He raised tariffs illegally by 10% for most countries immediately, which triggered a bunch of negative economic effects around the globe in those countries directly tied to the illegal raise of those tariffs by who represents the United States of America.
Damages have to be paid to those countries and their companies.
Because those costs occurred from an illegal action. We do agree that if you do something the highest court has deemed illegal, if it caused damages to any party as direct result of that illegal action, the entity who suffered those damages should be entitled to claim damages, right?
A lot of companies had to deal with the same problems.
You can’t really plan exporting into a country that raises different amounts of tariffs basically over night depending on how his majesty, the king of the free world has slept the night before.
Someone needs to plan with the new realities, workers need to put in more hours, external expertise needs to be hired, all costs have to be evaluated, partners in the US might no longer be able to clear their inventory, new business terms need to be negotiated.
Don’t get me started about the Logistics troubles, but all of the above are costs which wouldn’t occur if the president had gotten legal advise from the Supreme Court about his economic plans before he did something illegal. Right?
So do you follow the law?
If yes, your conclusion needs to be that the president needs to write a lot of Cheques and probably needs the autopen. Because it weren’t only us importers and customers suffering from the presidents illegal action.
American citizens and American importers are not foreigner countries.
Don’t propagate or fall for trumps repeated blatant LIE that foreign countries pay tariffs.
They are direct taxes on Americans and American importers, the exporter does not pay it.
Please learn a bit about the incidence of taxation: https://stantcheva.scholars.harvard.edu/sites/g/files/omnuum... The main models supporting your view is where consumer income is exogenous and all firm profits are redistributed to the representative consumer as a lump sum transfer: https://www.ief.es/docs/destacados/publicaciones/revistas/hp...
Please avoid simplistic beliefs and moral outrage for things as complex as trade policy. The people who say that the incidence of taxation falls heavily on sellers may just be better informed, particularly when listening to wall street earnings calls while simultaneously looking at the consumer price data.