https://edition.cnn.com/2018/03/08/politics/cillizza-toobin-stormy-convo/index.html
if it was a 10% increase in all the packing costs then yeah but its not its 10% in material which compared to the cost of a packing plant is minimal
You don't think there will be a whole chain of production that will be effected by this (Aluminium
and Steel)? From the machinery used by the farms that grow the hops, transport vehicles and equipment at every stage of production and logistics and equipment in the brewery.
I can promise you with absolute certainty that the 10% price increase on the can it's sold in is not the only place prices will increase and we're only talking about breweries here. Now consider other manufacturers of other products which use more aluminium and steel and think of their production line and the other products that rely on their products.
There is only one winner from this ridiculous policy and it's American manufacturers of Aluminium and Steel. Every consumer of the materials whether a producer or consumer will be stung by this... although...
...consumers might be spared in the fact they will still be able to buy foreign products made on foreign lands which were not hit by 10/25% charges on their materials at cheaper rates than US products.
...US manufacturers can spare themselves the 10/25% charges if they relocate their factories outside of the US and instead import the finished products.
So it could potentially drive production out of the US and take thousands of jobs with it, all for the benefit of Steel/Aluminium manufacturers who will then have little market left to sell to in the US and be forced to sell at reduced rates outside of the US.
Trump is a genius.