China may not be as easy to bully as Trump thinks:
Yes, because my gasoline comes by barge from Canada.
Just let the world burn!! See if I care, as long as it doesn’t stop MY gasoline that comes by barge from Canada. (with 25% tariff added on the pump price)
No point in going nuts over what Trump says; most of it is all bullshit that he never does.
25% tariffs immediately become, maybe next month or the month after. If it would hurt big US companies, then it becomes this and that are exempt.
A 10% tariff on wholesale Canadian energy might become an additional 20-30 cents a gallon to the price of gas and oil in places that are supplied mostly by Canada, but will have trivial effect on most of the US. Gas is relatively cheap right now (adjusted for inflation).
A 25% tariff of the wholesale price of Chinese goods at Walmart? Walmart probably has a 300% markup, if they pay $100 for something, then they sell it for $300. (Retailers make money on 50% off sales). Walmart will probably increase the retail price by 25%, but if people stop buying, Walmart can easily afford to eat that 25%. They have a huge markup and can afford to make a little less gross profit.
The stock market is way overvalued and long overdue for a big correction. A correction needs to happen (and will happen) anyway. Maybe Trump will accelerate it a bit.
Consumers and the US Government are over extended with debt. Cutbacks on spending by consumers and Government must happen.
Will that bring on a recession? probably. Just the typical bust and boom cycle.
We have seen a recession coming for five years. It’s no surprise. We should be ready for it.
Warren Buffet says “When others are greedy, be fearful, and when others are fearful be greedy.” He is sitting on a huge pile of cash (being fearful) waiting for the big market correction and recession that he sees coming (then he will be greedy) and buy cheap with that big pile of cash.
Trump may do some things economically that are painful in the short term, but we will get through it.
The only way this makes sense to me is if Maersk is getting out and CMA/CGM buys their business/takes over the MSP slots.
We’ll see, but I’ll believe 20-30 ADDITIONAL US flag contain ships when I see it.
1 Like
This will not add any ships to the USMM fleet, but it is the first sign that even tanker owners/operators are reacting to the planned port fees:
DHT is a New York-listed company, with corporate Hq in Bermuda and operate through integrated management companies in Monaco, Norway, Singapore, and India: