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Tariff Wars --- What Trump means

 Over the past 75 years, America made a deal with the rest of the OECD, you get to sell your shit to our country and you will be our cannon fodder when the Russians invade.  That commitment to the rest of the world had been in decline since 1990 (aka the fall of the Berlin Wall etc).   Now, America is energy-independent (if you include Canada and Mexico) and doesn't give a crap about the world, America is the same as it was in 1890s -- they wanted out!

Trump for all his faults (and there are a lot) declared something very wise, we will match each country's tariffs.   right now America imposes an average tariff of 3.2% (which covers all the costs associated with imports) foreigners don't pay taxes in the US for "services".   The vast majority of OECD countries impose far greater tariffs on US imports (the best of the lot is the UK with tariffs of 3.5%), Europe is at 5%, Japan and Korea at 11.5% and 13%, well you get where I am going with this.  Of course, the problem places are Japan, Korea and Mexico, which impose tariffs of nearly 7% on US goods (China is excluded.  Tariffs on Chinese goods are already around 35%).

What you can expect next is reciprocity of "inspection rules".  Famously American cars imported into Japan had to spend nearly five months being inspected by customs.   That penny has not dropped yet, it will eventually.  

Fun time

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