Japan / Trump tariffs not resulting in inflation: Diff consequence is possible

Jul 2, 2025, 8:13 PM

ZeroHedge - article from July 2nd (see link; not too long)

Welp, with regard to the ongoing argument between Trump and his many haters with regard to tariffs and whether or not massive inflation is imminent, the data just in from Japan has shown that Trump Admin was right, and that J.Powell, all Democrats, and the majority of financial ‘experts’ were dead wrong.

Japan’s ‘everything is going well / we are not going to change our trade policies due to Trump tariff threats’ facade has come down. Japan’s car industry has been losing ~$20Bn / month by eating the tariff costs (which are ~20%).

Japan is likely to come to the table soon (as the Trump tariffs on Japan cars could go up another ~10% starting July 9th).

(*). Japan, unlike many of America’s numerous other trade partners, is not defenseless. Currency manipulation (devaluation of the Yen … which is easy) and reducing purchases of US Treasury Bonds (sounds simple, but is not as simple as it sounds) are powerful trade tactics if (when?) they resort to alternative trade negotiation tactics. (Go to the last three paragraphs of the article for cursory details.)

https://www.zerohedge.com/markets/japan-finally-admits-its-carmakers-have-been-paying-all-trump-tariff-costs-trade-talks

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No one cares when your source is Zero hedge.***

Never heard of em but wow is their website incoherent drivel

It scares me how many people like this are so easily manipulated.

Japan companies temporarily cut prices to deal with this, and now they're raising them again. Trump's original "tariff policy" was announced about 3 months ago. It's still not settled, as he has changed his mind numerous times. And Japan has now hit a realization that these tariffs will hurt them.

So, I suppose it's a great thing that we are intentionally attacking an ally, in fact one of our best allies in the world. And Japan will be able to retaliate against us, as they have a lot of tools. The EU will also be able to retaliate. China as well. This is not going to end well, and it will take a while to play out. I don't anticipate immediate jump in prices, but over time, this will increase costs, and lower our employment & gdp growth. It will hurt the US and the world.

Hooray for MAGA.

And stop calling people "low IQ-TDS'ers". You give away your pro-fascism game when you do that.

Japan / Trump tariffs not resulting in inflation: Diff consequence is possible

No one cares when your source is Zero hedge.***

Never heard of em but wow is their website incoherent drivel

Low IQ TNetters need not reply

I bet Tyler Durden wrote it***

Re: I bet Tyler Durden wrote it***

So it was written, like every other ZeroHedge 'article', by Tyler Durden.

It scares me how many people like this are so easily manipulated.

Re: It scares me how many people like this are so easily manipulated.

'publicly available data'

I don't think this "link" supports your narrative....

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