Whirpool and Trump tariffs

Chris0nllyn

Well-Known Member
Last January, the Trump administration imposed a penalty on Americans who buy foreign-made washers.
Marc Bitzer, the chief executive officer of Whirlpool, touted this protection as "without any doubt, a positive catalyst for Whirlpool."
. From Whirlpool's standpoint, the policy seemed like a raging success. Imports of large residential washers fell from a monthly average of 350,000 in 2017 to an average of 161,000 each month of 2018 through April.
Here's the thing: When you cheer for protectionism, you never know when you might become the victim of the next round of consumer-punishing tariffs. That's what happened to Whirlpool, which is now a victim of the 25 percent steel tariffs imposed by the administration to protect the steel industry from foreign competition.
With imports down, the company planned to add workers at its washer plant in expectation of a new rush of tariff-induced washer sales. Not so fast. Thanks to the many tariffs applied to over $90 billion of imports from China and other places (including inputs and raw materials like steel), Whirlpool not only didn't add 1,300 workers to its Clyde factory in Ohio; it has actually reduced its production. It's therefore unsurprising that Whirlpool's share price is down 15 percent since the washer tariffs were put in place. That's in spite of the massive cut in the corporate income tax rate from 35 to 21 percent and other tax cuts.
http://reason.com/archives/2018/07/19/trumps-tariffs-injure-another-american-b
 

Hijinx

Well-Known Member
All I did was quote parts of the story. What did you read that would make you think that?

Come on be honest. Anything that makes Trump look bad appeals to you.
We have been watching, why deny it.

You look for things to bang on Trump with and you totally ignore the good things he has done.
OK----now it's time for you to say he hasn't done anything good. LMAO.
 

Chris0nllyn

Well-Known Member
Come on be honest. Anything that makes Trump look bad appeals to you.
We have been watching, why deny it.

You look for things to bang on Trump with and you totally ignore the good things he has done.
OK----now it's time for you to say he hasn't done anything good. LMAO.

I don't want to see Americans lose their job but anyone who understands how tariffs work knew this would happen. Unfortunately, a large number of people, including yourself and President Trump, believe trade wars are a good thing. Why aren't you celebrating this?

I like the tax cuts Trump led. I don't like the out of control spending that goes along with it.

It's unfortunate that you can't, or aren't willing, to see anything bad from him because he's a Republican, you voted for him, and you don't want to feel like you wasted your vote or that you're on the "losing team" so to speak.

If you want someone to be honest, try not telling them that directly after being dishonest yourself.
 

Hijinx

Well-Known Member
I don't want to see Americans lose their job but anyone who understands how tariffs work knew this would happen. Unfortunately, a large number of people, including yourself and President Trump, believe trade wars are a good thing. Why aren't you celebrating this?

I like the tax cuts Trump led. I don't like the out of control spending that goes along with it.

It's unfortunate that you can't, or aren't willing, to see anything bad from him because he's a Republican, you voted for him, and you don't want to feel like you wasted your vote or that you're on the "losing team" so to speak.

If you want someone to be honest, try not telling them that directly after being dishonest yourself.

Trump ran against Hillary.
I don't believe there is anything he can do to make me feel bad about voting against Hillary.
In essence that is what many , many Americans did.
I don't like other countries putting tariffs on our products while we don't charge them tariffs.
Perhaps Trump did start a trade war, but IMO he did it to establish fair trade for America.
I believe we have to stop crying about the trade war and wait and see how successful he is by trying to get fair trade for America.
I am sorry some suffer from this, but in the end we may come out the better for it.
Condemning it this early in the battle is imprudent.
 

LightRoasted

If I may ...
If I may ...

This to shall pass. There is always an adjustment period. This is funny, "...Uncle Sam can make your competitors' stuff artificially more expensive?" When in fact the competitors stuff is actually artificially less expensive due to unfair trade practices, lower labor cost of competing countries, less regulations, etc. Trump is just leveling the field. Now, instead of competing just on price, it will be on reliability, customer service and overall value. That is a win.
 

Chris0nllyn

Well-Known Member
If I may ...

This to shall pass. There is always an adjustment period. This is funny, "...Uncle Sam can make your competitors' stuff artificially more expensive?" When in fact the competitors stuff is actually artificially less expensive due to unfair trade practices, lower labor cost of competing countries, less regulations, etc. Trump is just leveling the field. Now, instead of competing just on price, it will be on reliability, customer service and overall value. That is a win.

