I was watching Fox Business News this morning and Stewart Barney reported that he was told by someone in the administration that President Trump was going to take to the 15 billion dollars we have/will receive from China on tariffs of their products coming into our country and buy the grain inventory that China usually buys. Then we will give that commodity to poorer nations to feed the masses. This plan will pay the farmers that depend on the grain sells to China for their lively hood plus feed hungry people throughout the world.

Sounds like a great plan that will help a lot of people in need. What do y'all think of this plan?

Have you read about China’s pork industry?

I'd like to see us start here at home, like feeding and housing our homeless veterans before we start feeding the world.

What a lot of people fail to understand; is that China (or any other tariff imposed country) does not actually pay the tariff. The US importers pay the tariff to the US Treasury Dept. So in actuality, all the low to medium income families who spend the relatively higher percent of their income on imported goods, pay the tariffs, who are now funding the humanitarian effort that benefit the farmers. That's a lot of round and round and I'm pretty sure there are no bureaucratic middleman to cut into the funds. The money has to go somewhere, but my point is, China ain't paying diddlyshit.

Sounds a lot like global welfare. Get their belly full and they will screw more and have more babies, who is going to step forward to free feed them in the future?

You darn right! This has always pissed me off, we have starving men, women, children on our doorsteps, and folks are more concerned with taking care of the world, or feeding and housing illegals

Yep - the consumers are footing the bill.

To be honest...more government subsidies is what it sounds like to me.

To me the whole idea of a tariff is to persuade Americans not to buy Chinese products. To buy American if possible. I remember when Yamaha introduced their V-6 outboards. They were cheaper than American until a tariff was added, to protect Mercury and OMC.

That's not exactly how it works on the tariff.

The importer... only some of which are U.S. based companies (who may still be owned by China, BTW), a lot of which are direct Chinese companies...

They either pay the tariff and/or cut their operating costs to remain competitive, source the product from outside China, ask China for a discount to offset the tariff, etc.

Only 1 option is to pass the tariff directly onto the American Consumer dollar for dollar at which point all these other factors weigh into that decision. They can't just walk into Wal-Mart and mark everything up 25%. That's just not how that works.

Will it result in higher prices on some products. Yes. That's a fair statement but not a fair blanket statement.

Look at it this way... First it was Wal-Mart now it's Dollar General. These are the companies that have taken advantage of the economic policies for consumer goods. Dollar General is putting more Mom and Pop places out of business than people realize. It's basically a really big corner store to me. They are putting small grocery and mini-mart type places out of business left and right in small small town America. Wal-Mart already took care of the bigger competition.

It's not good. We are addictied to cheap Chinese goods. The low cost means people can get by on a lower wage.. which means corporate America doesn't have to pay you as much to work, coupled with a lower interest rate environment means they pay you even less. They don't make it on U.S. soil.. so even fewer jobs.

Everything is intermingled.

Agreed. Take care of home first and everything else 2nd.

same....seems as though the optics aren't as good for in-country benevolence, though

Yes. If they can't get the African Swine Flu under control, the price for pork will jump through the roof. The US and Brazil cannot export enough pork to feed the Chinese people. Some Chinese pork producers wake up and find half their herd has died overnight.

You all realize the reason why we rely on China to buy our grain is b/c our farmers already produce more than the US market demands and consumes, right??

Somebodies gotta feed the world. Might as well be us

dad always said we taught the world to farm, too well!!

Are we overproducing at this point, though?

I thought I read a report not long ago that there were record amounts of grain in storage across the globe...so much so that some grains were simply being piled up and covered with tarps on decommissioned airport runways and such.

Were only one drought away “or prevent plant flood” away from working that surplus away. It would stupid to not have surplus.

This is a good read from El-Arian:


https://www.cnbc.com/2019/05/20/moh...-a-reagan-moment-for-trump-on-china.html


>>This is a trade war that was started by China 25 years ago.
>>It is a must win war for us.

We will come out the other side much better off when Trump wins this thing.
And I am confident in a big win.

That's exactly how it works on the tariff. The exporter doesn't pay any tariff, the importer does; all three of those options you provide do not eliminate the importer paying the tariff. That's what people don't understand.