Does Trump understand how tariffs work?

[OneRealOchreHiker]

Just seen that Trump is giving us a higher tariff from 1st February. Do we think he understands that this is actually costing American buyers more?

Sounds just like Brexit.

Tariffs are basically a tax on the stupid.

Id like to know when the republican party is going to speak out. The diplomatic row this has created is unprecedented. America is quickly running out of friends and is becoming increasingly isolated

Scotland won’t care if he threatens military action. They’ll just bring in “Wee Mental Davey” from Glasgow to kick the shit out of them.

It costs consumers in both countries more, which is why trade wars are a bad idea.

Would you speak out if you thought you'd get shot for it ?

A really mass (as in tens of thousands) protest outside Turnberry could be a thing. Hundreds of thousands could be able occupy it.

I don't think he does and may be hoping deep down that the Supreme Court will save him with their upcoming ruling.

This is a really interesting explainer

https://www.cato.org/multimedia/media-highlights-tv/scott-lincicome-discusses-trump-administrations-tariffs-bulwark

Maybe they won;'t rule at all. Then he can carry on regardless. In fact he might anyway. I mean who are these "judges" that interfere with democracy ? Who elected them ?

I don't understand what these tariffs mean.

So we send some goods to the USA? Who has to pay the 10%?
And what goods are we exporting to the USA?
Can we export them somewhere else?

Previously, I had thought that the politics of the USA were their business and it was not really our place in the UK to protest about their laws or politics.

But now, Trump seems to want to buy or take pieces of the world!

The Greenland situation is totally unacceptable. How the hell can he just go and buy/claim it?

I would like to know that the little man in the street (ie me/us) can do to boycott Trump. It's not about how he governs his own country - that's not my business. But taking over countries? That is anti democratic, uncivilized and a severe abuse of the power and size of the US.

So we send some goods to the USA? Who has to pay the 10%?

Well if the exporter (that is the company in the UK) does not reduce the price of the goods, then the US company importing them has to pay 10% extra.

If the importer can absorb the cost (that is reduce their profits and upset shareholders) then great. The end customer - John or Jill Doe - won't notice.

If the importer cannot - or will not - pay that 10% then the end customer will see a 10% increase in that item.

However you dress it up, it is a tax on US citizens. And Trump can only levy it because the US constitution is a joke as it explicitly prevents POTUS from imposing taxes and SCOTUS really don't care.

Stop using MS, Google and Apple ?

How do tariffs destroy US farms?

Well if other countries decide that US farm produce needs an extra (say) 10% then all of a sudden US farm produce is 10% more expensive.

I suggest anyone who is curious about US farming looks at how many bail outs Trump has promised (not yet delivered, naturally) in order to stop a wave of forecolsures. Soy bean farming in particular.

Generally, once a customer has found a cheaper, reliable source, they will stick with them. So that is a lot of business not going the US way.

https://www.wsj.com/finance/commodities-futures/u-s-soybean-farmers-staring-at-more-hard-times-in-2026-f618ce15

Oh sorry so you mean to reciprocal tariffs have an impact on exporting farms? That makes sense.

The bailout point is not entirely dissimilar to what we’re seeing with farms in the UK - it’s a dire time to be a farmer.

I think some of them are pretty committed to saving his ass so they can find a way to rule a third term constitutional

Currently there are exports on their way to the US that are going to cost 10% more than expected. It’s too late to stop it now so American companies will have to pay another 10% (we currently have a 10% rate).

Moving forward it’s going to make things from the UK 20% more expensive and the things that America have to buy because they can’t make them and they need them is costing them a packet.

Most I phoned are madden in China after he realised that he back tracked. We are not in The EU big problem for UK.

They increase the cost of farming essentials, like machinery, parts and fertiliser. Retaliatory tariffs are also damaging and tariffed countries have cut the amount of American produce they buy.

DOGE fucked farmers and Trump's tariffs on top is a double blow, an existential threat to small and medium farms. And that's before you factor in the loss of farm labourers because of the mass deportation policy.

If the Scottish government compulsorily purchased his golf course for £1 I’d dance my way there wearing a kilt

god that would be FANTASTIC

Seemingly. Europe owns a lot of USA debt. Time to csll in the debt payments

.What US customers are starting to see.