Over 130 countries have so called border taxes, many in the form of VATs. The EU and Japan protect their farmers thru tariffs.
At Davos, I watched an international panel, including Wilbur Ross, discuss possible tariffs and protectionist measures by the US. After listening to these globalists expound on the dangers of protectionism and wrongheaded policies of the US, Ross calmly responded with a devastating comment that left the panel speechless. It was a mic drop moment.
Ross asked the panel, "What country is less protectionist than the United States?" No response. Why? The US is the least protectionist country in the world. It is why we run trade deficits with almost every other country. Other countries place all kinds of taxes and tariffs on imports while the US does very little. There is no reciprocity.
Ross asked the panel, “What country is less protectionist than the United States?” No response. Why? The US is the least protectionist country in the world. It is why we run trade deficits with almost every other country. Other countries place all kinds of taxes and tariffs on imports while the US does very little. There is no reciprocity.
The truth hurts......
Exactly great post! fairness in trade long overdue. I’m glad Trump is insisting on it. It will come easily with some countries a lot tougher with others.
Chicoms will be the toughest.
If trump is willing to go long term with the chicoms our demand is so high we can chum up other players like India for much of what they make in china. Maybe get even better quality. Big risk for the chicoms. Problem,its like selling to walmart for years and losing them over night it takes a bunch of targets to replace them if ever.
You have to be long term with this stuff or chicoms won’t take us seriously.