wilber1 wrote:
It certainly doesn’t with Western European Countries and Japan. That’s why you won’t see them lifting tariffs.
The Chicken Tax may have been instigated by the UAW but US manufacturers have been enjoying the advantage it gives them for the past 46 years.
Many of these trucks are not built in those two locations, and are built elsewhere. Many(if not all) are built in South America for the American markets. Even the Toyota Hilux is built in Argentina where the laws and regulation of Western European Countries or Japan do not apply and can be built much cheaper than in the US.
The UAW is the main beneficiary of the chicken tax. The big three still had competition from Nissan, Toyota, Mazda, Mitsubishi, VW, Isuzu, and Suzuki at one point in time during those 46 years. Many of those makes would have had the advantage of building vehicles for a lot less cost than we can in the US due to our laws and regulations.
Similar to how Chinese products are cheaper than US products(even with a tariff) because they do not have to follow these same regulations. Hence the reason why manufacturers leave because it is cheaper to build elsewhere.
If I were president, instead of a tariff I would probably consider forcing all imports to follow the same labor and environmental laws that we force upon our companies as well as equivalent pay. That would probably even the playing field a little better.
