Official statement on US EU tariff deal

INEOS AUTOMOTIVE CEO STATEMENT FROM LYNN CALDER FOLLOWING EU-US TRADE AGREEMENT - INEOS Automotive Media

media.ineosgrenadier.com

 

[DaveB]

If a country was Great, why did it stop being or did it not? Leaders? Some just hit the pause button for a while, what have we got another few years

Australian debt used to go up when Labor government in and then a Liberal Government worked to bring it down
Now it seems every Government wants to right dodgy cheques.
We had our finances under control until the GFC hit, then Labor decided to hand out cash like they won at the pokies.
I am neither fixed as Liberal or Labor voter as both parties have had some real dogs in charge over the years.

Figure 1 Australian Government total AGS on issue (gross debt) and interest paid​

Source: Australian Government, Budget Strategy and Outlook: Budget Paper No. 1: 2022–23, p.348.

This graph shows that Australian Government debt fluctuated around 20% of GDP from the early 1970s to the mid-1990s with one period of substantial falls in the late 1980s. Government debt then trended down between the mid-1990s and the GFC in 2007–08, as the Howard Government prioritised debt repayment and budget surpluses. From 2008–09 in the wake of the GFC and associated government economic support packages, government debt has steadily increased as a ratio to GDP, with 2018–19 the only financial year over this period which saw a fall in this measure. The 2022–23 Budget forecastsgovernment debt to increase over the next few years before falling slightly in 2025–26 (p.348). In dollar terms, gross debt is forecast to increase to over a trillion dollars in 2023–24, reaching a peak over the forward estimates of $1.193 trillion in April 2026. While current and forecast debt to GDP ratios are high relative to recent history, they are still well below the peak reached following the Second World War of over
120% of GDP (p.8) (see Figure 2).

Figure 1 Australian Government total AGS on issue (gross debt) and interest paid​

Source: Australian Government, Budget Strategy and Outlook: Budget Paper No. 1: 2022–23, p.348.

This graph shows that Australian Government debt fluctuated around 20% of GDP from the early 1970s to the mid-1990s with one period of substantial falls in the late 1980s. Government debt then trended down between the mid-1990s and the GFC in 2007–08, as the Howard Government prioritised debt repayment and budget surpluses. From 2008–09 in the wake of the GFC and associated government economic support packages, government debt has steadily increased as a ratio to GDP, with 2018–19 the only financial year over this period which saw a fall in this measure. The 2022–23 Budget forecastsgovernment debt to increase over the next few years before falling slightly in 2025–26 (p.348). In dollar terms, gross debt is forecast to increase to over a trillion dollars in 2023–24, reaching a peak over the forward estimates of $1.193 trillion in April 2026. While current and forecast debt to GDP ratios are high relative to recent history, they are still well below the peak reached following the Second World War of over 120% of GDP (p.8) (see Figure 2).

 

[AWo]

Hey @AWo, how has the “deal” been received by the German car and auto parts industry?

Mainly not so good, according to the news, the media and the associations.

They vary between angry and relief. Depends on their market position, car type and presence in the US. It is fine for German cars produced in the US and send to Europe.

The DAX went down first, next morning it went up, but as more details were revealed over the day, it went down again.

However, no one fears and expects that the big US car types will flood Europe. They do not fit the taste and use cases of most people here. They're too big for our cities, homes, parking lots and many are not allowed by legislation (emissions). If the US car industry stop their emission reduction the cars are not allowed to drive here, will not even have a chance.

750,000 Cars went from Europe to North America, 165,000 from the US to Europe in 2024. That includes car models from German manufacturers in the US.

AWo

 

[AWo]

Exactly
People seem to read what they want, or in dumbarses case he hears and says what he wants.
The agreement has to be ratified/agreed by the member countries.
There is also a huge list of exemptions that get 0%

I saw a post yesterday where some idiot was bragging how dumbarse has already collected $27 Billion in tariffs and has cleared the national debt.
Misses two important points

1. US National debt is over $35 Trillion
2. If true(doubtful) the $27 Billion in tariffs can only be collected/paid by US companies or citizens. Even if those companies are subsidiaries of an overseas company.
   1. The company either takes a hit and makes less profit, risking it's commercial viability, or pays it and passes the extra cost on to the consumer.

