It's already happening, the US tariff on Indonesia is 32%, one of the highest one

If the initial response is negative, escalate. Starting at level 10 is counterproductive.
I never said it was a good idea, just trying to explain what I think might be going through his mind.
 
  • Like
Reactions: Bob
Tit for tat....
If Trump thinks he is going to win against Xi Ping, he is very wrong !


 
Trump blinked. Except for China, all reciprocal tariffs have a 90 day pause. I owe this to his wall street supporters falling away from him and that all those countries he was claiming that were contacting him to make deals never actually existed. 10% stays in place. He failed yet again. Trump was never concerned with the US economy, only his own when his investors start drying up.
 
Indonesia has agreed to pay 19% tariffs, and for the US to pay 0%.
Unfortunately the A team and probably the B team and C team from the Indonesian side were on holiday, and negotiations were handled by Mas Bambang one of the security guards at the ministry, just before he had to go sholat.
 
  • Dislike
Reactions: Bob
Indonesia has agreed to pay 19% tariffs, and for the US to pay 0%.
Trump has blatantly lied about tariffs so many times that some people have forgotten how they work, and you seem to have fallen victim to this. The exporting country doesn't pay the tariff, the American importer does (passed on to the American consumer).

American importers will be paying 19% on goods arriving from Indonesia. Indonesian importers will be paying 0% on goods arriving from America. Indonesian goods in America (clothing, coffee, palm oil) will become more expensive. American goods in Indonesia (aircraft, soy, some electronics) should become cheaper, but I wouldn't hold my breath.

This whole tariff thing from Trump is asinine, and I wouldn't say this is a good thing for Indonesia, but it's certainly a lot better for Indonesia than it is for America.
 
Trump has blatantly lied about tariffs so many times that some people have forgotten how they work, and you seem to have fallen victim to this. The exporting country doesn't pay the tariff, the American importer does (passed on to the American consumer).

American importers will be paying 19% on goods arriving from Indonesia. Indonesian importers will be paying 0% on goods arriving from America. Indonesian goods in America (clothing, coffee, palm oil) will become more expensive. American goods in Indonesia (aircraft, soy, some electronics) should become cheaper, but I wouldn't hold my breath.

This whole tariff thing from Trump is asinine, and I wouldn't say this is a good thing for Indonesia, but it's certainly a lot better for Indonesia than it is for America.
You are right about who pays the Tariffs. It gets me upset when I hear him Lie about how much Big Beautiful Money, all the Nations are paying to His Tariffs! It Really makes me sick when No one in the crowd says thats not True! The American Consumer Pays in the End! Why doesn't the press speak out when He lies like this to the Camera's? 🤷🏼‍♂️🤷🏾‍♀️
 
You are right about who pays the Tariffs. It gets me upset when I hear him Lie about how much Big Beautiful Money, all the Nations are paying to His Tariffs! It Really makes me sick when No one in the crowd says thats not True! The American Consumer Pays in the End! Why doesn't the press speak out when He lies like this to the Camera's? 🤷🏼‍♂️🤷🏾‍♀️
You sund like the news presenter frustrated to exasperation who tells his viewers to go to the window, open it and shout, "I'm as mad as hell and I'm not going to take this anymore."

 
American importers will be paying 19% on goods arriving from Indonesia. Indonesian importers will be paying 0% on goods arriving from America. Indonesian goods in America (clothing, coffee, palm oil) will become more expensive.
You are missing out an important part of the process. Indonesia will not be able to increase its prices by 19% because that would make them uncompetitive and buyers would buy the products elsewhere. They will keep prices the same as they currently are and the 19% will have to be swallowed by the Indonesian side as a hit to their profit margin, in other words the tariff will effectively be paid by Indonesia.
(Of course each supplier will have to decide whether to increase prices or not, depending on their market situation)
 
You are missing out an important part of the process. Indonesia will not be able to increase its prices by 19% because that would make them uncompetitive and buyers would buy the products elsewhere. They will keep prices the same as they currently are and the 19% will have to be swallowed by the Indonesian side as a hit to their profit margin, in other words the tariff will effectively be paid by Indonesia.
(Of course each supplier will have to decide whether to increase prices or not, depending on their market situation)
I very much doubt that.
I means cutting 19% from your NET margin....
They may swallow a bit of it, say 5%, but the rest will be at charge of the US importer, who can than decide to also swallow a bit if (lower this sales margin) but a big chunk will be paid by the final user.
Of course Indo exporters could decide to go through a 3rd country who has lower tariffs with the US.
China has been doing this since years through Vietnam !
Remember Trump's magnifient wall paid by the Mexicans...😂😂😂
All paid by US taxpayers!
 
  • Agree
Reactions: Bob
You are missing out an important part of the process. Indonesia will not be able to increase its prices by 19% because that would make them uncompetitive and buyers would buy the products elsewhere. They will keep prices the same as they currently are and the 19% will have to be swallowed by the Indonesian side as a hit to their profit margin, in other words the tariff will effectively be paid by Indonesia.
(Of course each supplier will have to decide whether to increase prices or not, depending on their market situation)
Correct finaly somebody got it. US is behaving as price-setter for purchased goods.
But this is the problem with US tariffs, if they work (and they could), it will be only in US favor and as a zero sum game.
 
