http://finance.yahoo.com/news/Stock...8.html?x=0&sec=topStories&pos=2&asset=&ccode= This is interesting when you delve into the underlying issues........ We cannot compete so we impose a tariff from a governmental level. NO ONE generally has a prayer or even files anti dumping duties until market share reaches 10% from foreign competition...the government imposes it (tariffs rather than AD duties) at somewhere around 4%....hmmmmmm. The article states "Chinese tires" but neglects to mention that the tires are manufactured in China by those foreign Companies such as Goodyear....... Michelin, Yokohama and in particular the aircraft, forklift and tractor tire makers....... are non Chinese companies taking advantage of low cost production in China, and it helps US companies profitability and is not going to result in jobs here or any plant openings in the USA..........and geeeezzz we are talking about 4% of an industry that represents maybe .000001% of the Chinese GDP.....not sure this is the right fight to pick here guys....... I am not sure what to make of this other than question why piss on China when they are propping up our economy, their economy is well on the way to recovery and they have the money to help us with our struggling recovery? This just begs more questions and really leaves me perplexed as to why the USG would invoke tariffs when IMHO the WTO is going to see this is a protectionism......overall I do not have any opinions as yet, just questions and the feeling this is just weird and why would we attempt this right now......over 4%
I think it is a good first step, the problem with the Bush Era trade policies was they rarely called China on their tactics and created a one way Laissez Faire relationship, whatever foreign competitors did was fine, the US would do nothing anyway no matter the jobs it cost American Workers.
well keep in mind the american companies that are having the tires produced in china (if that even is true, i have no idea & am taking your word for it) are only sending money to china for the labor, which is the cheapest part the US-based companies (most of those you named are foreign) will still make the money & put it back into the local economy. I agree it is an interruption of the normal free market economy, but i think given the interesting climate of different valuations of money & labor opportunities around the world, you have to take steps like this or else every country's production would all leave their respective countries & head to India & China.... which means no jobs for us. Import tariffs make our products look more attractive and thus garner more sales for local companies. Whether those products are made overseas or not is immaterial - those companies employ people here. Which means the money goes back into the economy..... in theory. it's a necessary evil.