The only way a tariff can help is if it increases the cost of cheap imported goods to make the more expensive, locally manufactured equivalent more competitive.

I definitely agree with Trump that the US National debt is a serious situation and needs to be dealt with.
The main reason the countries of the world don't want the US economy, therefore value of $USD to fall, is because the US owes them Trillions of dollars.
If US goes down then th debt bonds will be worth a lot less.


View attachment 7903371View attachment 7903369View attachment 7903370 View attachment 7903372

And tariffs do not increase overall wealth of a country, as it means the countries own money just circulates and move from one local pocket to another.
You can only increase overall wealth but getting foreign currency. And that can't be done by tariffs.

AWo

 

[bakepl]

View attachment 7903289

Does this mean no more u.s. chicken tax on ute's?

 

[AWo]

Does this mean no more u.s. chicken tax on ute's?

Explain, please? What do you mean?

AWo

 

[bakepl]

Explain, please? What do you mean?

AWo

1964 'chicken tax' imposed by Lyndon B Johnson on euro goods including light trucks in response to euro tax on..... u.s.chickens... chicken tax...

 

[Tazzieman]

Explain, please? What do you mean?

AWo

Wiki fact : The French government banned U.S. chicken and raised concerns that hormones could affect male virility.

 

[bakepl]

Wiki fact : The French government banned U.S. chicken and raised concerns that hormones could affect male virility.

Akin to u.s. beef concerns......

 

[AWo]

Does this mean no more u.s. chicken tax on ute's?

Tax is not a tariff.

AWo

 

[Tazzieman]

Tax is not a tariff.

AWo

Tariff was a long word that most people didn't understand (still don't!) in 1964. But they all knew about the tax man .

Chicken tax - Wikipedia

en.wikipedia.org

 

[AWo]

The announcement was that US cars can enter the European Union without a tariff. European cars receive 15% tariff when they enter the US.

Tax is something different. Sales to private customers (B2C) are always with tax, to companies providing a VAT number (B2B) without tax. Taxes vary between the countries. When I sell to Norway, for example, which is not part of the European Union, I need to check lists. There are products free of tax, while others are not.

The easy and short form is (but it can become more complicate):
Do I sell to a private EU citizen, I need to apply the German VAT tax (19%),
Do I sell to a company within the EU which provides a VAT ID I do not apply a VAT tax.
Do I sell to anybody not an EU citizen I do not apply a VAT tax.

A tariff is applied always and it has to be payed when entering the country to the local customs officials by the buyer. When I buy something in the UK I pay a tariff (which is as high as the VAT). As long as I sell a product, I have payed VAT for, to customers, I get the VAT I paid back from the tax office. I do not get back a tariff. That is just a simple explanation. In reality it is far more complicated. That's why I do most of my business within the EU. I only sell to the outside of the EU in special cases. However, the UK is different, there we have established delivery chains, so I regularly sell to the UK.

AWo

 

[Zimm]

To the customer, the tariff is a form of flat tax.

The goal for the past 50 years of the right has been to move the US government to a model where wealthy elites control the major branches and don't pay any of the taxes. Abortion? Debt? Immigration? heritage? All just the shiny keys to dangle in front of the racist morons that will gleefully vote against their own interests to feel like they have relevance. The laughable farce of "trickle down' economics helps achieve that goal, by convincing the gullible masses they will benefit with handout jobs by cutting taxes on the wealthy, when in reality it creates a debt burden that straps the discretionary income of the lower classes. Money is power, The .01% keeps theirs, and you expend yours. What does a tariff have to do with this? Trickle down has been squeezed and is about out of juice. Next step is to eliminate the graduated income tax completely and put in a flat tax, to codify the monetary cast system. Not Income tax mind you, but goods and services. Get rid of all of the internal functions government departments that provide for the public good, and parce them out to the wealthy corporations that will act as "pay to play" gate keepers. Highway? Fee. Weather service? Fee. SSI? Fee. Get rid of all public institutions and everything has a fee. If bread is 50c and a buck with tax and we each need a loaf to live, and I have two bucks, but elon has one million bucks, after we eat 1/2, of my expendable income (power) is gone, but elon doesn't even notice he bought anything. The tariff takes a whole class of products, and places a flat tax on them that all pay, but leaves the poor with less money and the rich with more. Notice we now have tariffs to raise money, and a tax cut for the uber wealthy. The average guy got nothing. It's just the next tiny step in the progression back to Edwardian England.

