June 1, 2019

TAX WHAT AOC DOESN'T WANT:

DONALD TRUMP'S WAR ON CARS IS PUSHING THE US CLOSER TO A RECESSION: New taxes on Mexican goods would be the latest blow to automakers, and would come at a precarious time (Sean O'Kane, Jun 1, 2019, The Verge)

The tariffs are on "all goods" coming to the US from Mexico, but they'd likely hit the auto industry hard. If they escalate to the 25 percent cap Trump proposed, and the automakers absorb the entire cost so as not to pass it onto consumers, it could cost General Motors (GM) $6.3 billion, Fiat Chrysler Automobiles (FCA) $4.8 billion, and Ford $3.3 billion, according to a Deutsche Bank estimate. While it's unlikely that automakers will eat the entire cost, the figures help explain what's at stake. By the end of Friday, the threat of the tariffs alone had already wiped out about $17 billion of market value from the world's biggest automakers.

It is the Green New Deal.

Posted by at June 1, 2019 3:29 PM

  

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