We'll pass Trump tariffs back as higher prices for Americans: German firm

https://lemm.ee/post/60816751

We'll pass Trump tariffs back as higher prices for Americans: German firm - lemm.ee

Lemmy

Stop. Maybe I understand it all wrong?

I thought that those “tariffs” were just an additional tax to customers for buying foreign stuff. It has absolutely nothing to do with producer of that stuff. Just customers pay price, pay tax-tariffs and then government pocket tax-tariffs and pass-through the price to the manufacturer.

What he is talking about? He sounds like Captain Obvious.

They can choose to take a hit to their profit margins by adjusting prices. They can only do that so much before margins are wiped out completely.

Why? In some cases it may make up for it with higher volume (but that too depends on demand).

I read a paper on this recently but can’t find it :(, apparently with steel (during Trump-I) the exporters were more willing to do it but it’s not the case with every good.