Tariffs

[vk6zgo]

Did it ever occur to you that such islands can be used as loopholes to get around tarrifs?
Maybe it's not such a dumb decision, it's just closing a possible loophole. The opposite of dumb, it's very smart, someone was thinking ahead.

This is hands down the most hilarious apology for the wackos in the Trump administration that I’ve ever heard. 

Do you not understand how loopholes work?
I'm just pointing out it's a possible loophole, and how shutting down a possible loophole could easily be a viable explanation.

It isn't a loophole, those islands are part of Australia, just as much as Rottnest Island & Koolan Island, even though they are further away----At least Rotto & Koolan are inhabited!
Effectively, it doesn't matter, but it makes the US administration look stupid.

[vk6zgo]

You may well be right, that this is simply (another) fuck-up by the Trump admin.
But since the net effect of this is probably nil, maybe not anything to get one's knickers in a twist about.
There are bigger fish to fry, as they say ...

Arguing about tariffing Heard Island was never about the financial net effect, it was always about the incompetence of the current administration for making such a dubious decision in the first place.
In other words, if tariffing Heard Island was an obvious stupid idea, what other obvious stupid ideas abound, and more dangerously, what other less obvious stupid ideas have been implemented.
This is not a politics forum so such discussion is beyond the scope of this forum. Nevertheless, such stupidity is surely only the tip of the stupidity iceberg.

Did it ever occur to you that such islands can be used as loopholes to get around tarrifs?
Maybe it's not such a dumb decision, it's just closing a possible loophole. The opposite of dumb, it's very smart, someone was thinking ahead.

Why pick on that island and not many of the others in a similar (non-geographic) position?

Or maybe it just is very dumb. That would fit in with President Chamberlain's other actions. Occam's Razor applies.

Reminds of how the tiny island nation of Tuvalu (population<10k) issues a metric crap ton of official currency numismatic coins (through the Perth Mint mostly). So coins are marked offically in dollars, but they are Tuvalu dollars instead of Australian dollars, and the Tuvalu dollar is pegged to the Australian Dollar.
So it's a neat trick to use Tuvalu as a front for coinage.

Er, Tuvalu is a nation state with people living in it. Not quite the same as an uninhabited island that is part of a nation state (Australia). Why aren't there especially high tariffs on Rockall?

Here's something that surprised me: Trump appears to be functionally illiterate!

1:50 Karmer pulls an envelope from his pocket. The envelope has already been opened, which is strange since an invitation from King Brian should be delivered unopened. We can infer that the contents has been seen and is known, i.e. no surprises.

2:23 Trump stares at it for a long while. I thought he was reading it.

2:50 Trump comments on the picture, saying the signature is beautiful

3:04 Trump ask Karmer to "say" what's in the letter, and hands it to Karmer to read. Why on earth couldn't Trump read it?!



A quick search indicates many people comment that Trump has difficulty assimilating written information - which is very close to being functionally illiterate.

Gobsmacking. Never thought I'd see that.

Maybe Donny is "blind as a bat" & is too vain to wear glasses.

[vk6zgo]

Starmer, now there's a piece of work, and then there's Rachel from Accounting. Is it really true that the Brits need a license to watch TV?

https://x.com/WallStreetApes/status/1908349090334925126?

Americans either pay lots of money to watch TV or watch lots and lots of adverts in programmes controlled by the advertisers.

It is the same in the UK, except we pay less and have some indirect control over the organisation creating the programmes.

The UK has the better deal.

Australia has the best of both worlds.
Back in the 1970s, it was discovered that "policing" TV licenses cost more than it brought in, so they were abolished.

[langwadt]

Starmer, now there's a piece of work, and then there's Rachel from Accounting. Is it really true that the Brits need a license to watch TV?

https://x.com/WallStreetApes/status/1908349090334925126?

Americans either pay lots of money to watch TV or watch lots and lots of adverts in programmes controlled by the advertisers.

It is the same in the UK, except we pay less and have some indirect control over the organisation creating the programmes.

The UK has the better deal.

Australia has the best of both worlds.
Back in the 1970s, it was discovered that "policing" TV licenses cost more than it brought in, so they were abolished.

here they figured that since 99% needed a tv (media) license, it made sense to just make it taxpaid

[langwadt]

https://v.redd.it/cbadpej9iote1

[vk6zgo]

About the uninhabited is ( and some inhabited )  Islands. Creative people can find ways around tax law, and using   a location like these is one of them.     
Back in the Prohibition Era  (US) St Pierre was a common location for importing liquor and then running it illegally into the US.   Actually quite a nice location, a part of France surrounded by Canadian Is...     
Also a location for a Canadian TV Show.     
Al Capone used the Is and I think the senior Kennedy did so also.   
Just an example of how  people got around laws

That might have some validity if other similar islands[1] had also been included. They weren't; the Heard and MacDonald Islands were singled out for tariffs.

This, along with another strange fact: real countries, not deserted islands, that are known export loopholes, such as Belarus, were excluded from the tariffs.

Plus more tellingly, President Chamberlain's Trump's new peace-loving BFF, A. Hitler V. Putin's country escaped tariffs. Why, exactly?

