Excellent article, REINHEITSGEBOT! Most Americans have no idea what's about to hit us as a result of Trump's tariffs.
The guy runs a company that does shipping logistics for 13,000 companies, many of them small American businesses.
He knows what he's talking about.
This time, Petersen is explaining to anyone who will listen why hefty U.S. tariffs on Chinese imports could be catastrophic for America's small businesses.
"If they don't change the tariffs, it's going to be an extinction-level, asteroid-wiping-out-the-dinosaurs kind of event," he told me. "Only these aren't dinosaurs. These are dynamic, healthy businesses."
If the tariffs on Chinese goods continue at this rate, he says, thousands of American companies will fail and millions of employees will lose their jobs.
But since the tariffs took effect, ocean-freight bookings from China to the U.S. have dropped 60%, Petersen says. In response, containership operators are shrinking their boats and canceling trips altogether. It takes a while for downstream consequences to flow through the system"but logistics nerds can look at the data on their screens and see into the future.
If tariffs continue at this rate, Petersen says, it's only a matter of time before that asteroid hits.
But since the tariffs took effect, ocean-freight bookings from China to the U.S. have dropped 60%, Petersen says. In response, containership operators are shrinking their boats and canceling trips altogether. It takes a while for downstream consequences to flow through the system"but logistics nerds can look at the data on their screens and see into the future.
If tariffs continue at this rate, Petersen says, it's only a matter of time before that asteroid hits.
www.wsj.com
And for right wingers blaming Democrats for manufacturing moves to China, they should read up on the 2002 Bush tax cuts and learn how companies were given large tax incentives to move their manufacturing offshore.
