₦airaland Forum

Reference:
Let me tell us a short story I mentioned days ago that will resonate with this whole America trade mess.

Nigeria has been in a defacto recession for years now....abi.... I mean business have folded up in number, consumption has sunk, jobs lost, wages tanking on real terms and structural adjustments everywhere.

Most folks who have customers and/or clients have seen the lake progressively dry up so the hippos are now competing with the alligators for space, tensions have risen.

If your client portfolio has shrunk from say 100 to 10, do you increase your charges towards the remaining 10 to make up or maintain the charges and take a 90 point hit.

Conventional wisdom will tell you that if you seek to maintain income you risk losing the remaining 10 clients. You find a sweet spot of raising charges but care for your clients must become top priority. You improve or increase service to retain the 10.

You take a financial hit while sweating more. Now how many can do that.
The criticism of the rest of the world towards America shows that few are concerned about that 'important' client.

This matter started with aid withdrawals before tariffs. America wanted first to see if any cared about them. But it is clear most only care about what they get from them.

And this is from the average immigrant to the average investor.

All this is tosh.

Name one president apart from Trump that would implement same policies that you would not slaughter?

Are people's 401ks ever going to recover?

For some hairbrained scheme, retirees have to suffer?

A man who has a reputation for bankrupting several companies knows better than all the Nobel laureates.

Someone employing yes men and highly incompetent underlings into his departments is who you expect to have all the answers?


This i've got to see.

Lush100:
Sir

What is the tariff Lesotho charge on US goods?

Why the huge disparity?

The US is now charging about half of what most countries charge the US.

Again the volume matters.
China trade with US is very significant whereas Lesotho is very small.
I think they are basically into cloths like jeans.
The imbalance of trade is what the administration is trying to correct and not some other fancy things people are making it out to be. On the short run it pays nobody but on the long run the U.S. will be better for it.
That's my opinion and only time will tell.

What are the charges on American goods , and please be specific.

SmartPolician:
The damage was heaviest in companies whose supply chains are most dependent on overseas manufacturing.

Trump has warned you guys to stop taking your businesses outside America so you can boost the local economy. In a couple of years, we'll know if Trump is taking the right steps or destroying American economy.

"To stop taking their businesses outside America".
See how easy it sounds to you.
You and Trump must think businesses are run by a wave of the hand and Open Sesame!
You know the financial implications to these companies of running business in a high labour cost economy?

Reference:
There are two arguments here.
One is the movement of American owned companies abroad to seek cheaper production.

The other is the abandonment of American products for cheaper foreign alternatives.

Lesotho falls into the second category . The textiles and gemstones they export are not unique.

The question remains, if countries of so called higher standards of living stop working and outsource all their production they will go bankrupt. And this is pertinent with bricks and mortar industries.

The moment the UK shipped out almost its entire hands on production relying almost entirely on the services sector, financial services to be specific, it's economy has regressed steadily leaving it trailing countries like FRANCE and particularly GERMANY that had resisted a gutting of theirs.

Here in Nigeria we have raised tariffs on our popular imported products, closed our borders severally and proclaimed 'buy Nigeria to grow Nigeria'. Whether real or imaginary the truth remains if you are open to dumping and refuse to work, somewhere along the line you will go bankrupt.

Lesotho does not need to move it's factory to the United States, they tariff 100% on goods imported from USA and what they import from USA is far lower than what the US import from Lesotho. Lesotho is a greedy nation, with Trump's 50% reciprocal tariff, it'll definitely hit Lesotho really hard. Best for Lesotho to go zero tariff on goods imported from USA.

Saga16:
What are the charges on American goods , and please be specific.

Bro it's on the internet space.

Google it .

The simple analogy is because the U.S. has always been rich doesn't mean huge expenses cannot drain it's pocket.

Let's take some football players for example.

If a lambogini cost 500k USD and your seller charges u 800k USD because u are a footballer
;he knows but he's on 500k weekly at ManU. and then u go from ManU to Fenebache after his contract is not renewed
You think a rational footballer will continue that same giveaway.

Simple goods that sell for example 1MT would because of the cost increase would now only be able to pull a demands of say 500kg.

Again the logistics of moving goods from factories in China coupled with higher tariff for a market sales in U.S. will means its better to have your factory situated in the U.S.

That's the long term goal.

