G.M. Says New Wave of Trump Tariffs Could Force U.S. Job Cuts

Dangit, your so quick and witty, it caught me off guard. Do you realize General Motors has paid back 100% of the taxpayer funded bail out, and is now healthy as a horse?

The problem is that only raw materials are being levied with tariffs, so it makes better business sense under Trump’s current plan to build vehicles in Mexico and then ship them to the US.

SFC (Join to see) - I understand that you might not like equalizing tariffs. That doesn't mean I agree with you, but I understand.

If you don't think matching tariffs is the answer, then please give me a different option.
Think about this logically though. If import tariffs cause a company to move even more of it's operations overseas, is it actually the import tariff?
The part being made overseas will cost more to import, so they are going to shift manufacturing overseas so the parts will cost even more...........Let it sink in.
Now ask yourself, could it possibly be the labor costs that are so high in the US and so off balance low in other countries that even with tariffs it offsets the cost of manufacturing that part?

It is my opinion that final and nearly final product tariffs would be a more effective solution then raw materials, although I potentially could see the validity in a combination of the two.

Why are we worried about tariffs being equal? As you pointed out, there is a ridiculous disparity in labor costs to the company between the US and Mexico or China. That is why you can’t hardly find a pair of American Made jeans or an American Made television set.

We can’t control the wages in another country, that is for their legislative body and people to work out. What we can do is defend our own manufacturing market from the greed of corporate overlords who are always looking for a way to save 10%, 20%, or even more on labor costs.