But what if people want low-priced products? Those products are less expensive for a myriad of different reasons but that's international trade. We don't have to produce a product to compete with other countries.
 

LightRoasted

If I may ...
If I may ...

But what if people want low-priced products? Those products are less expensive for a myriad of different reasons but that's international trade. We don't have to produce a product to compete with other countries.

You are really daft aren't' you? It's called "trade" for a reason. Of course any nation worth anything it's going to complete with, hopefully, a better product. Manufacturing is, in part, what makes a nation great. Without a strong manufacturing base. what do we have to offer? Nothing really. And for jobs? Bartenders, wait staff, maids, cooks. Ie service jobs. Low paying, anyone can do it, service jobs. Can't sell that internationally. If people want a less expensive product, they can make it themselves or not buy. Remember, in the past, anything "imported" was considered special. We made everything we needed for our own uses and consumption. We didn't rely on any other nation for anything. In fact we were a great export nation at one time.
 

SamSpade

Well-Known Member
Manufacturing is, in part, what makes a nation great. Without a strong manufacturing base. what do we have to offer?

For the past 20 years, I've heard people from all quarters lament, sigh and groan about how our days as a manufacturing nation are past.
Some have embraced the idea that somehow being a nation that produces information and services is like, the next step.

But the data doesn't work out that way.

One simple way of looking at it is this - what nations in the world are among the world's strongest?
And which of them are among the top manufacturing countries, or have manufacturing as their primary industry?
Go ahead.

After US - because we're still number one - China, Japan, Germany, UK, India, France.
Advanced nations. And Germany is a big one. So why do we have this notion that manufacturing is a trait
of a developing nation, when clearly these nations are automating and leading the way?
 

Hessian

Well-Known Member
Just an observation...Larry Kudlow is now on staff. I have agreed with him on many (not all) matters. Just before his apptmt...he came out fairly strongly AGAINST tariffs. SO...why would Trump have him in a top post? I suspect there is more than what meets the eye going on here. I would be disappointed if Kudlow steps down amidst this.
 

SamSpade

Well-Known Member
I'm reminded of the early part of the Reagan administration.

Depending on who you ask - from what I saw, observed, lived and have since read - we are talking about one of the biggest expansions of our economy in its history.
(Historically, the biggest was the early sixties, and given the timing, new technolgies and our rise in the developed world - that's not surprising).

If you recall - the first couple years of Reagan's first term were - well - underwhelming. At that time, beating him 84 seemed a pretty good prospect.
The economy wasn't doing well, and the left were busy calling him Bonzo and saying the chimp was smarter. We had another recession.
Inflation was back and unemployment was up - again.
While I thought firing the air traffic controllers was perfect - the left didn't see it that way. The GOP lost 27 seats in the mid-terms.

Not a great start. While I did not vote for Reagan - I supported his first couple years. Even some of my conservative friends didn't like him,
and thought he was a nitwit. I remember a roommate rolling his eyes when Reagan was on the phone congratulating the Redskins on their
1982 Superbowl win.

It got better - a lot better. The economy exploded. Mondale was sadly, the go to guy for 84 and got beat in an election - the second worst in
U.S. history - that he never had a chance of winning.

Because when you roll a snowball down a hill, it starts out slow and looks like nothing - until it becomes an avalanche.
I do think the Democrats - the smarter ones - KNOW this. They want to stem the part of the party that wants to celebrate and push
agendas that will lose, big. My dad used to use a phrase "coasting". He'd say you're coasting before you get to the top of the hill (using snow
and a sled as a metaphor). "You know what happens, son, if you coast before you reach the top? You go backwards". THAT is why the
brighter Dems are cautioning the party - they've seen it before.

There IS a chance - and I think a good one - that the tariffs will achieve the desired result - fair trade. That IS the goal. Hell, if it was just
revenge, it'd be stupid. If it was to raise money - because tariffs are government money - the Dems should be dancing over the idea of free money -
they ought to get behind it. I think it's a tough slog - because some countries, as we've seen in Canada, have an entrenched system that depends
on their subsidies with their tariffs. Cutting them or curtailing them i response to the U.S. will be tough. Ditto China. China is even more difficult
because their economy is almost 100% state run, which means, everything is the government. Imagine if our government didn't just run
interference for Google and Apple - but it was normal and legal.

I think there is a good chance that Trump will win out, but like Reagan, it will take time. I can still hear the voices back in 81 and 82 saying,
do you still think he's going to be a good President?
 
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