Don’t video game consoles all have offices in the US? Why would the US apply tariffs on companies residing in and paying tax the US?
Even products “made in the USA”, like an automobile, rely on parts from overseas suppliers, especially China.
Are tariffs applied when a company produces something in one country and transports them to their own company in another country? I thought they only applied to sales.
The only thing tariffs do is raise the price of imported and exported goods. The intent behind that is to encourage domestic production of a given good. However, we largely do not have domestic production of many, many, many different goods in the USA. So the primary outcome is going to be a decade or more of much higher prices for literally every single kind of consumer, business or industrial grade electronic device or good. It’s terrible for the economy. It will lead to a record recession or even a depression. Tariffs do not punish the target country. They punish Americans attempting to buy from those countries. This means new start-ups and new businesses will not be able to afford things from third-party manufacturers in China.
You can’t just import something and put it in a local warehouse to avoid tariffs. Then nobody would pay them ever
I thought they only applied to sales.
What do you suppose these companies might want to do with their products once they transport them to this other branch location?
