• marsokod@lemmy.world
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    10 months ago

    It means that U.S. automakers find it cheaper to have their vehicles made in China and then import them in the U.S., rather than make them directly in the U.S. in the first place.

    This means that manufacturing in China is so cheap that even with the tariffs, it is more cost effective to go there. If your goal with the tariffs is to level the game, then this should not happen (no one would relocate like that unless there is a massive gain).