Quote:
Originally Posted by Tools
In the early 1900's the US Congress passed the 16th amendment that allowed them to levy previously unconstitutional taxes on income.
Income taxes have skyrocketed as the income from tariffs was reduced to encourage trade with other countries.
Since then, tariffs have become lopsided against the US and income taxes have gone off the charts.
Tariffs are not new and should be balanced so US workers and businesses can compete on the world stage.
|
I own a handful of consumer brands based out of the US.
If tariffs aren't reverted by mid-next week, we probably have to fire ~10% - 15% of the people at our portfolio brands. We are in consumer, and obviously we can't just increase prices massively overnight and have it work well. We have to go into cockroach mode.
BTW - one of them manufactures in the US, but our raw ingredients, our machiens, etc... are ALL IMPORTED. You can't buy these things in the US - they simply are not available lol
And our businesses have less than ~$100m in revenue. We can't afford to spend $10m to set up new supply chains overnight in the US.
Cool idea, but not practical.
Many small businesses will be wiped out. They dont have massive liquidity buffers. Your avg consumer brand NETS 10% - 15%! Nobody is sitting on enough cash to quickly boot up ops in the US.
I've also set up ~3x+ factories in the US for some of our other portfolio brands. It's REALLY HARD and expensive! It took ~2 years of planning @ 1 co lol...