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 Trump Tariffs Is Working 😱 MAGA!

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Moderna
post Aug 14 2025, 10:50 AM

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QUOTE(JohnL77 @ Aug 14 2025, 12:32 AM)
Trump's point of view is:

> I raise tariffs: Good for American companies.

> Exporters reduce price to remain competitive: Good for American consumers.

I am not saying I agree with Trump or think he is winning.
There's 3 pages of replies, go read first. Or maybe you can go apply for a job with Goldman Sachs or their competitors and argue with them.
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I agree. I see a lot of disadvantage for American consumers but there are definitely some advantage for America.

Buy foreign, consumer and/or supplier pay more. Government earns more. As simple as that.

Every country applies this rule in some sectors.
Moderna
post Dec 16 2025, 07:20 AM

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QUOTE(ipohps3 @ Aug 13 2025, 10:19 PM)
most likely shared between American importers and foreign exporters.

so Americans paid partly only
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The cost will eventually passed down to the exporters. Either that or they risk not being able to stay competitive.

For products with no local or EU alternatives, American consumers must pay.
Moderna
post Dec 16 2025, 06:03 PM

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QUOTE(empyreal @ Dec 16 2025, 10:55 AM)
Thats assuming domestic manufacturer dont raise their prices to just under what their foreign competitors are pricing.

History shows that is generally what will happen - tariffs will translate into profit for domestic businesses first before it ever benefit the consumers. Why would businesses lower prices more than necessary?
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Past trend proves that this is not the case. Domestic businesses thrive under low/bad competition but prices only rise by 10-15% due to increase in demand.

Really depending on the sector though. There are sectors which domestic players really cannot compensate in terms of quantity, quality or technology. Consumers will have to fork the bill for these sectors.


Moderna
post Yesterday, 12:14 AM

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QUOTE(empyreal @ Dec 16 2025, 07:06 PM)
total demand remains the same - you put a tax/tariff on something it doesnt increase demand for something.

the lack of competition simply flows this existing demand to domestic businesses, which you acknowledge increased prices.

dont have to look far, just look at proton. if you tell malaysians that high taxes on foreign cars resulted in cheap local cars, youre going to get laughed out of the room.
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That also doesn’t mean proton cars are going to increase in price overnight. The price remains the same. A temporary fluctuation is an assumption but in some cases it would only result in a longer waiting period.

Net value of a Proton will still follow market perception.

China actually implemented tariff equivalent counter measures for their automotive industry way before Trump even thought of it. That didn’t result in Chinese cars being more expensive. It simply gave their local market space to grow.

 

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