Tariffs, inflation and winners/losers

catch22

1. MLive is an electronic online news source in Michigan posted this today.

http://www.mlive.com/news/saginaw/index.ssf/2018/01/hemlock_semiconductor_welcomes_1.html

2. So, a tariff on solar and related. The talk of the town is now to move to tariffs on steel and aluminum imports.
But, wait there's more; tariffs on washing machines, now.
Add that Mr. Mnuchin, a.k.a., I like to produce movies, insists that a cheap $ is good for all things U.S.
Well, yes; some U.S. companies may be able to sell more products overseas.
But, we must also remember the "new" cost of imports to the U.S.
Damn, now we're starting to talk about a real improvement in inflation, eh?
Lastly, we Michiganders hope China does not impose tariffs on agriculture products; and damage agricultural exports that would more than offset any benefit to a tiny solar vendor in Michigan.
I'm thinking an all and all trade war to find the strongest left staying in the global economy. Sounds good, eh?
Have a pleasant remainder.
Catch

Ted

@catch22: All the U.S. is asking is for a level playing field !

Trade Balance With China:
https://www.census.gov/foreign-trade/balance/c5700.html
Regards,
Ted

davidrmoran

https://www.cnbc.com/2018/01/25/al-gore-defends-trump-says-hes-not-to-blame-for-tariffs-on-solar-panels.html

AndyJ

A view of the industry as a whole and the effects of the tariffs here. Note they're certain to be appealed to the WTO, and that China is not the only Asian country involved. The actual manufacture of "Chinese" panels is spread around several different Asian countries now.

Also, leading U.S. innovator and supplier Sunpower will get hit by the action. SP, whose CEO was interviewed by several media sources yesterday (including NBR), is apparently the "one such company" mentioned in the linked article.