How tariffs might affect Aptera

[@johnhayes3314]

It really doesn’t matter where in the chain, the tariffs are applied. The consumer ultimately pays the price.

[@fanfare100]

I wish my raises went up at the same rate as my cost of living! I think we're going downhill.

[@tylerreeves8026]

Off topic, but I just got my Aptera drag coefficient shirt in the mail. These things are way nicer than I was expecting. Thought it was going to be a cheap gimmic I would wear with some guilt for Aptera related events. But nah, this thing is easily the nicest feeling shirt own, it's getting worn all the time😂. And I'm really impressed with how well Aptera knows their customer base. 100% organic cotton, natural dies, sourced from permaculture farms in India... And That's just this one, their other non 100% cotton clothing articles are made from recycled PET (water bottles usually) and recycle cotton (this usually means its sourced from fast fashion waste streams)... Even the buttons are made from recycled materials! That's totally my jam, it's rare that I buy clothing, but when I do, I look for stuff like that. Very pleased and impressed they went through the effort to work with SoftShirts on these.

[@kevinscott8642]

I just got that same shirt, in black. I like it, and agree with what you said. 👍

[@fanfare100]

Where was the shirt made? ;-) Others may need to pay high tariffs on future purchases. lol

[@ecoelf830]

I have been investor since 9/21 as well as an Accelerator, so really do want Aptera to succeed. However, given their inability to procure sufficient funding to date, I was realistically giving Aptera only a 20-30% chance of getting to production. That was prior to November 5. Given pending tariffs on ALL imported goods as well as the bleak outlook for any EV startups under the coming administration, I now put those odds at 0-5%. Fingers still crossed that one of us in the Apterasphere wins the lottery and is willing to put $30-60M to save Aptera. Yeah, I know!

[@Lachesisms]

We certainly gone bananas over here.

[@christopherbarrett9749]

Blow back from globalization is a big problem. Since World War II the trend has been to produce wherever the product was the best. Japanese and German automotive industries hurt Detroit, but now many foreign companies produce them here, in Tennessee, Georgia, Alabama, US. Known as on shoring, and returning to the USA. Exporting bananas from Kansas makes little sense. Bringing CPC Group to our lands makes better sense. The supreme Court more than likely will not get involved with this, but Wall Street might. Your economic analysis hit much of the highlights of the situation, and frankly we should have learned from the Smoot Hawley act that tarriffs are counterproductive at best. Being trading partners has always made sense, less chance of war is just a small piece of the benefits. Not sure if NAFTA will make Canada and Mexico better because of the proposition of tariffs, but our immediate abuttors should be a good place to be a supplier of parts. Windsor Ontario has lots of feeder companies to our automotive industry. Not sure an economic advisor will be enthusiastically endorsing any tariffs, because as a policy, they have proven to be more problematic then not. Globalization in the world we currently live in seems more palatable than trade wars.

[@LightsOnMultiMediaMindArts]

I suspect that tariffs will do nothing to encourage investors, which are what Aptera needs at this point.

[@kimbowilco]

In your introduction you stated that you like to avoid political issues on your channel. I think your discussion was an education in economics rather than politics. Pretty good job. Thank you. It would be great if public schools curriculums included macroeconomics, and a serious course in civics. It might increase our citizens' understanding and rational decision making.

[@gr8dvd]

💯 👍

[@harriettanthony7352]

This writer, amoung others, recalls when Publick Schools DID have such courses.

[@gr8dvd]

@@harriettanthony7352 Similar vintage and more fully appreciate the value of civics & economics courses seeing the current, shameful level of "illiteracy".

[@aaronburton5188]

Even the domestic sourced items are likely from international raw materials (that have tariffs) and the few remaining items with 100% of their supply chain in the US will raise their prices because their competition is still expensive. Additionally, any exports that Aptera makes will also be caught in the trade war becoming 20% more expensive on a vehicle that costs 20% more. It’s a huge impact. There’s nothing good about it for anyone.

[@e-economy-]

Tariffs are typically a sign of something going wrong for quite some time. Then politicians, lobbyists or interest groups want protection because they usually did something wrong or not at all. Not a good thing.

[@robertkirchner7981]

If I were to try to put a positive spin for Aptera on tariffs, (and believe me I've been spinning a lot for the past week), it would be that I increases the chances of CPC opening a production facility in the U.S., which I have always suspected was their long term goal. But that's it. That's all.

[@jerrymolnar8010]

This could definitely incentivize CPC to build a production facility here, but could Aptera wait that long?

[@aaronburton5188]

Where do the raw materials come from? Not the US. So still doesn’t work.

[@charlesbeane8795]

@@jerrymolnar8010 Well since Aptera is almost out of money I'd say no, they can't wait that long.

[@harriettanthony7352]

@@jerrymolnar8010 Aptera might wait that long--but will the buyers, espc. the Senior Citizen Aptera buyers??

[@IAmJamesTheFirst]

Excellent video! I loved the deep dive into the history of tariffs, and learned a couple things as well. Suffice to say Aptera is not well pre-positioned for a higher tariff environment, regardless how severe it ends up being. I wouldn't hold out too much hope on the Supreme Court ruling against tariffs. Congress holds the power to set tariffs and will have a GOP majority in both houses. Historically they legislate according to the whims of the president if the officeholder is also GOP. The Supreme Court will have no legal standing to say anything, which is dominated by GOP nominees anyway. Buckle up, and be prepared to pay a lot more for your Aptera.

[@Tekaisuwu]

I’ve always heard sequels are typically worse, not really looking forward to the Great Depression 2 😂

[@unclegeorge7845]

The end user pays for everything.

[@eriksleeuwenhoek2206]

"American made" cars from the legacy car makers have a very large percentage of foreign made parts and materials. So the tariffs will increase the cost of foreign as well as domestic cars. I don't think this will hit Aptera any harder than any other car manufacturer.

[@harriettanthony7352]

Fun Fact, for all you Musk Haters- the Tesla is the most American car-period.

[@madmotorcyclist]

Tariffs will impact the Cherry products Aptera uses. The Italians will not be tariffed probably since it is small potatoes in the scheme of trade with Italians. The Vitesco motor might get hit as well.

[@TimothyHaas-u3u]

While Vitesco is European, the EMR3 powertrain is built in China.

[@harriettanthony7352]

@@TimothyHaas-u3u And BOOM! another price hike for the Aptera

[@mattmiller220]

One of the first things I saw was Trump's campaign saying they'll end the EV tax credit as a first priority once in office.

[@jasonhochstrasser8657]

Aptera doesn't get the tax credit.

[@ccibinel]

​@@jasonhochstrasser8657yep. Great for Aptera since the competition won't have an artificial advantage

[@williamread8186]

I don’t know what role if any the Supreme Court could have on this. The Biden student loan forgiveness was overturned because the executive branch was executing a policy that is under control of the legislative branch. I don’t know if tariffs work the same way.

[@gr8dvd]

SCOTUS. has overstepped into most everything saying they’re the ultimate arbiter on agency (executive branch) rules implementing legislation in recent rulings on environmental regulations.

[@richardryley3660]

I suspect it probably does. Congress is in charge of the purse, that's why the House of Representatives is proportional to the population of the states. Trump clearly believes Congress will give him his tariffs however.

[@williamread8186]

@@richardryley3660It would make sense that the legislative branch controls taxation and spending and the executive branch deals with approval and enforcement.

[@DemaGeek]

It will be very interesting to see how the details shake out for Aptera. Informative Steve, thank you.

[@garykunz5305]

There are three options with tariffs; the consumer pays, the producer eats the cost, or some combination of both. The consumer may pay the cost, but the producer can lower the product cost to reduce the cost to the consumer. The other option is to on shore the production to avoid the tariff. Not a big fan of tariffs, but they should be fair. This is from google. "The European Union charges a 10% tariff on cars imported from the United States. But 85% of cars assembled in the United States and sold in Europe are exempted because they contain European parts. The United States charges a 2.5% tax on cars imported from Europe".

[@jimbo92107]

Tariffs are a provocation, inviting counter tariffs. They also spur governmental corruption via lobbyists for domestic industries. They also jack up inflation. Winter grocery prices will quickly double. A general 20 percent tariff will bankrupt Aptera and many other companies that rely on importation. It is not political to state that neither Biden nor Harris intended such a tariff. That was a Trump idea. Good luck to Aptera.

[@andrewfuller8440]

The producer eats the cost? What dream world are you talking about? Billionaires do not eat costs, they reduce them

[@davidtiemeyer7580]

Thanks for providing the historical perspective on tariffs.

