❝ On Tuesday, the Commerce Department announced the termination of the 2013 Suspension Agreement on Fresh Tomatoes from Mexico…This means the U.S. will impose a 17.5% tariff on imported Mexican tomatoes, a move that experts say may lead to shortages and price hikes…
❝ According to estimates from Arizona State University, consumers could pay 40% to 85% more for vine-ripe and other fresh tomatoes.
Prices could rise 40% from May to December, according to the university analysis by economists led by Timothy Richards, the Morrison chair of agribusiness. During the cooler months, when there are fewer domestic supplies of tomatoes, prices could escalate up to 85%, according to the estimate.
Given that our fake president has the tastebuds of one of the lower species of carrion-eater, you really shouldn’t expect him to support affordable, fresh food delivered across any border.
❝ Hard times for farmers got tougher with President Donald Trump’s trade war. Now Midwestern farmers are filing the highest number of bankruptcies in a decade, according to a Wall Street Journal analysis of federal data.
And farmers aren’t hopeful about this year.
❝ Twice as many farmers in Illinois, Indiana and Wisconsin declared bankruptcy last year compared to 2008, according to statistics from the 7th Circuit Court of Appeals, the Journal reported. Bankruptcies in states from North Dakota to Arkansas leaped 96 percent, according to figures from the 8th Circuit Court of Appeals.
Farmers are being battered by sinking commodity prices — and stiff tariffs from China and Mexico in retaliation for Trump’s tariffs on imports…
Farmers fear it will take years to rebuild those trading relationships.
Don’t worry, be happy, Trump is on your side. Stealing your wallet.
If there’s a running theme in the latest batch of industrial earnings, it’s rising costs…A hodgepodge of higher costs — from rising raw material prices, labor shortages and supply-chain pressure — threatens manufacturers.
❝ Amid a busy day for manufacturers, Boeing Co., General Motors Co. and Pentair Plc had their numbers tarnished by mounting expenses. The culprits were varied: at Boeing, an escalating bill to get the delayed KC-46 Tanker program ready to make deliveries kept the company from raising its 2018 outlook as expected; GM’s profit will take a hit because of fallout from President Donald Trump’s tariffs on steel and aluminum; Pentair said higher input costs would weigh on third-quarter results before price increases recoup some of the lost margin toward the end of the year. United Parcel Service Inc., meanwhile, is still struggling to profitably handle the flood of e-commerce shipments…
❝ Rising costs are not an unusual phenomenon in the late stages of an economic recovery. Generally speaking, these cost pinches seem to be hitting hardest at shorter-cycle companies— such as consumer-goods or automotive manufacturers — that are arguably at or nearing a peak in growth. Whatever the extra source of cost, companies aren’t going to take the hits lying down. Many have used second-quarter earnings calls to pledge counteracting cost cuts and more aggressive price increases to help protect margins. But tariffs and rising trade tensions put us into new territory.
RTFA for the thrilling details. Unless you’re one of the dolts who takes orders from the Fake President. In which case you will be ignoring any analysis from respected business sources like Bloomberg – skipping past any facts counter to the economics dream world which received its best global test from Herbert Hoover.
We all know how well that turned out.
❝ President Donald Trump set off a wave of outrage…among Republican lawmakers, who accused the president of authorizing a “bailout” and “welfare” for Americans caught in the crosshairs of his own tariffs.
“It’s awful. American farmers want markets, not handouts. This is what we feared all along—that this would just turn into more aid programs,” Sen. Jeff Flake (R-AZ) told The Daily Beast.
❝ Reactions—nearly all of them negative—poured in from Capitol Hill after the Department of Agriculture announced that it would authorize $12 billion in “emergency” subsidies to farmers whose businesses have been hurt by the president’s trade policies, which have sparked retaliatory tariffs from China, Canada, Mexico, and the European Union…
❝ “Our farmers have been in non-stop saying they want trade not aid. And now they’re being put on welfare. So the tariff policies that have been put in place by the administration are now causing them to invoke a welfare policy for our farmers, which I’m sure is not what they wish,” Sen. Bob Corker (R-TN), who has proposed legislation requiring congressional approval of some tariffs, told reporters…
“The administration creates a problem for farmers, and now they need to put them on welfare. I think that’s kind of a misplaced policy,” Corker added.
