will mexican companies absorb the 20% tariff trump puts on their goods?

Jimdamick

Well-Known Member
So since the Mexican product is too expensive, I think I'll buy the American made product for cheaper. Thinking so will everyone else. And who's gonna out source work to Mexico when they will inevitably be hit with a 20% tax that they will have to absorb or attempt to sucker the consumer into paying.

Derp derp derp
American made products that are cheaper than products made in Mexico? (sounds inviting)
Name a few please.
 

Unclebaldrick

Well-Known Member
per capita avocado consumption is at 7 pounds. that's 7 pounds of avocado per year for every person in the united states, on average. or 1,155,000 tons of avocados consumed annually in the united states.

we grow 200,000 tons of avocados ourselves. if we ate them all and exported none of them, we'd still need to import 955,000 tons of avocados.

our 200,000 tons of avocados are worth $350 million, so 955,000 tons of avocados would be worth about $1.75 billion. 20% of that is $350 million.

so just in terms of avocados alone, american consumers just got stuck with a tab of $350 million dollars.

thanks, donald.
That wall is almost paid for... by Taco Bell.
 

Fogdog

Well-Known Member
So since the Mexican product is too expensive, I think I'll buy the American made product for cheaper. Thinking so will everyone else. And who's gonna out source work to Mexico when they will inevitably be hit with a 20% tax that they will have to absorb or attempt to sucker the consumer into paying.

Derp derp derp
Yeah, this makes sense. :???:

So, since the Mexican product is taxed to produce an -- what? 20% -- higher price then companies are going to invest in new factories and staff in the US to produce something they are already making in Mexico, after investing in new factories and staff. Ummm, no. We'll just pay the tariff. Meanwhile, Mexico will start dealing with China.

Not saying it's all going to go that way. Some industries will relocate here and make a larger population of people seeking to sneak across our border.

The only long term solution to illegal immigration from Mexico is to work with Mexico to improve it's economy. Trump's wall is forecast to cost up to 50 billion in wasted dollars. Maybe we can put that money to better use. Also end the war on drugs, which is dragging Mexico down by funding criminal organizations there.
 

Milliardo Peacecraft

Well-Known Member
You guys are absurd, the Mexican peso is tanking right now. This keeps up, prices won't move much. If the dollar is 20% stronger than the peso, we're paying the same price on our end. NAFTA was horrible for Mexico, that's why a ton of their agricultural workers migrated here. Our subsidized agro products flooding their market out-competed their own domestic production.

And here's a real basic one for you: prices go up elsewhere, the US can now compete for it's own market share, more people are employed in the US, and we can export any surplus. You know what happens when oil prices go up, don't you? If it goes up from $40 to $50, we open up all the wells that are only economically viable if oil is at $50. There has to be change for growth, higher prices aren't necessarily bad or permanent.
 

757growin

Well-Known Member
per capita avocado consumption is at 7 pounds. that's 7 pounds of avocado per year for every person in the united states, on average. or 1,155,000 tons of avocados consumed annually in the united states.

we grow 200,000 tons of avocados ourselves. if we ate them all and exported none of them, we'd still need to import 955,000 tons of avocados.

our 200,000 tons of avocados are worth $350 million, so 955,000 tons of avocados would be worth about $1.75 billion. 20% of that is $350 million.

so just in terms of avocados alone, american consumers just got stuck with a tab of $350 million dollars.

thanks, donald.
Sounds like my 3 avocado trees are worth more then gold! Thanks trump!
 

UncleBuck

Well-Known Member
You guys are absurd, the Mexican peso is tanking right now. This keeps up, prices won't move much. If the dollar is 20% stronger than the peso, we're paying the same price on our end. NAFTA was horrible for Mexico, that's why a ton of their agricultural workers migrated here. Our subsidized agro products flooding their market out-competed their own domestic production.

And here's a real basic one for you: prices go up elsewhere, the US can now compete for it's own market share, more people are employed in the US, and we can export any surplus. You know what happens when oil prices go up, don't you? If it goes up from $40 to $50, we open up all the wells that are only economically viable if oil is at $50. There has to be change for growth, higher prices aren't necessarily bad or permanent.
nice meltdown.

get ready to pay 20% more for basically all of your produce.
 

Jimdamick

Well-Known Member
Yeah, this makes sense. :???:

So, since the Mexican product is taxed to produce an -- what? 20% -- higher price then companies are going to invest in new factories and staff in the US to produce something they are already making in Mexico, after investing in new factories and staff. Ummm, no. We'll just pay the tariff. Meanwhile, Mexico will start dealing with China.

Not saying it's all going to go that way. Some industries will relocate here and make a larger population of people seeking to sneak across our border.

The only long term solution to illegal immigration from Mexico is to work with Mexico to improve it's economy. Trump's wall is forecast to cost up to 50 billion in wasted dollars. Maybe we can put that money to better use. Also end the war on drugs, which is dragging Mexico down by funding criminal organizations there.
You want to stop cartels?
Simply legalize all drugs. If you want to get high, that's your choice., not the government's.
My body, my choice..
 

Unclebaldrick

Well-Known Member
You guys are absurd, the Mexican peso is tanking right now. This keeps up, prices won't move much. If the dollar is 20% stronger than the peso, we're paying the same price on our end. NAFTA was horrible for Mexico, that's why a ton of their agricultural workers migrated here. Our subsidized agro products flooding their market out-competed their own domestic production.

And here's a real basic one for you: prices go up elsewhere, the US can now compete for it's own market share, more people are employed in the US, and we can export any surplus. You know what happens when oil prices go up, don't you? If it goes up from $40 to $50, we open up all the wells that are only economically viable if oil is at $50. There has to be change for growth, higher prices aren't necessarily bad or permanent.
Except there's much more to it than that. Maybe you want to read "The Wealth of Nations" and Ricardo's work on international trade. The economics of the thing means that we lose as a country even if some industries win. The efficiencies offered by international trade outweigh all your protectionist bullshit, infant.
 
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