“Foreign exporters did not meaningfully reduce their prices in response to US tariff increases,” a report released Monday by the Kiel Institute for the World Economy said. “The $200 billion surge in customs revenue represents $200 billion extracted from American businesses and households.” “The tariff functions not as a tax on foreign producers, but as a consumption tax on Americans,” Kiel researchers Julian Hinz, Aaron Lohmann, Hendrik Mahlkow and Anna Vorwig wrote.
My employer just raised the price of everything thing it sales by 1.5% regardless of it was affected by tariffs or not, I mean everything. They basically said “f it spread it out to everyone” and moved on.
They aren’t going to move a multi billion dollar factory for a temporary president on his second term. They plan to sit and wait.
Sit and wait for what? The company isn’t paying the tariff and they aren’t going to lower prices when it’s gone. Company just increased revenue by 1.5% on all other goods.
…wait out the president before making any long term decisions…
Wait for the tariffs to stop eating into the profit margins.
Most likely they will turn the 1.5% into cost so that corporate can still reap the extra revenue without giving the division any revenue credit. So not just screwing the customer but also their own internal business and employees that get bonuses from sales.