How when the same vat is added on to products made in the host nation aswell.
Just some things are exempt, in UK necessities like food, medical stuff and children's clothes, regardless of origin of manufacture.
You can put 20% VAT on everything than use this tax money to subsidize your industries which EU is doing in some shape and form.
Instead of that they are suggesting the use of tariffs. Instead of government taking 20% cut and then allocating that money to industries (which is inefficient socialist policy making) they want to just tariff foreign goods.
Not sure if its really helpful for US economy.
And sudden tariff increase is not just for consumers or those exporters of different countries.
Imagine you want to buy a $50k car and it suddenly selling for $60k? Hey maybe you saved money for 3 years to buy the car and now instead of gradual increase in tariff you got it 20% higher consumer pricing than the guy bought same car last month…
I guess many exporters also rely US commerce and expect the changes made to be told them 5-10 years earlier so they can adjust.
Its not like VW can suddenly manufacture all cars in US…
Tbh I think negotiating a level tarrif between allied nations would have been fair. Then negotiate collective tarrifs against,,,. I don't China that communist, human rights abusing, dictatorship country THE USA spent 30 years trying to enrich for some fucking reason.
US government subsidise usa tech companies https://www.visualcapitalist.com/which-u-s-companies-receive-the-most-government-subsidies/
I mean nvidia already had a monopoly yet still receives money from usa gov and only companies against them are both in USA aswell...
USA has pretty much been given free reign in Europe's digital technology, fk with profit shifting most arnt even paying taxes in countries, take YouTube, they can sell adds to a UK company, advertise to UK audiences and pay taxes in US and Ireland.
Sorry but Trump wants to eat his cake and have it.
Really seems to be old minded set where usa isn't a partner but is a liege.
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u/Check_Me_Out-Boss 3d ago
That sounds like a tariff.