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by oarsinsync 2019 days ago
> If you look at the actual outcome, it was that China devalued their currency or otherwise lowered prices to eat the tariffs, because their nightmare is manufacturing getting a foothold anywhere else, whether it's India or the US. Which is a win for the US because we have China paying us billions of dollars in tariffs without paying significantly higher prices for goods.

Can you tell my suppliers this so they stop passing on 50% of the cost of the tariffs onto me please? They don’t seem to have gotten your memo that the Chinese are paying the tariffs instead of the consumers.

I literally have “import tariffs” as a line item on all my invoices that relate to goods manufactured in China. Every single supplier appears to be colluding to increase their profits, if what you’re saying is true.

The alternative is that tariffs are actually driving up costs unnecessarily.

1 comments

The environment/macro has already changed, and the tariffs are here to stay, even Biden and post-Biden. If you haven't yet adjusted to this, your business is in big trouble as your competitors already have moved from China to other SE countries, and you will most likely fail soon.

As an aside. Most US based businesses have already moved on. It seems that alot of European-run businesses are laggards

Yeah, no. US trade deficit to China is still increasing.