Already population in US and some domestic debt will reduce (on the long run) as a result on deportation the U.S. has initiated leading to lesser unemployment.

Aside the knock off effect it will cause now...that's the bigger picture or Main goal

Lush100:
Bro it's on the internet space.

Google it .

The simple analogy is because the U.S. has always been rich doesn't mean huge expenses cannot drain it's pocket.

Let's take some football players for example.

If a lambogini cost 500k USD and your seller charges u 800k USD because u are a footballer
;he knows but he's on 500k weekly at ManU. and then u go from ManU to Fenebache after his contract is not renewed
You think a rational footballer will continue that same giveaway.

Simple goods that sell for example 1MT would because of the cost increase would now only be able to pull a demands of say 500kg.

Again the logistics of moving goods from factories in China coupled with higher tariff for a market sales in U.S. will means its better to have your factory situated in the U.S.

That's the long term goal.

Already population in US and some domestic debt will reduce (on the long run) as a result on deportation the U.S. has initiated leading to lesser unemployment.

Aside the knock off effect it will cause now...that's the bigger picture or Main goal

This entire epistle whilst unable to back your claims.

Saga16:
This entire epistle whilst unable to back your claims.

Thanks. So did you with this little sentence.

Lush100:
Thanks. So did you with this little sentence.

Most of you just regurgitate nonsense without evidence and expect people to gobble it up.

Before the 2024 election, people were warned on what the tarriffd would bring, but they refused

The recession is imminent.

Donald Trump will lose this trade war. His rivals are many. Imagine, imposing tariffs on Mexico and Canada. Your very close American neighbours. Too awful a decision. There are better ways to build an economy than relying on trade wars and tariffs. In the end, China will win and dominate the world technology, economy and military might. They get more allies to do businesses despite the trade war. Bullying doesn't solve a problem. Trump will definitely learn this the hard way cause things have change. Remember, Xi Jinping once said "Soon there will be changes in the world, not seen in a period of 100 years" The end will justify the means as long as you do a proper counting of the cost.

Saga16:
Most of you just regurgitate nonsense without evidence and expect people to gobble it up.

Before the 2024 election, people were warned on what the tarriffd would bring, but they refused

The recession is imminent.

There are some people when ther car develops a fault on the road and motion is very sluggish. They will rather park the car and take the inconvenience of towing it to destination and use public transport to get home and asking for a auto mechanic to fix it when it arrives .Some other will try to drive the car with the fault till the damage is much larger or irreversible.

This is not how to counter argument with insult.
Pls take your troubles to your abode.
It's either you never took.time to listen to the specific speech on tariff or your are only looking at an immediate gain.

Bring the manufacturering back to America or stfu and pay the price of tarrifs.

EmperorIsaac:
...make tariffs great again...

God bless AmeTarrif

Lush100:
This is bound to happen.

This is to force companies that depend (have factories) on China to move back to U.S.

Trump has businesses outside the US.

Lush100:
There are some people when ther car develops a fault on the road and motion is very sluggish. They will rather park the car and take the inconvenience of towing it to destination and use public transport to get home and asking for a auto mechanic to fix it when it arrives .Some other will try to drive the car with the fault till the damage is much larger or irreversible.

This is not how to counter argument with insult.
Pls take your troubles to your abode.
It's either you never took.time to listen to the specific speech on tariff or your are only looking at an immediate gain.

You mean the speech of a blatant liar is now gospel.



You guys.

SmartPolician:
The damage was heaviest in companies whose supply chains are most dependent on overseas manufacturing.

Trump has warned you guys to stop taking your businesses outside America so you can boost the local economy. In a couple of years, we'll know if Trump is taking the right steps or destroying American economy.

Instead of you to just read and pass, you want to comment to prove you are smart yet end up goofing big time, If for instance Apple decides to manufacture Iphone in America people like you won't be able to afford it and Apple CANNOT make profit, reason Iphone is still affordable is because Apple outsource cheap labor in China. Same to other American Manufacturers.

Trump is truly a village idiot.

Reference:
Well just like Nigeria of today where we have had to dump the 'Gowonesque,' era crude oil fed ideology of 'we don't know what to spend money on', the American government is trying to wean its people of foreign goods and foreign credit.

If you lose your job or you are growing old and retiring soon, at some point you will consider a lifestyle adjustment and those lazy kids who have never washed their clothes will get angry for a while.