I understand that right-aligned media are trying to find any justification for the mishap with taxing the penguins. But the claim that this is about preventing potential loopholes is utterly rubbish.

Such efforts only concentrate attention on the intelligent idiots and on the idiotic policy.

I thought I had better not make the comment I had in mind, as it may have been the last straw that got the thread shut down!

[EEVblog]

I wonder if there has been any panic buying at the US stock distributors like Digikey and Mouser? Are the shelves empty?

[tggzzz]

but to protect your own industry.

would that be the same industrys  that shifted there manufacturing  over seas to exploit cheaper labour to  maximize the profits

And even if the manufacturing industries return to the US, jobs won't. The factories will be highly automated.

That's going to be yet another source of "I voted for them and they lied to me" resentment. Before that it will be "I voted for them and they've made the prices so much more expensive".

[MK14]

I wonder if there has been any panic buying at the US stock distributors like Digi-key and Mouser? Are the shelves empty?

I was worried, that if I bought from Digi-key, via the UK, the prices would be shooting up, making it problematic to buy from there, in the (current climate) future.

But it seems, their prices are to remain the same, as before, **BUT** ...

https://www.digikey.com/en/resources/tariff-resources

(If a somewhat quick read of most of the document, is correct)

Means that United States (shipping address) buyers, will get additional tariff charges, added to the order.

So, in other countries, we should still be able to buy stuff, without (any extra, compared to before) tariffs.

Edit: Typo

[vk6zgo]

Vietnam has reacted to the tariff announcement by proposing a reduction of their tariffs on US goods to zero.
Will that stop the trade deficit?
Will the export of Buicks to Vietnam surge?

   So I've heard. And so have several other countries including Israel. I think that they will just be the first of many.

"Will that stop the trade deficit?"

    It will stop a good part of it! In case you missed the math, the US has been paying an additional 90% for everything that they sold in Vietnam. And the story is much the same in other countries.  How many stores would you continue to do business with it they charged you an additional 90% above the purchase price?  Yes, I realize that in this case the US is selling and not buying but it's still an out of pocket cost in either case.

Will the export of Buicks to Vietnam surge?

   Buicks probably not but Ford trucks, definitely yes! I've lived and worked in some of the Asian countries and you would be surprised at how many American automobiles that you see there.  And BTW, Buicks and Ford trucks aren't the only thing that America makes and sells abroad.  Just to name a couple of categories, MOST of the large industrial equipment and most of the scientific grade TE in countries like VN all comes from the US. US made farm tractors are also used world wide.

Maybe the Vietnam Govt wanted to "Make Vietnam Great Again" & were not singling out the USA, but charging tariffs of a similar level on imports from other countries?
That is not uncommon in countries who are trying to industrialise.

[EEVblog]

I wonder if there has been any panic buying at the US stock distributors like Digikey and Mouser? Are the shelves empty?

I was worried, that if I bought from Digikey, from the UK, the prices would be shooting up, making it problematic to buy from their, in the (current climate) future.
But it seems, their prices are to remain the same, as before, **BUT** ...
https://www.digikey.com/en/resources/tariff-resources
(If a somewhat quick read of most of the document, is correct)
Means that United States (shipping address) buyers, will get additional tariff charges, added to the order.
So, in other countries, we should still be able to buy stiff, without (any extra, compared to before) tariffs.

I wonder if companies with offices in other countries can get around this buy having stuff shipped to the other country, and then somehow doing an "internal shipment" between departments in the US?
Seems too obvious a workaround?

[tautech]

but to protect your own industry.

would that be the same industrys  that shifted there manufacturing  over seas to exploit cheaper labour to  maximize the profits

And even if the manufacturing industries return to the US, jobs won't. The factories will be highly automated.

That's going to be yet another source of "I voted for them and they lied to me" resentment. Before that it will be "I voted for them and they've made the prices so much more expensive".

Ever wondered why ?
To reduce local spending on imported goods and little else.

It's about the only real tool to reduce imports and improve the US balance of payments....that and increasing interest rates to grab any spare cash in the economy.

Shouting Let's make the USA great again over and over can only get you so far.

[incf]

What is the current current tariff rate on electronic component from china? And what will it be in a few days? I don't think its 104% (or whatever the current number is) since electronic components are taxed differently.

Sidenote: I'm having trouble locating components on Digikey that are "obviously" Chinese in origin and not from Thailand or some other Asian country.

[MK14]

What is the current current tariff rate on electronic component from china? I don't think its 104% (or whatever the current number is) since electronic components are taxed differently.

Sidenote: I'm having trouble locating components on Digikey that are "obviously" Chinese in origin and not from Thailand or some other Asian country.

If I understand things correctly, please see my previous post.  The prices, stay the same, until you (start to) buy the items and tell them the shipping address.  Then if it is in the US, (after applicable dates, activating the tariffs).  You get an additional item added to your order, which is the tariffs bill.  Which I presume, is shown before you hit the complete/finish purchase button.

Edit: Corrected/improved

[BrianHG]

I wonder if there has been any panic buying at the US stock distributors like Digikey and Mouser? Are the shelves empty?

