this post was submitted on 28 Jan 2025
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Trump to impose 25% to 100% tariffs on Taiwan-made chips, impacting TSMC (www.tomshardware.com)
submitted 2 days ago by [email protected] to c/[email protected]
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[–] [email protected] 18 points 2 days ago (2 children)

“They already have billions of dollars. […] They did not need money. They needed an incentive. And the incentive is going to be they [do not want to] pay a 25%, 50% or even a 100% tax."

What does he think taxes are. An administrative burden to doge?

[–] [email protected] 14 points 2 days ago (1 children)

He still does not understand how tariffs work. By that statement he honestly thinks that he will take a 25% cut of what is paid to TSMC, rather than the fact that the price of TSMC chips will go up 25%, and that extra 25% has to be paid by an American company.

[–] thatKamGuy 7 points 2 days ago

It’s might be even worse then that; if something costs $1000 currently, with a 25% tariff could it not end up costing 33.3% more ($1,333), so that after the 25% tariff, the value returns to $1000?