[@deanmcmanis9398]

I don't anticipate tariffs across ALL imported parts. But from China, yes. Being a relatively small start up automaker, Aptera does not have a lot of control with suppliers. But for things like batteries, they can probably buy U.S. manufactured produced and sourced products, which afford Aptera more freedoms compared to legacy automakers who have big supplier commitments at high volumes and unavoidable cost escalation.

[@Fairburne69]

If the foreign business payed the Tariff it would be worse. A $100 item for example with a 20% Tariff would cut the profit margins to $80. The foreign company would that hike the price 25% to $125 so the now the 20% Tariff would cost the foreign company $25 to the original $100 profit margin. So now the American business would essentially be paying 25% more instead of 20% more. Which means they would need to sell the goods 25% more.

[@saxman657]

I think many are missing the point in why tariffs are being applied. In ages past, ax in pre-early 1900’s, tariffs was the United States primary form of income at the national level. Applied today? To encourage foreign countries to build their products in the United States, thus greater employment. Case in point: Toyota. The majority of cars made by Toyota are not taxed by tariffs. Why? They shifted North American vehicles to be made in the United States, not in Japan.

[@RomanChaar]

US Capital launch happened back in JULY.....where is an update!?!?!? They claimed just TWO months would be needed to raise the funds..........

[@harriettanthony7352]

The US Capital debacle has been filed in The Outer Limits! Once again, another money raising plan that flopped. The proof is in the SILENCE!

[@charlesbeane8795]

Assuming Aptera continues their current trajectory, they will close the doors in a few months. Tariffs shouldn't affect them much. If you are assuming they will stay in business beyond that, they will certainly be affected by sourcing from targeting countries. They will have to pay more for their parts and they will pass that cost on to their customers. Simply put, it will make Aptera's cost more. How much is dependent on where they have sourced everything. Again, they have bigger fish to fry (like raising money and getting 10mi/kwh ).

[@harriettanthony7352]

Sadly, this writer agrees with OP in all respects. And if the price increase for the Aptera starts hitting the '$60K' mark, then ALL sales will fall and fail.

[@stevelane5023]

John Deere wants to move most production to Mexico. Trump said he would place a 150% tariff on John Deere product that are imported from Mexico. One can assume that the tariff would raise the consumer cost of imported John Deere product to a level that the product would be unaffordable to U.S. consumers therefore declining sales would either force John Deere to slash costs of its Mexican sourced product, or start producing back stateside. I do believe the tariffs will be more laser focused on products that could be produced stateside but aren’t due to the cheaper labor aspect. Aptera will pay more for the Chinese goods they import.

[@johnmalcom9159]

Thanks AOC for the thorough research and analysis on tariffs! We will need to live with them for the next few years at least so all need to be level set on them. The important thing to have in the back of our minds is that the PRODUCT PURCHASER pays the sum total of tariffs incurred on foreign sourced components to manufacture the purchased product. (NOT paid by the originating country or US Government entity, or absorbed by the product manufacturer). Since most of Aptera's major production components are of foreign manufacture, they will increase the cost/price of an Aptera. Of course the same affects will be experienced on other vehicle products too.

[@greenbergp]

Maxeon is a Singaporean country and inthink makes most of their cells in Malaysia or somewhere in Asia

[@gr8dvd]

Recall similar with some minor portion of manufacturing in China and, in recent months, China gained majority ownership. Not sure what implications that has if/when tRump tariffs are imposed.

[@tims8603]

Thanks for explaining tariffs in a clear way. I won't say anymore because it would probably get deleted.

[@theresa337]

Thanks for the interesting and informative info!! I knew part of this but not all.

[@geezers10]

It's important to remember that sub assemblies meant for final integration historically incurr a lower tarrif rate than final products. Aptera in essence will be an integrator, a final assembly plant in the same vein as other domestic auto and aircraft manufacturers.

[@randylewis4242]

People can argue all they want, but history has proven that isolationism and protectionism never work in the long run. Anyone who disagrees is arguing against economic reality.

[@harriettanthony7352]

Reality and Politics are not compatible

[@scottwilson2859]

Well done. If only we could have seen such a cogent lesson on tariffs before the election and not after.

[@gr8dvd]

It was all there but many people chose to ignore the warnings of economists or, in some cases, recognize geopolitics/potential military conflict as a consideration.

[@harriettanthony7352]

Perhaps so, OP, but better Trump than 'the other side' who spent 01 Billon dollars on the campaign and ended up circa 20 million IN DEBT! Thats not a side of the political equation I would trust with ANY National money items.

