From this article
But in the case of the hefty tariffs that Trump put on China during his first term, economic studies found that most of those costs were passed on to American consumers.
Economists believe this could happen again. One study by the Peterson Institute for International Economics, for example, calculated that Trump’s current tariff plans would increase costs for a typical American household by $2,600 a year.
Paying more for everything to own the libs! 🤡
Cant buy vidya console, got more money for eggs?
5D chess here people!
How someone can expect anything else to happen is beyond me.
These tariffs create American jobs and long term boosts American skills and manufacturing abilities.
It’s just a stupid way of doing it. Companies should be getting other incentives to bring manufacturing home. The middle and lower class shouldn’t burn for that to happen.
I’m not sure it’s a safe bet. Only if the tariffs last longer than 4 years. Building new factories takes a couple years, then you need to break even all within 4 years? Just seems risky to me
Except they don’t. They just move them to other countries like Vietnam.
Unlikely. In the age of globalism, it’s much more likely that manufacturing will leave the US to dodge counter-tariffs. The combined markets of Europe and Asia is for most products larger than the US market, and that trend is only likely to increase in the future as Asia develops. Manufacturers know making stuff in Asia is just cheaper, and that American consumers are more likely to go into debt to buy stuff than other consumers. They also know that these tariffs are unlikely to last for long, because if the US takes the expected economic hit here then it becomes less likely that Trump/the GOP remains in control (eg midterms flip control back to the democrats).
Not much reason to move factories to the US, which is wildly expensive, when taking the hit and waiting it out is ultimately most likely cheaper.
A detailed and well reasoned response. Thanks!
That’s not the main point where you can assist that. Patent law would be the main point.
Good work Gamers. Your hardware will be more expensive, but at least Biden won’t be suggesting a non-enforceable DEI directive at the HR of those game studios.
Your console, my price?
One category of people I literally care not for are gamers and their discretional spending.
Bruh, I voted for Kamala Harris
meh. I play games, but wont call myself a Gamer. There’s like a whole separate culture of people who are obsessed with gaming culture, but don’t actually play games or when they do, only ones from AAA studios.
I only wouldn’t say I’m a gamer because “gamer” is no longer someone who is passionate about games; it’s the equivalent of the Discord mod stereotype, but without even the small modicum of power.
So? U want a medal?
One category of people i literally care not for are assholes who judge other peoples hobbies like they’re the end all be all of how people should act.
GAMERS RISE UP
And laptops, and phones, and literally every other electronic thing you might want to buy
Almost everything powered by electricity will have some chinese made components.
People that can still afford stuff will be so cool. The hippest tech, biggest cars and newest kicks, everything will be uber exclusive. This is good for america because reasons.
Especially because every grift that trump has made, his shoes and the like, were all made internationally. Wonder who will pay for those tarrifs when he does the same?
Thing is all that crap can be stitched together by 12 year olds in Alabama instead of 12 year olds in China.
I don’t think he can really comprehend a chip fabrication plant costing 10 times his entire net worth. He probably thinks that what they make in “Silicon Valley”…
That’s true. For us to compete we just need the same in the US! We just need uhhhh
Just drag Taiwan into US waters. It’s easy bro.
Sounds like the plot of a Michael Bay movie, I’m sold
I recently saw gamers nexus’ Intel tour. It was like seeing a sci-fi movie, it’s incredible how advanced the stuff they do is. I also found it incredible how much it takes to build a chip… It takes about 2-3 months from wafer to chip.
It takes about 2-3 months from wafer to chip.
After spending 3-4 years building the factory and even more time finding and training staff.
But, sure, tarriff the hell out of things that can’t be made domestically for (optomistacally) half a decade. That’ll certainly make it happen instantly…
/fucking morons.
I’m sorry, but you people talk about making state-of-the-art chips, while in many cases something like year 1990 will do. It’d be a very ambitious endeavor too, but both realistic and useful.
What they are doing will reduce economic competitiveness of the whole USA, but in terms of incentivizing domestic industries it will work. No miracles, but it will give incentives to what can be done quickly enough. And if we consider that electronics already are cheaper in US than in EU or in Eastern Europe, this won’t be too bad.
