump-tariffs-trade-war-inflation-economic-policies-joachim-klement/
https://www.cbsnews.com/amp/news/yellen-speech-tariffs-will-increase-inflation-risk-trump/
I'm not saying no one was warning us against tarrifs, just pointing out that Walmart specifically waited until after trump was elected (apparently twice now) to announce their warning about tarrifs.
Walmart doesn’t have an obligation to educate the American electorate.
Yes that is true, so ask yourself why they would make such announcements after they know it won't change anything. Best case scenario they are trying to save face for when the tarrifs drive up prices. Worst (and IMO most likely) case is that they use it as an excuse to further increase their profit margins, much like they and other stores did when there was an increase in inflation.
While I don’t disagree, from a business standpoint, yeah, exactly what you said, the reality is they’re coming. When prices go up, they just told everyone who to blame, rather than trying to deflect after having to raise prices.
load more comments
(2 replies)
No shit.
Tariffs alone will not revive domestic manufacturing, the demise of which has numerous causes, but two in particular.
1.) Corporations maximising profits. I don't think this needs much of an explanation.
2.) Consumer apathy. By which I mean consumers not giving a shit and consistently buying the cheapest garbage possible without regard for the long term cost. Quality products cost more money up front and ideally have a lower total cost of ownership. But, the average consumer only cares about the price tag on the shelf. The long term costs of this behavior and the related disposable culture are enormous.
Unfortunately, one of those costs are the loss of middle class jobs cranking out products at a plant in Ohio because now the plant is an empty field and the jobs got shipped overseas.
Reminds me of this Jib Jab video from like 2005.
2.) Consumer apathy. By which I mean consumers not giving a shit and consistently buying the cheapest garbage possible without regard for the long term cost.
This has some validity, but it is not as simple as just saying, "American consumers are stupid" and having done with it.
Quite a few shoppers, possibly even the majority, are living paycheck-to-paycheck and cannot afford anything other than whatever the cheapest thing on the shelf is. They are barred from making sound long-term purchasing decisions because they don't bring in enough income to afford the superior product, even if they wanted to. It's a case of, buy what they can afford regardless of low quality, or nothing. This is the real life version of the Vimes' Boots Economic Theory.
I will also point out that a huge portion of spending by individual Americans is on perishable commodity goods with largely inelastic demand, the purchasing of which cannot be put off. In plain English, that's food and fuel. I will also point out that these are two categories that are to many decimal places absolutely not tied to Chinese importation in any way whatsoever (in fact, the vast majority of food sold in America is grown and packed in America, and when you take prepared foods into account that number rises to near as makes no difference to 100%) so we automatically know that any supposed "tariff" increases on these products are in reality just a bullshit profit grab by retailers and/or Kraft-Heinz or Nabisco or whoever the fuck.
There is a link between tariffs and food prices, the vast majority of American agriculture is mechanized and the machines and their parts are mostly manufactured overseas. As are the trucks that account for a huge percentage of the distribution network.
Glad they said this after the election
/s
They don't give a shit that the customers will be paying more. In fact, if anything, they probably love the excuse to jack up prices further - or further cut their workforce to the bone, or whatever the latest fad in padding executive compensation packages is.
load more comments
(6 replies)
Trying to speak sense to Americans. You are in for a rude awakening. They will blame the high prices on space lasers.
And immigrants, "wokeism," and Obama, Joe Biden.
Yeah, no shit. How the fuck do people think tariffs work?
In their minds, they literally think of them as some sort of "cover charge" that foreign manufacturers pay to get their goods into the US, and that they will do so gladly and neither seek other places to sell nor raise their prices. They think that these companies will eat the losses until they decide to build factories in the US, or they will simply wither away and American factories will sprout up like dandelions in a sidewalk.
The fact that all of it is completely wrong doesn't matter, because the people telling them otherwise don't have on a red hat and an ill-fitting suit.
The same way they thought "Mexico will pay for the wall" was gonna work - they didn't think about it at all.
They just blindly trusted the habitual liar, despite all evidence to the contrary.
If they knew how tariffs worked, fewer of them might have voted for the dumbass proposing to make things cheaper by raising them.
load more comments
(3 replies)
My new job came with a 10k sign on bonus and I just got the first half 3 months in. I have to pay the whole thing back if I leave within 2 years. I was planning on keeping all of it in high yield savings in case I need to slap it back down on the table and run, and best case scenario at the end I have a house downpayment.
Y'all. I got taxed more on this check than I made in working hours. I got the 5k bonus and 3k of working hours. I paid over 3k in taxes and didn't even net 5k this check. It was 4900 something.
I understand that I'm not "poor" anymore but I'm still paycheck to paycheck (I wound up just paying off some credit card debt; I'll get a loan if I need to run). More importantly I have a real job. I'm not some marketing desk jockey or a landlord or an MLM "entrepreneur," I'm an inpatient bedside nurse. I don't want to sound full of myself but how does Jeff Bezos not pay any taxes and I'm over here paying 37%???
Taxes are usually taken out using the monthly amount like a yearly amount. You'll probably get a lot of it back when you pay taxes for the year.
You will definitely get a lot back. They tax it like you make $8k every month.
load more comments
(8 replies)
view more: next ›