[@gmv0553]

No doubt about it! Tariffs will definitely have a negative impact on Aptera!

[@scottstormcarter9603]

Interesting historical detail about the "chicken tax".

[@jeffp423]

This simplistic analysis ignores bad actions by China when they subsidize industries they have identified as strategic in order to destroy those industries worldwide. Making us reliant on adversaries like China and entangling our economic interests prevent us from standing up to them on human rights. Standing around with our hands in our pockets while they destroy our domestic steel production, solar panel production, and now EV production doesn't serve our country or our workers. When China was allowed into the WTO and given most favored status without demanding any changes on human rights was unethical. When Motorola was putting the Iridium constellation into orbit China would not allocate spectrum unless they got paid to launch the satellites. Motorola lobbied to transfer military grade missile guidance to China so they could launch Motorola's satellites. It isn't a black and white topic.

[@charlesbeane8795]

So true. It was easy to let them take over manufacturing, it will be a lot harder to take it back. It will take decades.

[@jasonhochstrasser8657]

The tariffs are to counteract the unfair advantage that the Chinese government has given its companies. They allow a fair playing field.

[@pezpengy9308]

amen. clarity.

[@richardryley3660]

This isn't a discussion about China it is a discussion about Aptera, which produces parts in Italy. Tariffs on China would probably not be a bad idea although it would not affect sales to other countries. They would have to establish their own tariffs.

[@harriettanthony7352]

China=Evil; USA =Pure? Really? How BIG a subsidy does the US govt give to Big Oil and the Big Car makers?

[@sxsignal]

its a govt double win. Tariff paid to the govt ($$) THEN because the item is now more expensive, consumer has to pay more on tax of that item... another govt win ($$) ultimately, the consumer loses

[@e-economy-]

When goods become more expensive then less of them are sold. Historic economic evidence across the world shows that it is a lose lose game, not added income.

[@aftonline]

How do those Mexican tariffs affect the NAFTA agreement? You can't have free trade and tariffs at the same time.

[@billsmith5960]

NAFTA has been gone since 2020. USMCA. Trump ushered that in.

[@DrTeeHenry]

I would be more comfortable with a new tariff policy if Trump fully understood how tariffs work. Maybe he does, but the way he flaunts them, this sure doesn't seem to be the case. My impression is that tariffs can be a good thing if applied strategically (e.g., to bring foreign prices up to the price of domestic alternatives to encourage domestic consumption), but blanket tariffs are foolish. Unfortunately, one person's strategic tariff is another person's opportunity for corruption. And there are not too many guardrails against corruption these days and there will be even fewer come January 20th.

[@jasonhochstrasser8657]

Tariffs and international trade are probably the most consistent value president Trump has had over decades. Listen to him talking in the 80s and 90s and he sounds the same. Of his policies, this is one he is well versed in.

[@DrTeeHenry]

@ Listening to him, it sure sounds like he is convinced the foreign manufacturer pays the tariff, not the domestic consumer. Also, he is the former president or the president-elect. Biden is the president.

[@glike2]

The Supreme Court has to have standing to step in and I don't see how they have standing on tariffs

[@gr8dvd]

They’ve inserted themselves elsewhere unexpectedly - saying they’re the ultimate arbiter of agency regulations.

[@geezers10]

Comparative Advantage is the term you were looking for.

[@richardryley3660]

An export tariff is paid by the foreign customer. If the buyer wants the product, the buyer must pay the tariff. An import tariff is paid by the domestic customer, i.e., you and me. If you want the product you must pay the tariff. I don't know why this is so hard to understand. If you want to tax foreign countries you have to put tariffs on the goods you are selling to those countries. Which will only end up killing our exports, as it becomes cheaper for them to buy locally.

[@tikitinatv1420]

Well like yourself I pulled the trigger on an E-car. I’m done. I put my money where my mouth is. Im glad I stopped waiting. As to tariffs it’s far more complicated that a few news articles. It’s actually good there will be tariffs on certain countries. It’s as simple as that. Would you prefer China undercuts Aptera by flooding the US with cheaper E cars?!?!?! People need to understand tariffs better. If these tariffs gets lifter we can keep sending our jobs offshore and we can get flooded with cheap Chinese cars. Be careful what you wish for because getting it would be a nightmare

[@harriettanthony7352]

A less expensive, good quality Chi Com EV is only a problem for the Detroit Crowd and their overpriced EVs. The consumer wins, and the 'climate' wins. Yes, I would buy a ChiCom EV at the current Aptera price- more room and the like.

