Dear President Donald Trump.
EXISTING TAXES are the CANCER consuming Americans and America.
America is like a terminally ill cancer patient waiting for a miracle. You come along
administering lethal Tariffs. R.I.P. America.
My medication is to take EXISTING TAXES OFF the PRICES of goods and services. Then
only add a single, one digit LIBERTY TAX to give MUCH REDUCED PRICES to have ‘Made
in America’ replace “Made in China and BRICS’ to MAGA as you promised. This is the
miracle cure of LIBERTY TAX. Long live America.
Walmart Executives must privately see you and your Tariffs as working against their viable
business, inflating the Cost of Living for their Customers and restricting growth in the
American Economy.
For 15 years I was an Executive in the paper converting and printing industry, a large
industry and employer. We got a licence from JIFFY USA for our domestic and export
markets which justified the purchase of the Jiffy padded bag paper converting machine from
the USA. The process required a special kraft paper. Our Local Paper Mill protected by high
Tariffs would not supply this paper, so we had to import and pay high Tariffs. This inflated the
prices of the Jiffy padded bags creating buyer resistance, limited production and sales both
domestically and for export. We had extended the factory building and had made provision
for a second machine to be imported from the USA. This did not eventuate because of high
Tariffs on the imported paper required for the converting and printing machine.
The Local Paper Mills were protected by high Tariffs with the following disastrous economic
and financial outcomes for –
1) The Paper Mills who restricted their product range – did not produce papers readily
available overseas – did not innovate new papers for waiting markets e.g. photo industry
photo wallets – consistently delivered paper that did not meet the agreed specifications.
These deliveries had to be returned to the Mill causing delays for our customers and lost
orders, sales and profits e.g. Reader Digest. – only supplied in sheets when reels were
ordered for high-speed machines – I could write a book about our adverse business
experiences with these Tariff protected Paper Mills.
2) The Converters who had to restrict their product range because of (1) – had to import and
pay tariffs creating high prices and buyer resistance. – increased costs by employing an
industrial chemist to check all paper deliveries and return papers not to specifications
resulting in lost orders, sales and profits – could not buy paper in rolls for high-speed
machines, increasing and costs with losses on orders – a business and customer disaster
all round.
3) Domestic Markets and Customers – unable to supply products to meet their business and
customer needs – tariff inflated sales prices creating buyer resistance and limited demand
with uncompetitive Volume/Cost/Price MIX – delay in deliveries, replacing Papers not up
to specification causing lost orders, sales and profit – also unrecoverable down time on
converting and printing machines waiting for paper deliveries – customers importing
products from overseas – a business, customer, National Economy disaster all round.
4) Export Markets and Customers – as in (3) with limitation on market share and profits from
overseas operations.
5) Business customers, retail consumers and the National Economy – unable to supply at
market demand prices products readily available in overseas markets – imports replacing
domestic production and employment i.e. exporting jobs and cash to pay for imports.
Bureaucratic intervention and decision making by Government not qualified and
competent in business.
From my 15 year business experience of Tariffs, if you think they work for US business,
consumers and the Economy and Financial position of America you must have rocks in your
head.
Derek Smith CA
Your disillusioned Aussie Mate.