Such is life. America will not lead the world forever. The signs are there that age is catching up.

And what of the raw materials the US doesn't produce? Unless you want them to return to a pre-industrial lifestyle it is impossible to be completely self sufficient in this modern economy.

rinzaugustine:
If China increase the tariffs to 50% trump will be in a bind because it is American consumers that will wake up to very wild prices

they already increased it by the same percentage US increased for them

Trump still thinks The " US " is still what it is in the 90s where they own the market in almost every sector .... times have changed and countries will seek to have more trade agreements putting the US aside ... Dude is running America like a drug lord .

It should also wipe off their known aged greedness, self centredness and their much touted natl interest used in oppressing poor nations.

gigabyte13:
According to some people
Trump is working
😅😅🤣🤣😂😂😂🤣
😅😂😂🤣🤣😂😅😂
Trump wey get businesses outside USA
Dey tell other companies to come and start their own business in USA.
Na by force......?
He should lead by example.

Just like someone who promised production but refused to produce anything abi??

Cheap labour in China will always make Chinese goods more affordable and desirable than goods made in the US. Trump might just be digging the US into an economic abyss.

Imposing tariffs as well as deporting illegal immigrants who provide cheap labour for your industries to run relatively cheaply at the same time cannot be commonsense.

Make Naira sha gain.

Slytiger:
Roughly $2.5 trillion was erased from the S&P 500 Index on Thursday amid worries that President Donald Trump’s sweeping new round of tariffs could plunge the economy into a recession.

The damage was heaviest in companies whose supply chains are most dependent on overseas manufacturing. Apple Inc., which makes the majority of its US-sold devices in China, fell 9.3%. Lululemon Athletica Inc. and Nike Inc., among companies with manufacturing ties to Vietnam, were both down more than 9%. Target Corp. and Dollar Tree Inc., retailers whose stores are filled with products sourced outside of the US, dropped more than 10%.

Few stocks in the US were unscathed as the benchmark notched its biggest decline since June 2020. More than 80% of companies in the S&P 500 dropped, with more than two-thirds sliding at least 2%.

“There’s really not anybody getting spared in absolute terms,” said Garrett Melson, a portfolio strategist at Natixis Investment Managers Solutions. “You’re just wrapped up, today at least, in a broad de-risking, and so it’s kind of just across the board taking chips off the table.”

The breadth and severity of the levies dwarfed those imposed by Trump during his first term, threatening to upend global supply chains, exacerbate an economic slowdown and boost inflation. It also left investors struggling to game out what levies would do to corporate profits.

If Apple, for example, were to absorb the jump in costs as a result of tariffs on China, the iPhone maker’s gross margin could take a hit of as much as 9%, said Citigroup analysts led by Atif Malik.

The plan is equivalent to the largest tax increase since 1968, JPMorgan economist Michael Feroli wrote in a note. It could add as much as 1.5% to prices this year, using the Federal Reserve’s preferred inflation gauge, while weighing on personal incomes and consumer spending.

“This impact alone could take the economy perilously close to slipping into recession,” Feroli wrote. “And this is before accounting for the additional hits to gross exports and to investment spending.”

US assets emerged as the biggest losers after the announcement. The S&P 500 fell 4.8%, and a gauge of the dollar slumped. The impact elsewhere was muted in comparison: A broad gauge of Asian stocks fell less than 1% and the Stoxx Europe 600 slid 2.6%, while the euro rose about 1.6% against the dollar.

Semiconductor and industrial companies also took a beating. The Philadelphia Semiconductor Index sank 9.9%, with Micron Technology Inc. down 16% and Broadcom Inc. 11%. Caterpillar Inc. and Boeing Co., which get a big chunk of sales from China, dropped at least 8%.

Apple led declines among the Magnificent Seven stocks with roughly $300 billion in market value wiped out. The group, which also includes Tesla, Microsoft, Nvidia, Alphabet, Amazon.com, and Meta Platforms, has been responsible for much of the US stock market’s gains over the last two years.

“We see 5,300 as the near-term target for the S&P 500, but if tariff uncertainty persists or negotiations with trading partners don’t go well, risks of downside through 5,000 become real,” UBS Group AG’s Bhanu Baweja wrote in a note to clients. “The probability of US stocks entering bear market is going higher.”
https://finance.yahoo.com/news/trump-tariffs-set-wipe-nearly-120038363.html

It's an opportunity for the bargain hunters who have the nerves of steel to take positions and move right in...