It's all part of the great wealth transfer scheme.

Yea, I know, next election we'll get them right? Well yesterday the Senate confirmed Emil Bove, a full trump acolyte to a senior court position. He's his criminal defense attorney. He denys J6, encouraged the justice department to ignore court rulings, and wants a third term for Trump. The law is a tool to be used to break people or worked around. Due process is only for those that can pay the fee. They want him on the Supreme Court, and have been encouraging Thomas to consider his age. Thomas, that loyal fool, for his own welfare should listen. Autonomic nervous system heart attacks happen.

NATO Europe, Take that 5% commitment, add 5% to it, build up fast, and break Russia while there is time because you have a second front brewing. Youre leaving Puitin oil for Trump controlled CNG. Whats the long term prognosis for that? Democracy existing anywhere on the planet is a cancer demogoges cannot afford to abide.

 

[LC0013]

If a country was Great, why did it stop being or did it not? Leaders? Some just hit the pause button for a while, what has the dumbarse got another few years?

Lots of reasons for some countries to lose their greatness and leaders would be some of that I suppose. Sometimes it seems like a revolving door where you just wait your time to get back in. Real question is why some countries have never been great.

 

[LC0013]

To the customer, the tariff is a form of flat tax.

The goal for the past 50 years of the right has been to move the US government to a model where wealthy elites control the major branches and don't pay any of the taxes. Abortion? Debt? Immigration? heritage? All just the shiny keys to dangle in front of the racist morons that will gleefully vote against their own interests to feel like they have relevance. The laughable farce of "trickle down' economics helps achieve that goal, by convincing the gullible masses they will benefit with handout jobs by cutting taxes on the wealthy, when in reality it creates a debt burden that straps the discretionary income of the lower classes. Money is power, The .01% keeps theirs, and you expend yours. What does a tariff have to do with this? Trickle down has been squeezed and is about out of juice. Next step is to eliminate the graduated income tax completely and put in a flat tax, to codify the monetary cast system. Not Income tax mind you, but goods and services. Get rid of all of the internal functions government departments that provide for the public good, and parce them out to the wealthy corporations that will act as "pay to play" gate keepers. Highway? Fee. Weather service? Fee. SSI? Fee. Get rid of all public institutions and everything has a fee. If bread is 50c and a buck with tax and we each need a loaf to live, and I have two bucks, but elon has one million bucks, after we eat 1/2, of my expendable income (power) is gone, but elon doesn't even notice he bought anything. The tariff takes a whole class of products, and places a flat tax on them that all pay, but leaves the poor with less money and the rich with more. Notice we now have tariffs to raise money, and a tax cut for the uber wealthy. The average guy got nothing. It's just the next tiny step in the progression back to Edwardian England.

It's all part of the great wealth transfer scheme.

Yep, manifesto of the Democrat Socialist Party aka DNC and they understand that extremely well while their idiot supporters well, not so much. I could go on but, you would not understand.

 

[Fab]

Yep, manifesto of the Democrat Socialist Party aka DNC and they understand that extremely well while their idiot supporters well, not so much. I could go on but, you would not understand.

Please go on, otherwise no one will understand.

 

[Roach]

I thought this was an auto forum?

 

[Loc Nar]

I thought this was an auto forum?

Sometimes it's autocratic.

 

[Roach]

Can this brand afford an increase?