[@phileasler5401]

Yes, put on tariff’s on Chinese goods for sure👍. We, USA needs to make it here or a friendly country, and NOT trade with The Axis of Evil !

[@harriettanthony7352]

Lovely talking point, BUT there is much in the USA that has no system to make a product {the Aptera BINC, for example}. OP is asking for a trade war.

[@petedawg]

Economists may think that free trade is the way to go, but they leave out externalities. For example, if there's a disruption in the supply chain, or environmental or human exploitation, and so forth.

[@glike2]

Great audio except the occasional BOOM ... BOOM ...

[@TogetherinParis]

Glad to hear you got the economics right.

[@harriettanthony7352]

The shorter answer is this---tariffs will price Aptera beyound the selling point for buyers, and since Aptera can only build the PI units and then they will be out of business, by the current news-- ANY tariffs will have NO effect on Aptera.

[@jimh7831]

Aren’t tariffs targeted at specific products and not just a blanket tax on all imported goods?

[@ApteraOwnersClub]

Usually yes but the president elect has said blanket tariffs is his plan

[@patriot1229]

I prefer to see this as an opportunity rather than a hindrance. The American market has the ability to engineer and produce new products in very short order whenever that goal is enabled by regulators whom have an incentive to allow it. As you know economy is a function of scale and the demand for this unique and innovative product will prove its worth shortly after the launch of the unit to the market place. America is craving all the principles that Aptera represents, independence, reliability, innovation, efficiency built designed and maintained by an American company.

[@ModernNeandertal]

You had me wondering what product is being produced in short order. Many of Aptera's parts are being made quite quickly but putting them together here in Carlsbad seems to be the bottleneck.

[@patriot1229]

@ Thanks for the feed back. I was referring to the manufacture of components such as the battery cells themselves and the motor assembly and power management systems presently being supplied from china. If I am wrong please correct me.

[@ModernNeandertal]

@@patriot1229 Just stirring the pot.

[@patriot1229]

@ No problem the pot needs to be stirred frequently or the pot boils over.

[@richardryley3660]

Aptera went to CPC in Italy because they offered them a new method of producing alternative lightweight bodies for their design. But Aptera has gone to other producers like Vitesco, Costamp, Cherry and others because they were cheaper. Sourcing the parts locally will raise the price of the Aptera. Point being, tariffs do nothing but raise prices. Even if you move production back to the US, you will end up paying more for products. If the US is going to put tariffs on China I would prefer they concentrate on the products that are problematic, and not effect everything else that goes into Aptera.

[@jerrymolnar8010]

It’s obvious this is a complex and nuanced subject. It matters exactly how much and for how long tariffs are implemented. Tariffs have been around for a loooooong time. Some might be good some bad. Hopefully our incoming administration takes a looong hard look at exactly how much and where the tariffs are implemented. Even Aptera ends up costing 3000-5000 more people might still want it cause of its other benefits, but let’s say there were nooo barriers to Chinese EVs, would people choose at $35,000 Aptera or a $20,000 well executed Chinese EV?? Wouldn’t that hurt Aptera’s chances. After the novelty of Aptera wears off, in the end I believe people might just choose the vehicle that costs 30% less. But, on the other hand , if a very innovative company like Tesla has NO competition because of huge tariffs, they have NO incentives to reduce production costs even further and innovate even further, they become a monopoly which none want , including myself . So no easy solutions here. The big mistake people make is assuming that the Chinese automakers got where they are overnight, they’ve been building up to this point since the 90s while the rest of the world ignored them, even Tesla. Isn’t this reminiscent of the 1970s? When Japanese automakers recognized the need for smaller much more efficient and affordable cars, while US automakers ignored them??

[@MistSoalar]

Imported products with direct/indirect govt subsidies need to be balanced somehow. Tariff and quota are still effective.

[@thomasollie1712]

Just interview someone who knows tariffs and the special situation with China ( not an ally ) and Mexico succumbing to Chinese $$$. You were describing a historical view which includes allies.

[@ApteraOwnersClub]

The proposed tariffs are also for European imports and imports from Korea and Japan and Australia and every other country...

[@speciesofspaces]

And the bananas we import are basically the ones much of the world doesn't prefer eating.

[@danielhughes6896]

Whats all the thumping in the background of this video?

