Comment on Trump says he plans to put a 100% tariff on computer chips, likely pushing up cost of electronics

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arcterus@piefed.blahaj.zone ⁨11⁩ ⁨hours⁩ ago

Pretty sure that's their point. Say a product costs $100 dollars with no tariffs. If you import the product from the EU with a 15% tariff, it's now $115 with tariffs (assuming no tariffs importing the chips into the EU). If you manufacture the product in the US, you need to pay 100% tariffs for all the chips. Obviously thr impact depends on how much the chips cost relative to the entire product, but if the chips are half the cost ($50), then with a 100% tariff you're now paying $150 for the product manufactured in the US.

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