On Monday he said there wouldn’t be a pause. He’s always lying. Which means an investor can’t trust him.
If there is a tariff this gives the edge in pricing to the manufacturer who produces in the US. If you think the tariff is here to stay it makes economical sense to invest money to move your manufacturing to the US, because then you can get better margins or better market share.
If you do that, and then the tariff is cancelled your competition who can produce more cheaply and reach the same market has the edge again. You just lost the investment, and you might be forced to invest even more to move back.
The more Trump uses tariffs for short term power plays like here the less they will work for long term industry movement, as investors doubts piles up. His ridiculous promises of a new industrial age for the US are only becoming more ridiculous.
On Monday he said there wouldn’t be a pause. He’s always lying. Which means an investor can’t trust him.
There are certain investors that can trust him, that being his buddies. They were probably told there would be a pause and it got out early, so he denied it to keep the dump going so they could continue buying before when they planned the pump.
On Monday he said there wouldn’t be a pause. He’s always lying. Which means an investor can’t trust him.
If there is a tariff this gives the edge in pricing to the manufacturer who produces in the US. If you think the tariff is here to stay it makes economical sense to invest money to move your manufacturing to the US, because then you can get better margins or better market share.
If you do that, and then the tariff is cancelled your competition who can produce more cheaply and reach the same market has the edge again. You just lost the investment, and you might be forced to invest even more to move back.
The more Trump uses tariffs for short term power plays like here the less they will work for long term industry movement, as investors doubts piles up. His ridiculous promises of a new industrial age for the US are only becoming more ridiculous.
There are certain investors that can trust him, that being his buddies. They were probably told there would be a pause and it got out early, so he denied it to keep the dump going so they could continue buying before when they planned the pump.