The origins and impact of the US-China trade war

China and the US are the world’s two largest trading partners, and the ongoing trade war between them is impacting the global economy.

[donharris]

Here is some simple math on how Trump's tariffs will hurt us as average Americans. Lets say a "Made in China TV" from Walmart is priced at $200 today and costs Walmart $50 from China, that's a $75% profit for Walmart. If Walmart must pay an additional 25% Trump tariff, then their $50 cost goes up to $62.50 to ship from China. Since Walmart will not eat the cost increase, they must maintain their profit margin on this TV, that means a price increase to consumers. To maintain the 75% profit, Walmart's price to you must jump from $200 to $250. A $50 increase to your pocket for Walmart to keep their same profit margin. This is what Trump's tariffs will do for American consumers. Now apply this to all of the items made with steel or aluminum and imagine how this will serve your paycheck.

[donharris]

The problem is that China has comparative advantage on tangible goods such as steel, aluminum, TVs etc. America does not. Don't believe me. The next time you go to Wal-Mart you should randomly check the labels for 20 items and determine how many say "Made In China". At 1:38, when the narrator says "How does this effect people?" he did not say higher tariffs equal lower profits for companies, he only said tariffs translates to higher prices for consumers. WE, not Walmart, will get shafted by tariffs because companies will never bite the bullet.

[johannusdenhertog]

Let China let his not wurry,
What we wil be without China?
I buy everything i have needed in China, and its all great , and much cheeper then stuff out the States

Who cares? Both US and China lose, Great India will win, India Superpower by 2020