Posted on 02/28/2017 9:41:52 AM PST by EveningStar
Shopping for a new set of wheels at a Chevy dealership recently, Patrick Spradlin had a few priorities: a good commuter car, room for his family of five, low maintenance costs and no more than $20,000.
About the last thing on his mind was where such a vehicle and each of its components — whether engine, car seats or spark plugs — were made. “That’s not a make-or-break issue,” said the 38-year-old systems engineer from Whaleyville, Md.
But such details about the origin of car parts and hundreds of other products may soon take on greater importance under the Trump administration, potentially translating into significant costs for consumers like Spradlin.
The issue, known in trade jargon as rules of origin, figures to be a major bone of contention as President Trump undertakes his promise to radically overhaul the North American Free Trade Agreement.
The 23-year-old pact is mind-numbingly complicated in its details. But what it boils down to is a system that allows the U.S., Canada and Mexico to trade hundreds of billions of dollars of goods with each other without having to pay duties.
On motor vehicles, there is a provision allowing duty-free imports and exports so long as at least 62.5% of the value of a vehicle originates in one or more of the three nations. Trump’s trade team is looking to raise that percentage significantly, on the theory that it will boost domestic production and jobs by preventing manufacturers from bringing in more components from Asia and other countries outside North America.
(Excerpt) Read more at latimes.com ...
So, he doesn’t give a damn if his buying a car will give his kids and his neighbors jobs? Rather save 10 cents and give the jobs to Mexicans and Chinese, eh?
Today’s factories are incredibly data-robust.
The argument that it’s just too difficult to track where parts come from is just plain bull.
At least for the large corporations, intensive tracking of parts is already done- that’s how they decide where to buy them!
Asian production that moves to Mexico is an obvious benefit to US.
This is article is just silly.
Trump’s push for American-made could disrupt NAFTA supply chains, hike consumer prices!
The word “Could” makes this junk news!
The LA Raza Slimes is the illegal voice of LaRaza LA!
I wouldnt mind working on a farm since I was born and raised in the country. Most produce nowdays are harvested by machines.
Back in my younger day, they would hire youngsters from the local schools to pick apples, for example, and that gave the us a work ethic.
I went out and hand peeled Popple pulpwood. 7 cents a stick and I remember peeling 300 sticks a day in season. Later, when the wood dried out, we all went back and cut it up and piled it for 6 cents a stick.
That all came to an end when that SOB Stiger from WIS started his little stint on preventing anyone younger than a certain age from doing such work because of safety reasons.
One war at a time. First we need to bring the production home then we will worry about automation, at a later date and time.
I don’t care.
The last four vehicles I’ve bought were built in the United States with a majority of domestic sourced components. Two Toyotas, one Subaru and a GMC Acadia. It matters to many of us, don’t fool yourselves. No consumer asked them to source in Mexico, and no consumer is going to cry about it if they don’t. There was no price reduction when they did it, and if they want to remain competitive there will be no price increase when it comes back.
Fair Trade will cost me a few bucks more? I’m OK with that. Consider it like buying an (economic) War Bond.
I’ve always wondered how cooperative the Mexicans would be in converting their sweat shop factories into armament plants for the gringos in the event of a war between the USA and Asian powers. My guess they won’t help and try to maintain neutrality.
Let the market work. Look at the stock market now.
We’ve had 8 years of command economy. It’s easy to prop up abysmal failure when you double the US national debt.
Obama’s real legacy: http://www.usdebtclock.org/
Great post!
Isn’t it interesting how all these left wing newspapers all of the sudden worry about cost to consumer for something President Trump wants to do. Where were they when Obamacare was coming on board and it was pretty well known that costs would go up and not down. That’s right, they ignored that and were cheerleaders for Obamacare.
For most of that time we did not have a constitutionally authorized income tax. Returning to a tariff system without removing the income tax from the Constitution would be an economic nightmare.
Suddenly Don Lee and the LA SLIMES and the rest of the FAKE NEWS pretends to care about the consumer.
Oh too bad
That all came to an end when that SOB Stiger from WIS started his little stint on preventing anyone younger than a certain age from doing such work because of safety reasons.
All that for less than $20,000? Never owned a car, but is that possible?
“I’m sure the end of slavery with the American Civil War hiked the consumer price for cotton. So what?”
The civil war actually killed King Cotton.
The Union blockade was so effective that bales of cotton were rotting on the docks at southern ports.
The European countries simply started buying from India and Egypt.
Cotton didn’t start coming back until well after the civil war.
Just in time for the Boll Weevil infestation.
BTW, cotton is still cleaned by hand in India for low pay in sweat shop conditions.
Save an Indian, demand American clothing made with American cotton.
Maybe not.
Depending on the mode of transportation, it could cost more to ship something over a distance of 100 miles within the U.S. than over a distance of thousands of miles from Asia.
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