Bit cynical wrote: » Brickster is correct, I'm afraid. The importer pays the tariffs to the importing country. However the importer is free to pass on costs to the consumer.
newport2 wrote: » Like a car manufacturer pays for the cost of building a car. However, the manufacturer is free to pass on costs to the consumer. So BMW pays for all its cars, not the customer who buys it.
newport2 wrote: » I agree, doesn't really hold up when it's said back to you, does it?
brickster69 wrote: » Plus, i must say. It is the importers responsibility that the goods are fit for purpose in the EU, not the exporters.
moon2 wrote: » Arguing about who legally pays the import duty is a bit of a straw man. The generally accepted impact of tariffs is to increase the cost to the consumer by an equivalent amount. The importer doesn't generally bear the cost, neither does the exporter. While this may occur in special short term circumstances, it is not common.
brickster69 wrote: » As far as i can understand the question was who pays the tariffs, and that is the importer. It is the same the world over.
Leroy42 wrote: » So is that the Brexit dividend, UK companies get to absorb additional tariffs? Sunny uplands all round.
moon2 wrote: » I saw that question and I interpreted it differently. I believe the difference is you took a literal and narrow interpretation of the sentence. I believe the OP, like my own reading of the question, was referring to who bears the final cost of a tariff. If that's all we're splitting hairs over then we can probably all agree that you're correct in the literal sense, and the consumer is the one who bears the cost at the end of the day. Everyone's right!
correct horse battery staple wrote: » And where do all UK based car assemblers get most their parts from? Do tell...
brickster69 wrote: » No, you are wrong. The entity who pays the tariff is the importer not the end consumer. It is simple !
moon2 wrote: » Stop being deliberately obtuse.
brickster69 wrote: » The exporter bears no cost. If Aston Martin cars sell for 1 million euros and one gets sold to France then if tariffs are involved the importer pays the tax. Aston Martin makes the same profit regardless. Same the other way round.
Professor Moriarty wrote: » Funny you mention Aston Martin.The luxury carmaker Aston Martin Lagonda has slumped to £13m loss over the most recent three months, blaming tough trading conditions in the UK and Europe and weak sales of its Vantage two-seater sports car. The 106-year-old British marque has had a torrid year since floating on the stock market last October with its shares priced at £19, valuing the company at £4.3bn. The shares have since slumped, diving below £4 at one point in August, as sales have fallen amid “continuing macro uncertainties”. They were down 3% at 404p at midday, valuing the company at just over £900m. And:Andy Palmer, the chief executive, acknowledged that things had not gone as expected. “We didn’t expect the downturn in the market, we didn’t expect the delay of Brexit … We are working to the plan and DBX is a key part of that plan.”
brickster69 wrote: » Where does Airbus get it's wings for planes from ?
Gerry T wrote: » What a load of bo**ox. For those that say the imported pays, they are correct. But what your leaving out the imported is someone living in the country bringing in the goods. So a retail shop in the UK buys fruit from Spain (in a hard brexit scenario). That retail shop has to pay for the tariff. This is now a cost to the UK company. It can either pass on the cost (rising prices) or absorb the increase cost (lower profits) or cut other costs (employee wages) to make the same profit. Now which do you think the UK retail shop will do, with tariffs typically around 40 to 50% on certain food groups, it certainly won't be cutting company profits. And even if company profits were the only cut that would result in lowering corporation tax, meaning the UK Govt has to cut expenditure or possibly increase PAYE taxes.
SantaCruz wrote: » It is indeed simple. The 'extra' money you were touting as coming from tariffs is coming from within the same country. A ridiculously naive misunderstanding of basic economics, which you've continued to double down on. It's fortunate you have no credibility to lose.
Professor Moriarty wrote: » Andy Palmer, the chief executive, acknowledged that things had not gone as expected. “We didn’t expect the downturn in the market, we didn’t expect the delay of Brexit … We are working to the plan and DBX is a key part of that plan.”
J Mysterio wrote: » One thing I will say for Brexit (and Trump) is it has really opened my eyes to how stupid some people are. It's particularly astounding how many rich, successful people are just mind achingly stupid. I despair for the future.
brickster69 wrote: » Sorry, i don't understand.
Peregrinus wrote: » Ultimately the cost could be spread in various ways.