I was worried, that if I bought from Digikey, from the UK, the prices would be shooting up, making it problematic to buy from their, in the (current climate) future.
But it seems, their prices are to remain the same, as before, **BUT** ...
https://www.digikey.com/en/resources/tariff-resources
(If a somewhat quick read of most of the document, is correct)
Means that United States (shipping address) buyers, will get additional tariff charges, added to the order.
So, in other countries, we should still be able to buy stiff, without (any extra, compared to before) tariffs.

I wonder if companies with offices in other countries can get around this buy having stuff shipped to the other country, and then somehow doing an "internal shipment" between departments in the US?
Seems too obvious a workaround?

No.  It is the same thing with auto parts going between the border multiple times before a final car is assembled here in Canada & USA.  The old trade before the tariffs kick in allow this.  Now, if GM piston plant in Canada and engine assembly plant in the US and car assembly back in Canada, as these components go back and forth, they are now taxed again and again at every border crossing.

[vk6zgo]

but to protect your own industry.

would that be the same industrys  that shifted there manufacturing  over seas to exploit cheaper labour to  maximize the profits

And even if the manufacturing industries return to the US, jobs won't. The factories will be highly automated.

That's going to be yet another source of "I voted for them and they lied to me" resentment. Before that it will be "I voted for them and they've made the prices so much more expensive".

Also, they won't be in the old factory towns in rust belt States, but in Texas, or (shudder) California, with better access to shipping.

[Dundarave]

I wonder if companies with offices in other countries can get around this buy having stuff shipped to the other country, and then somehow doing an "internal shipment" between departments in the US?
Seems too obvious a workaround?

I believe that this is known as “smuggling”, and is actively discouraged by border authorities everywhere.

[EEVblog]

I wonder if companies with offices in other countries can get around this buy having stuff shipped to the other country, and then somehow doing an "internal shipment" between departments in the US?
Seems too obvious a workaround?

I believe that this is known as “smuggling”, and is actively discouraged by border authorities everywhere.

Countless companies do internal stock, part, and sub assembly shuffling from country to country all the time, normal course of business.
e.g. a US silicon fab might pass the wafers back and forth between several countries for various processes before the chip finally gets packaged and sold.
There might be room for some creative accounting there perhaps. I'd be shocked if companies aren't evaluating these options right now.

[u666sa]

industry.

What's going on. I have a unique view, I was in Russia recently, then I immigrated (not related to anything) to United sates.

Basically, at first I thought like Trump. Everything is fine. People going to comply. But now some time went, I think Trump miscalculated. You see, Trump is a smart guy, but he is American. Trump thinks like American. But the rest of the world thinks differently.

Frankly the rest of the world gravitates toward Russia and BRICS.

These tariffs are a reason to dump U.S. dollar and move away from one country domination of the world toward Russian model of multi-polar world.

Just my .02 cents man.

[u666sa]

People think differently, just consider your customers. 

[MrMobodies]

https://www.bbc.co.uk/news/live/cp8vyy35g3mt

Trump praises 'explosive' tariffs, hours before imposing 104% rate on China.

He seems to keep on raising it like he can't make up his mind.

[tautech]

The US has lost a lot of mind-share the world over.

Nope, corporate greed gave it away !

Citizens will pay the price 2 fold, then when they lost their jobs to offshore production and now when their cost of living is about to skyrocket.

[themadhippy]

The cost of living in the US has already skyrocketed during the 2019 "pandemic" and has never gone back down.

Dont think thats just an american phenomenon, its the same in the uk

[incf]

Citizens will pay the price 2 fold, then when they lost their jobs to offshore production and now when their cost of living is about to skyrocket.

The cost of living in the US has already skyrocketed during the 2019 "pandemic" and has never gone back down. The price of 2lbs of butter was 18 USD at Costco (a "wholesaler") when I went last. The only things that are likely to see further increases in price are electronics. Food and most other sundries have already reached the demand curve limit.

The cost of living in the US has already skyrocketed during the 2019 "pandemic" and has never gone back down.

Dont think thats just an american phenomenon, its the same in the uk

2lb of low quality butter is less than $7.75 in my region of the US
(and 4lbs of low quality butter is less than $14.00 too)

May I ask "where" an "what" ? $18 for 2lbs seems like a lot.

I wonder how tariffs affect imported dairy. I'd bet cheeses are going to get hit hard.

[MT]

https://www.reuters.com/technology/micron-impose-tariff-related-surcharge-some-products-april-9-sources-say-2025-04-08/

U.S. memory chipmaker Micron Technology (MU.O), opens new tab has told U.S. customers it plans to impose a surcharge on some products from Wednesday to account for U.S. President Donald Trump's new tariffs, four sources familiar with the matter said.
An executive at an Asian NAND module manufacturer said they were taking a similar approach to Micron to tell U.S. customers they had to figure out the tariffs themselves.
"If they don't want to bear the taxes, we cannot ship the products. We cannot be held accountable for the decisions made by your government," the person said, declining to be named as they were not permitted to speak to the media.
"With this kind of tax rate, no company can generously say, 'I'll take on the burden'."