Donald Trump the Megathread part II - mod warnings in OP, Updated 18/03/25

Historic stuff from Trump. Getting those three to work together is very unexpected. Nobel prize on the way. EU and UK should do likewise tbh.

The dope still doesn't understand how tariffs work, have none of his advisers actually sat him down to explain tariffs?

Actually probably not, and he wouldnt listen anyway.

What is Trumps end game here?

He can't believe that other countries will simply accept tariffs or whatever conditions he is asking. Even if they in the short term they will inevitably look to other markets to make up any loss.

He made reducing inflation a major plank of his campaign yet this is not going to help that.

He talks about getting factories back to the US but that will take years.

He wants the EU to reduce VAT on US goods. VAT isn't a tariff obviously but Trump is portraying it as a tariff. I think EU will make a concession there and Trump will revoke his own tariffs (again).

It’s the only explanation I can think of too - personal wealth creation for him and his cronies - insider dealing is another term for it.

For MAGA and project 2025? There’s likely an advantage to them to have the economy on its knees and for American citizens to be beholding to them -but Shirley that’s going down the road of riots and anarchy ? I mean you can only push people so far- we know that- even sleepy Democrats will rise up given the right circumstances.
I assume that deals with Russia - cheap oil and mining rights- are part of this whole process- but mining will take years to get off the ground and for the economy to see the results. And maybe it’s a medium - long term view MAGA is taking here- they don’t care about the next 4 years- this is long term planning in action?

Citizens? You meant to say subjects right

I'm not sure how the EU will make a concession there. Unless by concession you mean rename VAT to GST?

I can't see the EU allowing US goods and services to be VAT exempt or at a lower rate.

What kind of concessions do you see the EU make wrt VAT on US goods and services?

His views on VAT are total nonsense, just like his opinion that when tariffs lead to higher car prices people will buy more of them. His knowledge of economics is zilch, and those around him are afraid to point this out.

Reminds me of the "no tax on tips" and "no tax on overtime" crap that he floated during the election campaign.

I don't think there is actually any strategy here other than chaos.

Looks like the plan is to flip the table and thats as far as it goes. Maybe they think they'll be able to take advantage in the resulting reset but there is no evidence of that.

For us, the only question is how deep the recession is going to be.

re VAT, it’s literally a lie and a load of rubbish that doesn’t begin to approach reality

re US cars, they don’t sell here because they are shite for most part, the only interesting US car (Tesla) ended up to be run by a Nazi , whom for some reason people across Europe don’t like

He really is the peacemaker, didn't have this on my Trump fuckup Bingo.

https://www.reuters.com/world/china-japan-south-korea-will-jointly-respond-us-tariffs-chinese-state-media-says-2025-03-31/

Not really it hammers them using the same stupid rhetoric the same stupid people fell for

https://edition.cnn.com/2025/03/27/cars/auto-tariffs-car-prices-impact-hnk-intl/index.html

$7000 extra per average car

Current cost 0.50 to 0.70 an egg

https://www.walmart.com/browse/food/eggs-18-count/976759_9176907_1001469_6665743?povid=976759_topnavpill_9176907_EggsSearch_Eggs18Count_Rweb_2_23_2024

That’s 10,000 eggs right there

That would pay for 14 years of consumption of 2 eggs per day every day

Trump pulling the USA out of the TPP during his first term begat the RCEP, the largest tariff reducing trade bloc in the world.

So in practice the Asian Pacific economies including China, Japan, S Korea, Australia and NZ amongst others have been increasing trade with eachother and will now trade less with the USA because of Trumps tariffs.

This is a good oversight of the RCEP in relation to future trade with the EU.

https://www.europarl.europa.eu/RegData/etudes/BRIE/2021/653625/EXPO_BRI(2021)653625_EN.pdf

If I've got this right where it comes to US business's moving [years back] their production lines to neighbouring countries and to other continents, the moves were made for corporate profit reasons. The firms got better offers where it came to taxes at the new locations, also lower wage costs, with [in some cases] the Govt providing either/or the site and costs of the new corporation factory/facility as an incentive as it meant jobs, jobs and taxes.

I remember reading about 10/15 years back on how Michael Dell played the production line site game against State governments in the US, suggesting that he would move next door if he didn't get a better deal from the State Govt. Dell eventually moved his production lines from Limerick to India, Mumbai I think.

Trumps plan is to use tariffs to "incentivize" the firms to move back to the US by attacking their overall corporate profits with tariff charges which they would have to swallow whole screwing up their profits margins if they don't increase the purchase prices they charge to the customers cards. Nothing there about feathering the corporate profit nest by giving them a better corporate deal if they move back to the US, just a whole lot of pain instead. If I've got the corporate profit angle right, Trump will probably not be on the seasonal card list in December.

He is going to lie and crow regardless

You don’t beat Donald Trump by fact checking him as he will just flood the zone with bullshit and move on

But making points that stupid people who voted for him can relate to would cut right through his bullshit