Comment on Do people really think setting up domestic manufacturing in the USA is easy?
humanspiral@lemmy.ca 6 days ago
If Nike shoes go from $200 to $300 from tariffs, there is a big opportunity for crossborder shopping in Canada or Mexico, where in Canada they would be $213. And then more opportunity to smuggle them with volume discounts for US ebay listings. A peer to peer smuggling network takes away from “backbone of retail economy”, and then lowers value of US official market such that making $300 shoes inside the US costs a big investment.
Apparel industry jobs tend not to be as glamourous as Boeing, Catterpillar, Deere jobs which are pretty much only US manufacturing export sector than defense. Losing export markets from hatred of US, doesn’t get replaced with good jobs in apparel, or exports of expensive US apparel.