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PaperclipPerfector  3mo ago (text post)   37381 thread views

Culture War Roundup for the week of January 27, 2025

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AP reporting this hour, 10% duties on all imports from China, 25% from Mexico and Canada, with 10% on Canadian energy imports

Trump’s order also includes a mechanism to escalate the rates if the countries retaliate against the U.S., as they are possibly prepared to do.

Targeted goods:

For decades, auto companies have built supply chains that cross the borders of the United States, Mexico and Canada. More than one in five of the cars and light trucks sold in the United States were built in Canada or Mexico, according to S&P Global Mobility. In 2023, the United States imported $69 billion worth of cars and light trucks from Mexico – more than any other country -- and $37 billion from Canada. Another $78 billion in auto parts came from Mexico and $20 billion from Canada. The engines in Ford F-series pickups and the iconic Mustang sports coupe, for instance, come from Canada.

“You have engines and car seats and other things that cross the border multiple times before going into a finished vehicle,’’ said Cato’s Lincicome. “You have American parts going to Mexico to be put into vehicles that are then shipped back to the United States.

“You throw 25% tariffs into all that, and it’s just a grenade.’’

In a report Tuesday, S&P Global Mobility reckoned that “importers are likely to pass most, if not all, of this (cost) increase to consumers.’’ TD Economics notes that average U.S. car prices could rise by around $3,000 – this at a time when the average new car already goes for $50,000 and the average used car for $26,000, according to Kelley Blue Book.

Over the last several years I've come to believe economics is a more fraudulent field of study than social science. As I'm not an economist, I asked GPT for what economics has contributed to mankind and the best I saw in its list was game theory. Meanwhile car manufacturers are shipping car seats "multiple times" across the border before they're actually put in a vehicle. It all feels so incredibly fake.

Trump’s order also includes a mechanism to escalate the rates if the countries retaliate against the U.S

I hope they do retaliate. This nakedly extortive behavior is supremely off-putting, especially when coupled with Trumps victimhood narrative. "Woe is me, empire expansive, everyone abuses us" is turning me into a Chyna simp.

I'm heavily biased, but I believe this direction is not unique. Back when the Russian invasion on Ukraine was fresh, the 'China or US dominance?' question got me baffled looks across the board from a diverse group of friends/acquaintances (context: Poland). Very different attitudes today, with how Ukraine was treated, with Trump blatantly attempting to cannibalize ally industries, with Chynese hedgies bearing great gifts.

nakedly extortive behavior

According to what standard?

The standard would be, extortion is when you abuse your power to benefit at the others expense. I do understand you can frame almost anything as merely hardball negotiations.

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