How does tariff work accurately?Greenage average time released at 19:16
In fact, customs duties are domestic taxes imposed on products when entering the country in proportion to the value of imports.
Therefore, cars imported to the United States with a value of $ 50,000 (£ 38,000), which are subject to 25 % tariffs, faces a claim of $ 12,500.
This fee is physically paid by a US company that imports products.
In contrast to prepaid bills, the question of where the final “economic” burden on tariffs is is more complicated.
If a US importing company passes the cost of tariffs to those who buy a product in the United States in a higher retail price, it will be an American consumer who will bear the economic burden.
It is said that if a US importing company absorbs the cost of the tariff itself and does not pass it, the company will burden the benefit in other cases in other cases.
Alternatively, foreign exporters may need to lower the wholesale price due to the value of tariffs in order to maintain US customers.
See the details of our customs duties on our consumers.
