But the tariffs are paid by American. It is tax on Americans. Why would foreign country care too much other than the price of their goods are a little higher for americans.
People will have to still buy essential products anyway or suffer clogged drains or sit on the floor without chairs or eat with hands without utensils.
In fact, I raised prices on my digital goods a while back due to trump threats of tariffs on Canada Mexico. i raised prices only on US platforms for my digital products. People are still buying.
There are a lot of complicated reasons why high tariff are a global problem in a global economy, but simply put:
High tariffs raise prices
High prices reduce sales
Fewer sales reduces profit
Reduced profit for a single company or industry isn’t usually detrimental to a national or global economy. But when an entire country’s economy is hit with reduced profits across every industry, then it creates a problem.
So in summary, Americans are going to get fucked directly, “foreign countries” are going to get fucked indirectly.
I am not affected by tariffs, but I am going to further raise the prices of my digital goods on US platforms anyway. Because i noticed people buy anyway when i raised prices earlier this year.
my impact is extremely tiny, but if everyone does it, especially for essential products sold to US. This might help a nation as a whole compensate for loss of revenue in other industries affected by tariffs.
Most people in US will think the higher prices for everything are due to tariffs.
Edit : Note that my prices on platform based outside of US are kept much lower, Americans do buy from there. It is only on US site that I raise prices.
Eh, what do you sell and on which platform? I'd like to avoid you, firstly, and secondly, knowing that will give me an idea of what to tell you to expect.
I'm buying less these days. Going on less vacations. Picking up fewer wants, and limiting my purchases to needs. Reducing the amount of money I spend. I am seeing it as more money is going into savings now than when Biden was POTUS. Gonna need to do that because everything's about to get more expensive. I need to get used to doing more with less, because otherwise, I'm going to take it right in the chin. As will many of my American counterparts.
You might escape scott free. Or you might not. Your country likely is tariffing everything from the USA, and the USA is likely tariffing you as well. You might find fewer people buy your stuff because not ONLY has the US tariffed money out of your buyers, you're exploiting them as well, meaning they get double hit. While it's your right to set your price to what you want, don't be surprised if your sales take a hit. Also, it's a very douchebag move to take advantages of your customers...just like what the Shitgibbon would do, so I do hope your customers look elsewhere for their sales. Too bad we as Americans don't have that luxury to avoid tariffs.
Even if I sell less it doesn't matter, the higher prices makes up for it. I don't need to sell much at higher price. People buy my stuff usually to save time, they are trying to meet project deadlines. As long as it is cheaper to buy instead of building it themselves which might take days, weeks they are still saving time and money.
Note that I raise prices on US platform only. My prices on site based in Europe (Lithuania) is much lower (American can buy from there if they bother to search, I do see US customers IPs on my sale stats), If you really want to talk about greed and douchebag-ness it is the US platforms that are super greedy they are taking more than 60% from each of my sales. While the Europe platform only take 30%. So I could care less if I lose sale on the US sites, I prefer if my customer buy from europe site instead.
I see you avoided answering my question, so it's a lot harder to give you hard facts, but let's look at a hypothetical purchase in Lithuania.
First, you don't seem to understand how tariffs work. We don't pay tariffs on exports. We pay it on imports. Let's say you sell a widget from your page for $10. To get it into the USA, I'd have to pay you $10, and Uncle Sam $2. Doesn't matter how much you sell or don't sell. The shitgibbon has demanded his 20%, and so if I were to buy something from you, I'd have to give $0.20 for every $1.00 I give you.
But that's just the start of the hurt. European Union countries are likely to tariff us back. So if you order your raw materials from the USA, your own country is gonna be standing there with its hand out. That 4.56 EUR you were going to pay a US company also has a 0.91 EUR extra charge added to it by your country. So you raise from $10.00 to $11.00 to make up that extra 0.91 EUR...which then means I have to pay $2.20 to the Shitgibbon, pushing my price up to $13.20 US, JUST so you can still make your profit target.
Some countries are mulling export taxes as well. Ontario, for example, is putting a 25% export tariff on electricity shipped to the northern US. If Lithuania decides that widgets need a 20% export tariff, now, suddenly, your 10.04 EUR item now has Lithuania holding its hand out looking for 2.00 EUR. You're not gonna want to eat that, so your price needs to increase so you get the same profit as before. Let's say...13 EUR to make up the tariff margin (you end up giving 2.60 EUR to Lithuania, and are still giving 5.47 EUR to your supplier, leaving you with 4.93 left over), and now I'm paying $14.21 plus $2.84, for a total of 17.05. And this is all before you start talking about charging me even more.
Digital products may currently escape this, so if you're offering software or PDFs or NFTs or whatnot, you might indeed be not worried about the immediate nonsense going down.
I have no problem with you if you're raising your prices on platforms that take a bigger cut of your sales. I'd suggest you shop around for better platforms, and nothing says you have to use US platforms. I'd support you on an EU platform if that meant I paid less and you got paid more. It just seemed you were saying you were going to target Americans more just 'cause. We didn't all vote for the Shitgibbon over here.
As for your last three paragraphs? Yeah. "Preaching to the Choir" is what I'd tell you on that. Yes, the tariffs are stupid. And Trump is golfing while the economy burns.
You only asked a 2 part single question to find out which platform to avoid, you obviously know it would not be answered. I need you to pay the higher prices, not avoid the platform. Since you want to **avoid **the platform I **avoid **telling you, we both avoid so it is fair.
Your explanation shows that you finally understand tariffs.
Yes it is all about **upsizing **the impact on US and reducing impact elsewhere. Voting for tariffs clearly shows that majority of US citizen and government loves to pay more tax for foreign and local goods.
You are right digital product/services escaped this for now, this means they might be affected in the future so based on your good advice I would have to raise prices for US so as to build up the buffer to weather the potential tariffs on digital goods/services.
To help the non-US people, penguins and seals, I give discount vouchers to non US customers to help them further reduce cost outside US.
I don't need to shop around, I have mentioned my products are on other platforms.
I would still put my product on that US platform and others, for the advertisement and to pull non-us customer away from them to a better deals elsewhere but some users are willing to pay the higher prices so let them pay. willing buyer willing seller. it is not going to bankrupt anyone don't worry. Note, I am also raising rates for US clients for digital services too not just products. Need to build the buffer.