RTFA for even more. When I first heard this silly-ass proposal my hope was that a few Congressional Republicans remained who weren’t full-time Trump pimps – and would raise a fuss. Here we go!
Our dipsh*t fake president is trying his hardest to increase the price of consumer goods to American working folks. No need to repeat his lies and rationales for policy and plunder. True Believers will ignore any attempt at clarity. Americans with some understanding of what globalized economics means for consumer scale and income already know what I’m talking about.
I just wanted to offer this map – and a “Thank You” to Barry Ritholtz for offering it in his newsletter – to illustrate where families in this nation go to shop. You can figure out what will happen if our proto-fascist-in-charge gets his way. Costs rise. Prices rise. Folks who can afford that the least have the most to lose. And the company whose business model is focussed deeply on that demographic – will be the conduit from the White House to our wallets.
❝ In early 2017, President Donald Trump met with executives from Harley-Davidson who he thanked for “building things in America”…
❝ Last week, the EU imposed retaliatory tariffs on US goods, including bourbon, orange juice and motorcycles. The measures are a response to new US duties on steel and aluminium imports…
❝ While Harley-Davidson had been struggling financially well before the EU’s retaliatory tariffs went into effect, the import duties of 25% certainly didn’t help matters.
❝ “To address the substantial cost of this tariff burden long-term, Harley-Davidson will be implementing a plan to shift production of motorcycles for EU destinations from the US to its international facilities to avoid the tariff burden…”
❝ The move is one of the most visible consequences of the trade disputes triggered by US President Donald Trump’s decision to levy tariffs on steel and aluminium imports.
Give our Fake President time. He’ll figure out how to make this even worse!
❝ President Donald Trump’s headlong push toward a trade war is prompting unprecedented responses from countries around the world and blowback from top US allies…
Op-eds in The Houston Chronicle and the Canadian news magazine Maclean’s suggested the only way to quell the rising trade tensions is to strike at Trump’s businesses. While some countries, such as China, have appeared to try and sway the president through treating his family’s businesses more favorably, countries have not made moves to curtail the businesses’ activity within their borders.
❝ Debbie Shon…trade lawyer…former official in the US Trade Representative’s office…said that effectively hitting Trump’s businesses using trade actions — while legal — would be difficult…
That would force any country trying to go after Trump to get creative with their response. Scott Gilmore, a social entrepreneur and former Canadian diplomat, suggested in Maclean’s that Canada should use anti-corruption laws to pressure Trump on trade.
❝ Specifically, Gillmore suggested the use of Canada’s Justice for Victims of Corrupt Foreign Officials Act, also known as the Magnitsky Act. The law was designed to punish foreign officials engaged in corruption by allowing the Canadian government to crack down on their businesses.
❝ Amanda DeBusk said such a move would not be “totally unprecedented.” She pointed to the Treasury Department’s recent sanctions of powerful Russian oligarchs as evidence it could be legally justified.
Trump cares for nothing more on Earth than his dollar$. Might be interesting to see what happens when our Fake President gets hit where it hurts him most.
When’s the last time you washed that hand?
❝ CNN reports that during a “testy” conversation about the recent steel and aluminum tariffs the United States imposed on Canada, Prime Minister Justin Trudeau interrogated Donald Trump about how he could possibly consider his country, one of America’s most stalwart allies, a national security threat. Trump jokingly responded by asking, “Didn’t you guys burn down the White House?” This was supposed to be a reference to the War of 1812, and would have been a pretty good retort—except that it was actually the British who torched Washington. Oh well.
❝ This story is funny, in the way that the pratfalls of a wildly ignorant chief executive who is slowly claiming ever broader executive powers have become a constant source of grim humor. But it also points to one of the more common misunderstandings about this whole tariff controversy, and some of the ways Trump has actually twisted Washington’s conventional understanding of how trade and national security relate.
RTFA for a little detail on the contortions the prat in the Oval Office goes through to rationalize crap policies he dare not try to get through Congress. Even a Congress controlled by an obedient Republican Party.