General Discussion

LiberalArkie

(17,989 posts) Thu Apr 10, 2025, 08:42 AM Apr 10

Trump's Trade Math Ignores a Major Export: American Services

April 10, 2025 at 5:30 am ET

President Trump is wielding tariffs to try to close the massive U.S. trade deficit in goods, which he sees as a sign of economic weakness.

It is only part of the trade story.

While the U.S. buys more goods from abroad than it sells, the opposite is true for services, which include everything from streaming subscriptions to financial advice. Trump left these service exports out of his tariff math, but they are being pulled into his trade wars.

On Wednesday, Trump ratcheted up the U.S. trade war with China, but put broader tariffs above 10% on most other countries on ice for 90 days. Sectoral tariffs such as the ones imposed on automobiles weren’t changed.

Snip

https://www.msn.com/en-us/money/economy/trump-s-trade-math-ignores-a-major-export-american-services/ar-AA1CEBdz

7 replies

= new reply since forum marked as read

Highlight:

Trump's Trade Math Ignores a Major Export: American Services (Original Post) LiberalArkie Apr 10 OP

They forget that Reagan turned the country into a service economy Blue Full Moon Apr 10 #1

Trumps tariffs did not count the trillions of dollars in consulting, engineering, data management, data storage, legal LiberalArkie Apr 10 #3

They have also that the travel industry is biggest driver in some states. Blue Full Moon Apr 10 #5

Are American consumers hit with surcharges on services bought from foreign merchants? bucolic_frolic Apr 10 #2

I do not believe so.. I do not think it enters into the equation anywhere. We are a service based country now and do not LiberalArkie Apr 10 #6

Universities and tourism are also malaise Apr 10 #4

Begs the question Aviation Pro Apr 10 #7

Blue Full Moon

(2,053 posts)

1. They forget that Reagan turned the country into a service economy

Reply to LiberalArkie (Original post)

Thu Apr 10, 2025, 08:46 AM

Apr 10

LiberalArkie

(17,989 posts)

3. Trumps tariffs did not count the trillions of dollars in consulting, engineering, data management, data storage, legal

Reply to Blue Full Moon (Reply #1)

Thu Apr 10, 2025, 08:53 AM

Apr 10

and financial services that the U.S. companies provide to other countries.These things do not travel via containers on ships and go through customs.
They travel business class. I would imagine than all the banks like Bank of China will be looking at other companies other that U.S. to do their consulting.