But based off of the bigger picture, these uncertainties are the direct consequences of the global tariff trade wars triggered by Trump which the World Trade Organization (WTO) could easily have resolve for all parties.

Expect stronger global economic headwinds later on in 2025 leading right into 2026. It will be like NO other in recent times if a de-escalation doesn't occur. Period.

Idiotic religious fanatics and some other fools both in America and Nigeria who supported this man have not seen anything yet. The guy will sink America to the depth it will never recover from.

Reference:
I still do not understand how folks who are against the quest of the US government to bring productivity back home expect the average American to afford the goods they produce abroad in perpetuity.

Who has been able to square the circle of not producing yet affording stuff when we clearly know that America is racking up monumental debts with countries like China and other so called 'cheaper' producers, aka lower living standards countries.

The average household debt or personal debt in America is rising steadily. Shouldn't this concern the rest of the world that this global market place, this global dumping ground is going bankrupt.

Now to the average American. Is it fair that you want to earn some of the highest, uncompetitive wages on earth and yet want to shop in 'bush' markets instead of at high end arcades.

This is the crux of the matter, a battle for the structural integrity of the global economy. Santa Claus is dying.

You are missing the point. Positive economic reforms are gradual in a step by step manner.
You cannot wake up and start to fight the whole world at the same time in the name of reform. Believe me it can not achieve anything.
Just like how Tinubu is destroying Nigeria from all angles in the name of reform.
Trump should take one step at a time if he wants to achieve any positive impact.

PDPdestroyer:
The internet never forgets

Now it dropped 2300 points in 1 day.

hotwax:
the rich are angry at trump. They are taking away their money away from the stock market...its nothing

Not only the Rich. Peoples 401k and pension are invested in the stock market too.

mastermaestro:
Cheap labour in China will always make Chinese goods more affordable and desirable than goods made in the US. Trump might just be digging the US into an economic abyss.

Imposing tariffs as well as deporting illegal immigrants who provide cheap labour for your industries to run relatively cheaply at the same time cannot be commonsense.

Trump is not okay. The blower motor of one of my cars stopped working. I took it to the nissan dealership, and they asked for 500 dollars for the part and 400 for labour. I got same motor for 60 dollars from a Chinese non oem on ebay, and fixed it myself. With that tarrif, the Chinese product will still be cheaper and Americans will still patronize Chinese products. China will win this trade war while the US consumers will just pay more for nothing. The stock market knows this and reacted negatively.

Lush100:
This is bound to happen.

This is to force companies that depend (have factories) on China to move back to U.S.

How will that happen? Most of those companies also sell their products in China and to many other countries. If they move to the US, how will they compete in the rest of the markets.

santaclaws:
People like you will always find an excuse for Trump. You're talking about manufacturing in the US; how do you expect American companies to stay ahead of the pricing game if they manufacture in the US where the average minimum wage is 100% greater than that of China and several times more than that of Asian countries like Cambodia, Vietnam, India etc.

How do you expect companies like Apple to export at competitive prices and compete with giants like Samsung in the global scene? An iPhone is already far more expensive than other brands, imagine it's twice the cost, how would they get buyers? 🤔

Some of you don't even have a clue what you're saying. You just believe anything a white man does is always correct... Those who voted for him are now protesting. They don't have any president like Obama till date. Reducing the LGBTQ madness is the only positive thing Trump has done, which I fully support.

Sometimes you get tired of saying this same thing again and again to this people!

To them Trump can do no wrong and if you say anything against Him then you are a democrat and they will add the LGBTQ thing to blackmail you.

Slytiger:
https://finance.yahoo.com/news/trump-tariffs-set-wipe-nearly-120038363.html

God bless Trump

SIRTee15:
This is what I have been trying to explain here that some refuse to understand possibly due to their hatred of America or Trump.

America is funding his generous consumer market by borrowing heavily, a practice that's not sustainable on the long run.

One day, America will go bankrupt and won't even afford to borrow. Then what happens after that to the so called imported goods.

I may not fully agree with Trump and it seems he has sinister motive, but he's the only president who has taken the bull by the horn. We should see how it eventually works out.

I just hope your are not one of those criticizing tinubu government