Cuban implies Trump's tariff threat having negative impact 'right now'

[Native]

Source: The Hill

“Right now every company that imports from China is taking all the cash they can muster, and buying up as much as they can and stuffing it in a warehouse, in anticipation of the tariffs creating accelerated demand for imports,” Cuban wrote on the social platform Threads on Friday. “That money would have been used for expansion, raises, bonuses and other operational elements,” he added.

...
Trump has also floated a 60 percent tariff on all goods from China. Chinese authorities had told The Hill they don’t want a trade war and stressed the importance of the stability of global production and supply chains.

In his posts on Threads, Cuban warned that “on the flip side, companies that export are expecting retaliatory tariffs. So they are calling their Chinese buyers and begging them to do what American companies are doing, buying up all the can.” Trade and manufacturing experts have said Trump’s tariff threats are already having an effect on global supply chains.

Cuban suggested that this leads to “more sales,” though now they’ll have to “accelerate buying up all the components in the bill of materials,” which could lead to price spikes.
“This is all happening right now,” Cuban cautioned.

Read more: https://thehill.com/business/4982216-cuban-implies-trumps-tariff-threat-already-having-effect/

[badhair77]

1. Cuban has a point. I'm watching my money more closely, as of Tues.

I’ve decided I’m spending what I need to spend, some home maintenance things I want to do, but that’s it. No extras unless I really want them after close deliberations. I may need that money for necessities down the road. trump’s crazy decisions can affect my savings, my health care coverage, my pension, etc. who knows what might disappear courtesy of trump.

[Native]

2. there were posts all over social media yesterday about employees being told no holiday pay, no bonuses, and, "Oh

be prepared, we may have to move the business to Mexico (etc)." So many people don't understand how commerce works. Businesses don't wait around to see what's going to happen. They prepare for possibilities and eventualities among other things.

I think it would also be smart for consumers to purchase any big ticket items they think they're going to need before prices go up.

[badhair77]

3. I didn't think about big ticket items. 😡

My appliances are old so I wanted to replace them when I replace the flooring. We could end up with that exorbitant prices and that supply mess we had right after trump left. Grrr . . .

[Native]

5. i think im gonna bite the bullet and get a new washer and dryer.

I hate to spend the money, but I'll hate spending it later even more I'm sure.

[badhair77]

9. Probably smart.

[Mawspam2]

4. Bought a 'New to me' used car last week...

...in anticipation of used car prices spiking when new cars become unavailable.

Now I'm hoarding every spare dollar for the next four years.

[Native]

6. Smart thinking!

[JI7]

7. What happens if he doesn't do it ?

[Native]

8. Well we certainly know that the companies won't lower their prices much and they certainly won't give their employees

Retroactive bonuses

[LetMyPeopleVote]

10. The threat of Trump's tariffs is already impacting how businesses operate, steering money away from bonuses and raises

Link to tweet