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A comment on Trump temporarily drops tariffs to 10% for most countries. Parent comment

Re:Trump temporarily drops tariffs to 10% for most countries by acdha on Wednesday April 09, 2025 @10:13PM (#43639998)
Not many companies have the margins to shrug off 10%, and if there isn’t a cheap domestic alternative everyone in the market will be raising prices.

Take coffee, tea, or chocolate: Americans buy a ton of those, there’s almost no domestic production, and most of the market lives on tight margins. Trump’s tax hike means that the average consumer’s choices devolve to paying more or buying less.

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Re:Trump temporarily drops tariffs to 10% for most countries by arandomusername on Wednesday April 09, 2025 @10:31PM (#43640078)
Nestle has a profit margin of ~15%.

If they raise prices by 10%, consumers will buy significantly less. There's a sweetspot somewhere for max profit, it's not 10% and probably not 0% either.

Coffee and tea are very cheap when you buy from a retailer and make it yourself, 10% is nothing anyway. Stuff like starbucks have crazy profit margings. Chocolate is a delicacy that shouldn't be consumed in large quantities anyway. That shit should have a 200% tax.

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