Primarily because of Donald Trump and the “Conservatives” pivot to avoid “austerity,” the tariff tax has become all the rage, as idiot politicians are looking to boost their popularity among the people with easy answers.
Now, as you’re reading this, you can imagine I’m a Chinese Communist Party shill, but I’m actually an AUSTERITY advocate, that’s my position and what most modern politicians are doing is pushing for more PRICE CONTROLS, which is what tariffs are.
Similar to minimum wage laws, tariffs create an artificial FLOOR for prices and actually kill DOMESTIC jobs because if Chinese EVs don’t even make it to Canada, an entire infrastructure for JOBS that otherwise would exist will never exist.
When governments create minimum wage jobs for example, manufacturing jobs are often the first jobs to disappear, because consumers for example who want to buy something for nothing more than $5 can no longer find those prices MADE BY domestic manufacturers because the price to manufacture is too high.
In a nutshell that’s how China took all the manufacturing jobs, now the EV market these are more higher paying jobs, and China has ALREADY built the infrastructure to dominate that market from the manufacturing and and retail stages.
The Chinese marketplace has done this so efficiently, that western nations like Canada and the U.S. have ZERO hopes of competition against them. Which is why tariffs are the ONLY line of defense Canada has against China.
For the record, this also occurred in Japan. The car buying experience in Japan, is far better than Canada and the U.S. we are in the STONE AGES buying a car in comparison to Japan, however you’d never know this as a Canadian unless you went to Japan and shopped for a car.
In Canada, we imagine ourselves as the most advanced, but PRIOR tariffs and prior price control measures stunted our economic growth. When writing about Japanese debt, I like to remind people that, unlike Canada, Japanese debt is a farce to keep the Japanese Yen from appreciating in value.
What I’m getting at here is that Asians tend to have a more honest, intelligent view towards PRICE CONTROLS, whereas we in the West are using BRUTE FORCE price control mechanisms, which are making us heavily reliant on forex markets.
The DOMESTIC value of the Canadian dollar is reflective of its true purchasing power, and before you see inflation is high in Japan, I remind you that they haven’t destroyed their manufacturing; in general, the problem Asian countries will have in a crisis is energy, and being that the middle east and other NON-Western nations can pick up that slack, I hope you’re getting a more precise picture of how much economic damage is happening in the west.
In the West, we don’t even have the ability or efficiency to manufacture most of the things we consume anymore.
OTTAWA — The federal government is imposing tariffs on Chinese-made electric vehicles as well as aluminum and steel from China in an effort to protect domestic manufacturing.
Prime Minister Justin Trudeau announced in Halifax today that Canada will impose a 100-per-cent tariff on electric vehicles, along with 25 per cent tariffs on aluminum and steel.
Chinese brands are not a major player in Canada’s EV market right now but imports from China have exploded in the last year as Tesla switched from U.S. factories for its Canadian sales to its manufacturing plant in Shanghai.
U.S. President Joe Biden quadrupled the U.S. import tariff on Chinese-made EVs to 100 per cent in May, citing unfair subsidies from the Chinese government to Chinese EV makers.
The U.S. also hiked tariffs on a lengthy list of other Chinese products including solar cells, computer chips, medical equipment and lithium ion batteries.Trudeau says Canada is looking at further measures, including computer chips and solar cells, to protect Canadian workers from “unfair” non-market practices by China.
This report by The Canadian Press was first published Aug. 26, 2024.
The Canadian Press