U.S. tariffs on Chinese goods didn’t bring companies back to the U.S., new research finds

https://www.msn.com/en-us/money/markets/u-s-tariffs-on-chinese-goods-didn-t-bring-companies-back-to-the-u-s-new-research-finds/ar-AAOH2iv?ocid=msedgntp

On 23/9/2021 5:33 am, Rusty Wyse wrote:
> U.S. tariffs on Chinese goods didn’t bring companies back to the U.S., new research finds
>
> https://www.msn.com/en-us/money/markets/u-s-tariffs-on-chinese-goods-didn-t-bring-companies-back-to-the-u-s-new-research-finds/ar-AAOH2iv?ocid=msedgntp
>

From it, the tariff costs on imported Chinese goods did pass through to
US consumers.

It did raise the consumer costs in US. It means it has been absorbed
into the US consumer price.

There was no street protests for the high cost paid by them. It showed
the inflated cost is well absorbed by consumers in US.

Perhaps, the higher tariff costs passed through to US consumers is nit
significant enough to be felt by US consumers.

This could be because the wages have also gone up. Hence, the rise in
price is not painful to them.

Also, US consumers did not feel it as concurrently there is a rise in
inflation in many key prices of key things.

Such key things are in the purchase of houses and cars, household white
good things, regular foods and house necessities, school expenditure,
and medical items.

Henceforth, the impact of the tariff imposed on imported goods from
China did not cause US consumer to reject it.

It shows that over time, consumer will absorb into it, when they need to
buy the products, etc.

Therefore, individual consumers in the US did pay a higher prices for
imports from China.

Such imposed costs on imported products have now proven that it does not
work to reduce the import of goods from China. It also does not reduce
demand by US consumers.

On the other hand, US consumers would buy at a higher price if and when
they need the item of the imported product.

Henceforth, from the analysis of the report, it would appear that
China's manufacturers could and should raise its production and
manufacturer prices.

This is to overcome their overwhelming rise in prices in material
prices, cost of water and electricity utilities, and staff salaries and
labor wage prices.

Their Chinese property prices have gone up substantially that it now
becomes a financial burden to most young people from buying it for their
set up of family.

A rise in concrete and cement, and other construction materials and
raised labor costs.

The high inflated land cost is a key moving cost for consumers as the
housing developments had raised their prices of the properties.

Henceforth, it is time for China to pass its increased manufacturer and
production prices to the export consumers and not their domestic
consumers, instead.