I’m not a Trump fan. Just - what these people want to do is not without rational justification in economics. It’s a weird justification, of the kind USSR’s strategy of existence had, but then the reasons USSR failed were not in that part about self-reliance in strategic industries. One can argue it collapsed because it didn’t really achieve that due to administrative inefficiency, as in “went bankrupt”. It was exporting fossil fuels to finance the appearance of domestic heavy industries, which were not profitable. At some point that wasn’t enough money.
people talk about making state-of-the-art chips, while in many cases something like year 1990 will do
It still takes time to spin up a chip fab, even one with 30 year old capabilities.
And, since nobody domestically makes the machinery needed, that too will be subject to the import tarrifs and probable delays caused by the ensuring trade war restrictions.
It won’t be paid from his net worth or from even the government’s budget.
It will, if it happens, be expected to redeem costs based on the demand of the whole USA, which is, ahem, an obscene amount of money.
Anyway, you don’t have to start with something like TSMC. Producing MCs for home appliances is already very cool.
He’s fixing the economy, duh!!!
This will boost the American job market and increase manufacturing ability.
Yes, I cannot wait for America to start making Sony and Nintendo consoles. Well done Mr. Trump!!!
This is good. Same way forest fires can be good.
But those people thinking they’ll be the elite don’t quite realize how exactly.
This is good for america because reasons.
People with lifted pickup trucks can now go into even more debt, so they can flex on the “poors” (while complaining about their “economic anxiety”).
I think car industry regulations (ratio of gas per weight or something) are one of the incentives for production of such trucks. So again - this may eventually get better if “deregulation” stops being a curse. Not with Trump, of course.
Not to worry. If gas is a little cheaper while they fill up their tanks at the pump, they’ll be happy to pay [insert car financing company here] exorbitant amounts of money and think they’re winning
If that is truly their plan, they are dumber than we fucking figured.
If a billionaire wants to buy a swimming pool, he needs a considerable amount of other people to be able to afford swimming pools or it it becomes impossible for him to get one at all eventually.
To have a swimming pool, there needs to be an industry of specialized labororers who can manufacture and install. There has to be electricians who specialize in mixing water and electricity. There has to be people working the factories where the chlorine gets manufactured and bottled.
This is true for every product that billionaires consume. You really gotta think that these people with all this wealth would have people on the payroll pointing this out to them.
Party officials in USSR kinda managed to keep such an industry for their nice things. It’s not as complex as computers.
That is more of a millionaire problem. A billionaire can afford to fly the specialists and the materials in from Europe.
Leopards will be the same price, though.
Faces will be cheap though, there are plenty of those to go around for the next few years
Faces will be cheap though
Dr Victor Frankenstein will be thrilled!
And Dr. Lecter.
Supply and demand. It’s the economy, stupid.
And now do some basic Google Foo and find out what is manufactured in Taiwan. If China gets it’s way, because Trump thinks Xi is cool and he’s a good guy, China will just waltz in - TSMC, ASML and Trumpf have some safeguards in place as far as I know to destroy anything valuable. So while you might want to buy shit, you can’t because the Cheeto and his cronies collapsed it.
That would in long term be good. I’m serious. Keeping all your eggs in one basket is bad, and other than that - said one basket may, for example, not scale production fast enough so to keep profits, that’s basic supply and demand and that’s what oil producers do too.
Short term, though, would be similar to a collapse of civilization.
Short term, though, would be similar to a collapse of civilization.
Would it? Civilization doesn’t depend on bleeding edge high tech. Sure, it depends on tech, but look around who’s making ICs or basic processors that are in machine control panels and all the millions of appliances. AMD, Intel, Qualcomm, Broadcom do the “heavy lifting” in terms of monetary value, but in overall quantity? Samsung, SK Hynix, STMicroelectronics, Infineon, Sony, Renesas and NXP are the ones that make the world go round. Infineon is German, NXP is Dutch, Renesas is Japanese, STMicroelectronics is Swiss. The thing that’s really going to hurt is Foxconn, but they are probably global enough to withstand that. There’s also many, many more local players. BOSCH for example has very high capacities for everything up to 80 Nanometers (Pentium 3/4, Athlon 64…)
Civilization would crack, sure - but i don’t think it would collapse. Society on the other hand…that’s a different paper.