Trump has blatantly lied about tariffs so many times that some people have forgotten how they work, and you seem to have fallen victim to this. The exporting country doesn't pay the tariff, the American importer does (passed on to the American consumer).

American importers will be paying 19% on goods arriving from Indonesia. Indonesian importers will be paying 0% on goods arriving from America. Indonesian goods in America (clothing, coffee, palm oil) will become more expensive. American goods in Indonesia (aircraft, soy, some electronics) should become cheaper, but I wouldn't hold my breath.

This whole tariff thing from Trump is asinine, and I wouldn't say this is a good thing for Indonesia, but it's certainly a lot better for Indonesia than it is for America.
Actually it is better for US than Indonesia.
 
I very much doubt that.
I means cutting 19% from your NET margin....
They may swallow a bit of it, say 5%, but the rest will be at charge of the US importer, who can than decide to also swallow a bit if (lower this sales margin) but a big chunk will be paid by the final user.
Of course Indo exporters could decide to go through a 3rd country who has lower tariffs with the US.
China has been doing this since years through Vietnam !
Remember Trump's magnifient wall paid by the Mexicans...😂😂😂
All paid by US taxpayers!
Transhipment goods trough Vietnam are 40% now.
 
You sund like the news presenter frustrated to exasperation who tells his viewers to go to the window, open it and shout, "I'm as mad as hell and I'm not going to take this anymore."

I loved this! If it would only happen for Real? Everyday now,We hear more and more of this Madness, and Nothing Gets Done! It's getting to the point it will become like the boy that cried Wolf. No one will listen Anymore and the boy gets Eaten! and Everyone will just droop their shoulders, and bow their Heads, and go back and live the Horrible life they Hate!
What if, like in this Movie, All the People of the World did more than just Shout How Mad they are? What if Everyone ( I mean Everyone All the Police, Soldiers Too) w, stopped paying fines, going to court, tore up their traffic tickets, Stopped Paying Taxes, and All Marched on their Capitols and demanded The Government Officials Make things Right or They all get thrown in Their Jails and Relocation camps, and Their Alligator Alcatraz. Like all the other leaders this happened too, They would grab their money, and Run like Hell to their Caves!
We have seen this already happen, but What, became of it? The Smarter Pigs took control, and it all went back to the Way it Was Before!
Does anyone on the Forum have any ideas, how to stop this Cycle of Insanity! Where just a few having all the Wealth, being the Rulers, and All the Rest groveling in the dirt, being the Serfs?
I for one want a decent life for All living beings on this Planet to live in Peace, and Harmony! 🙏
Is this Ever going to be Possible? 🤷🏼‍♂️🤷🏾‍♀️🤷🏾🤷‍♀️
 
No one has been talking about the actual good things that can come from these tariffs. The last two months the US has had a budget surplus instead of deficit. Given a few years to work and the deficit can be cut by $2.8 trillion or would you rather the US keep passing a larger and larger deficit on the next few generations? After an early nervous move, the stock market is back to record highs as well. All of this in the first few months but no credit where credit is due. He misses the ball on a lot of things but he may be actually doing something with this.


And a bonus story about how one of his worst detractors may be changing their tune.

 
You are missing out an important part of the process. Indonesia will not be able to increase its prices by 19% because that would make them uncompetitive and buyers would buy the products elsewhere. They will keep prices the same as they currently are and the 19% will have to be swallowed by the Indonesian side as a hit to their profit margin, in other words the tariff will effectively be paid by Indonesia.
(Of course each supplier will have to decide whether to increase prices or not, depending on their market situation)
That's not how it works. Indonesia keeping their sales prices the same and them swallowing the tarrif rate is contradictory. Indonesia sells for what they sell for to the U.S. buyer and the buyer pays 19% of that to Uncle Sam.
Indonesian sellers may reduce their prices some and American importers may reduce their sales margin some or the American consumer may pay all the added cost. We'll see.
It will be interesting to see the tariff rates on other countries selling the same goods as Indonesia.
 
Last edited:
Actually it is better for US than Indonesia.
It may be better for the U.S. Treasury but it won't be for the consumers. But giving Bezos and Thiel low tax rates has to be made up somehow.
 
No one has been talking about the actual good things that can come from these tariffs. The last two months the US has had a budget surplus instead of deficit. Given a few years to work and the deficit can be cut by $2.8 trillion or would you rather the US keep passing a larger and larger deficit on the next few generations? After an early nervous move, the stock market is back to record highs as well. All of this in the first few months but no credit where credit is due. He misses the ball on a lot of things but he may be actually doing something with this.


And a bonus story about how one of his worst detractors may be changing their tune.

Not convinced of the positive effects. This is essentially a tax on US businesses and consumers. Either prices stay the same and business performance decreases, or prices increase and consumer purchasing power decreases. None of this is good for the US Economy in my opinion, but we'll see, I'm no economist. But for me, it feels like increased taxes on businesses and the average joe, disguised as a nationalist policy.
 

Users who viewed this discussion (Total:0)

Follow Us

Latest Expat Indo Articles

Latest Tweets by Expat Indo

Online Now

No members online now.

Newest Members

Forum Statistics

Threads
6,583
Messages
110,650
Members
3,872
Latest member
kambing7878
Back
Top Bottom