Quote:
Originally Posted by B1str0
all the tariff is is a tax to china to import their tires here... to PROTECT the american tire industry lol... so far it doesnt mean anything for us right now because china hasnt retaliated...yet...
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Uhm, well, if it is definitely going to happen then lets say, tires are 50 cents more a piece for the costs to import them here. As a result, perhaps the manufacturers raise their price, and then the distributors and wholesalers raise their price, and then the stores raise their price. Then suddenly tires are $5 or $10 more per piece.
Lets say that's just on Chinese tires... then what happens next? Stores, distributors, and manufacturers of American and other non-Chinese tires suddenly say "oh, look, we can raise our prices on tires..."
Even before tariffs, taxes, or rules are actually imposed, sometimes people take preemptive actions and change their prices, and markets fluctuate just based on the news.
China doesn't have to retaliate, market economics will do it.
I personally in no way directly benefit from the protection of the American tire industry. If tire prices go up as a result of increased government imposed costs, then my out of pocket expenses go up, and I am directly affected.
That means something to me.
"So far" is right, because I don't believe it's gone into effect yet. However, if it's definitely happening, then it most likely will have an impact of some type.