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To: dangus

I should clarify this:

When I wrote, “so, from the start, tariffs offer $2.50 to $5 of revenue for every $1 incurred by Americans,” I was referring to consumers, based on the expected rise in prices. In case I muddled the context, I was describing the situation if 100% of the cost was passed on by the importers, meaning that a 20% tariff would not mean a 20% price hike, but only an 8% price hike.

I should also note that this is based on averages and would not be evenly distributed. Direct-to-consumer sites like Temu would probably charge nearly the full cost of the tariff. (And if fact, because of loophole closures, they probably would even exceed the 20% increase.) Other retailers might see only a 4% hike.


4 posted on 12/18/2025 6:51:54 AM PST by dangus
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To: dangus

It turns out the exporters have calculated that maintaining access to the US market is worth the cost. I believe I read that only 5% is passed on to the consumer.


28 posted on 12/18/2025 6:22:11 PM PST by Mr. Blond
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