[@TopwizSoft]

The high tariff plan is to replace lost revenue from elimination of the income tax.

[@johnmalcom9159]

And who here really thinks the income tax will go away????????

[@1978rayking]

Most likely our governments and world governments will work out deals, entire whole products will definitely be increased, parts and pieces so on will have a lot of wiggle room. As far as I know if our companies our suffering that's where things will get attention for sure. We are also very lucky thiers tons of competition and less buying plus prices for most things are actually costing less before tariffs nowadays luckily.

[@RomanChaar]

What will come first, the turkey or a US Capital update?

[@mattmiller220]

Did you see Lotus' 'Theory 1' car?

[@JuiceBoxScott]

Theres also awesome Toyota trucks made by Americans because of the chicken tax

[@J9_j3]

if/when china sparks a war for/over Taiwan, having ourselves decoupled from china imports is rather urgent thing to do, if we to believe intelligence community rumors of having just 2-3 years before big stink in the Pacific region begins. High tariffs is the one if not the only way to 'incentivize' businesses from continuing producing goods in china. at the moment 60-80% of consumer goods are direct china imports. remainder being partially produced here or in other countries but with chinese base components. tariffs are going to attempt to force either re-shoring of majority manufacturing or at very least move them out to safer harbors if not into US. this theoretically will constitute smaller shorter term pain than if we wait until south pacific is ablaze. nobody talks about this because few folks look at the issue from geopolitical and strategical point of view. history is repeating itself, we are on the same but slightly higher level spiral as early 20-ths century. world is a powder keg that is already lit on fire, it's just flame at the moment just charring the outside of the keg and didn't yet get to content.

[@sojourner4726]

I love people like this who think they know Taiwan better than people who live in Taiwan. Taiwan is part of China. The United States would not tolerate foreign governments funding separatists in Texas. Yet you expect China to do the same? The world is worse off because of like you. Ukraine flag having idiots will complain all day about Russia funding separatists in the Donbass but when the United States does it to intentionally destabilize and establish economic control of a region it’s suddenly fine? Fool.

[@jerrymolnar8010]

And also how bout the fact the Chinese control 80-90% of strategic minerals, the corrupt EPA has stifled much needed mining for decades now. Hopefully mining and refining is deregulated with upcoming administration. We need to be energy independent. As well as a little less Chinese dependent for crucial minerals. We might as Elon suggested have to HAVE a little pain, economically, before we can move forward. We have to shore up our deficiencies that we’ve ignored for too long. Just like a person who realizes they’ve ignored fiscal responsibility for a long time realizes that they need to endure some economic pain in order to get their finances back on track. But,, is America capable of doing so?

[@jerrymolnar8010]

Excellent points!! People forget framing this in geopolitical aspects. Tariffs take on different meaning when seen in geopolitical context.

[@mattsimon4167]

Just putting blanket tarrifs up doesn't necessarily encourage domestic markets though. For one as explained in the video, tarifs can make domestic manufacturing more expensive, in the last round of tarrifs a lot of manufacturers found it cheaper to move overseas and eat the tarrif on the assembled product rather than on every part. Also if the product isn't made locally it's unlikely to create a domestic manufacturer, so some companies that used specialty steels went under because of the steel tarifs. Tarifs make some sense for products that are strategically necessarily to produce locally but in those cases it's best to subsidize those industries as well in order to actually directly encourage that local supply chain. If you read through what is being subsidiezed in the "chips and science" and "build back" plans those are the same things that also still have tarrifs on them.

[@eriksleeuwenhoek2206]

It works the other way around. Only reason China hasn't invaded already is that it would seriously hurt their economy (trade).

[@JuiceBoxScott]

Interesting that a guy on KZbin has a far better understanding of Tariffs than the president elect.