Society on the other hand…that’s a different paper.
I meant that too. But would actually be interesting, if electronics around us would still be a normal thing, but smartphones changing every year and carelessly used computing power will not. I think it would feel like waking up from a fever dream.
I mean, “change” per se isn’t necessarily something bad. Meaning, stuff needs to last longer (again) in those cases. Planned Obsolescence is a real thing, that’s however only economical as long as raw materials are relatively cheap. But it would be nice if companies just did that change, instead of being forced in to it…
The issue is - tariffs and regulations already exist and force them the other way in fact. So the matter of purity doesn’t suffer here. Relatively.
He’s surpassed Bob Barker in Orange competition next coat he’s basically in black face
Dweebs weep.
Glad we only buy game consoles from China. Can you imagine what these tariffs would do if a significant portion of our imports came from there?
I think more than “dweebs” buy consoles…
Also you’re on Lemmy you dweeb lol
True. There are also parents buying them for their kids and a couple of other exceptions.
Another good reason to have a home grown solution in your own country for game consoles outwith the US.
Nobody will step up, because manufacturing electronics like this is incredibly expensive, and any new president in 2028 could instantly drop Trump’s dumb ass tariffs.
So you’d be going into an expensive, already risky business, with an even bigger risk that one day the competition suddenly drops their prices by ~40% due to a drop in tariffs. Nobody’s gonna take that risk.
And even if somebody successfully did take on that risk, they’d charge just under the price of the electronics that have the tariffs baked into the price, so congrats, no matter what we’d esentially be paying a ~40% markup on electronics, and that’s before accounting for all the businesses that raise prices even further than the tariffs to account for the drop in demand, and supply chain halt.
Not to mention literally all of the good processors come from Taiwan.
Yeah. It’s gonna be a shit show.
We’ve also already gone through the trouble of bringing TSMC stateside. Initially they weren’t able to round up enough skilled workers to be able to produce anything close to the quality of chips made in Taiwan. They’ve since made improvements, but we can’t hope to match the output either quality or quantity-wise due to differences of work culture and trying to replicate Taiwan’s processes that make bleeding edge performance possible without binning most of the production line.
Bbbbut I wuz told China would pay for the wall! And my new Playstation!
YO HO HO AND A CACHE OF TORRENTS!
People did warn folks about this.
Best news ever says dude still rocking the X-box 360 and happy about that.
And china will be doing the same for all Americans product enter to they country.
So if I was planning on building a gaming pc am I gonna want to do it before mid january?
And fridges, washers, dryers, tvs, vacuums, cars, phones.
Basically anything that has a microcontroller you’re going to be fucked.
In this day and age, pretty much anything powered by electricity.
look closer at everything you own. 99.9% of it will be 40% more expensive if you have to buy it again
Hypothetically, if I want to buy the Samsung S25 next year, and Tariffs are in place in America. I live in the UK. Why would my purchase be 40% more expensive? Samsung uses their own nodes, own fabs to manufacture their chips in south korea, they assemble the phones in Vietnam, after which they get shipped to the UK. Why would American tariffs affect literally everything as you have just said?
I think he probably talked about US people. You know, on a Article about a US (import-)Tarrif by a US President
You really should’ve included that it was a UK article though.
Won’t products made in the US with parts imported from outside the US that are then exported have the same problem?
it depends on how the Tarrifs are implemented, but potentially yes.
I can however imagine that products designed for export would be excluded, since they generate US-based Jobs anyways.
On a US lemmy instance and US sub. Everyone else is here as a guest/visitor, I guess?
idk, but lemmy.WORLD does not seem like a US-Exclusive Instance to me to be honest.
and the same goes for the word/sub “news”.