[@fanfare100]

There has been an acceleration in technology transfer to Israel. I also doubt any tariffs will apply to products originating from Israel's illegally occupied territories. So, we are so awesome at double standards. There are CEOs of large Israeli Defence companies stepping down from their posts and then joining the boards of directors of American companies which then partner with other such companies owned by dual nationals to the point where nobody knows anymore from where proprietary info and products and the flow of money is going from where to where even when some of it comes back from from the trillions in foreign aid we have provided. We are such hypocrites. And to think that such a significant portion of our hard-earned tax-loot goes to support this mess. What we should really do is impose extremely high tariffs on anything related to genocide, apartheid and ethnic cleansing. But I doubt that will ever happen because of the inclinations of those who would regulate such actions, many of whom's campaigns are heavily funded by AIPAC. The way that I see intellectual property flow, it would not surprise me to suddenly see an Aptera clone appear in that foreign jurisdiction. I've seen other technologies mysteriously make their ways there. FBI has actually caught a few who were too overt in the act and have had CEOs step down because of this but it's mostly been a slap on the wrist. Not going to mention companies nor names at this time. Just know that we are picking favourites and then applying stuff with others in manners which are different. Corruption is rampant, and that includes the area of tarriffs, and, as the report you cites says, it is not limited to either of the 2 parties in our 2-Party Duopoly. Both the Democricons as well as the Repubicrats do it! And both are bought by foreign lobbyists to make it so, to the point where the damage may be beyond fixing.

[@glike2]

Tarrifs are a great way to sell a reverse progressive tax on the poor in the name of fixing the budget and deficit, while they extend the corporate tax cut, and maybe lower taxes on very high income people

[@charlesbeane8795]

I think you mean a regressive tax? Or maybe they call it a reverse progressive tax these days. Anyway I agree.

[@glike2]

@charlesbeane8795 yes thanks better way to say the same thing

[@geezers10]

Also, look up the Smoot-Hawley Tarrif Act of 1930 and its impact to Japan's political/military decisions. Sorry, my economics degree is showing.

[@ScottOstr]

America should use a Value-Added Tax (VAT)

[@LarryDickman1]

Only if you get rid of the income tax.

[@matthewryonadams]

Oh yeah, why exactly?

[@ScottOstr]

@matthewryonadams EU does it. It would make it much easier to pull economic levers annually.

[@ScottOstr]

@matthewryonadams "Critics, on the other hand, argue that VAT is a regressive tax that places an undue economic burden on lower-income consumers"

[@marauder450]

They taxed every penny I earned. Now tax every thing you buy? Pick one not both.

[@randylewis4242]

You now also can't discuss the Supreme Court without discussing politics. They likelihood that they would not support the people that keep them in power is very low.

[@lucristianx]

I’m normally against Tariffs. But the income tax bracket creep is real. If it’s 20% tariff I’m okay. But that creep into higher rates is what scares me.

[@andromedach]

Come on now, Aptera would have to make it to production to worry about tariffs and all signs point to that not happening at this point. when Chris and Steve will not provide updates on the convertible note it can be reasonably assumed it is not good. not that that note would have gotten them to production, they need more than double that.

[@rchender]

Once again....???????

[@timothymitchell3546]

Steve, sorry in advance for this bloviating. Thank you for that information. I, too, will shy from politics as much as I can, (Tariffs are political) but tariffs had, during Trump's 4 years, and will be implemented against those, these next 4 years, that charge tariffs on US products to their countries. Our economy during Trump's first 4 years of tariffs, was great. Again, tariffs implemented only against those that charged tariffs against our products, and not across the board, as Economists believe will happen. It's a tool only to make trade with other countries fair. I did hear and see the definition of tariffs that you showed, but real events of threats of implementing tariffs on another country and their reaction proved that tariffs have a significant effect against that country that is attempting to undermine US businesses and labour. Case and point---China wanted to build a gigantic manufacturing plant in Mexico to attempt to manufacture products and sell to the US for lower prices, but President-Elect Trump threatened high tariffs against THEIR products which facilitated their reaction to HALT the building of that plant. Now, if by definition of what a tariff is were true, then why would China care and stop that plant from going up, if the US consumer was the one who would bear the brunt of those tariffs? By observation, I surmise that the Economists reaction, you showed, were biased against him in the first place. This is my take on the tariffs. Tariffs RAISES the prices in a free market atmosphere so that the consumer will shy away from buying that product or products that the PARTICULAR country that the tariffs are implemented against. So, it seems to me that it's not the definition of tariffs that makes it negative, but HOW it is implemented to protect the US industries, products and our labour force from cheaper labour and products external to our country. Other countries, by definition of tariffs, place tariffs on US products so that they're so expensive to buy that their population will be encouraged to buy local products, therefore, SUPPORTING that economy and not the US's economy. In conclusion, Tariffs, when used by aiming it at UNFAIR trading against the US, helps our economy. If the Biden Administration began to implement tariffs more so across the board, then I agree that it would be bad for our economy, as the economists pointed out in the articles cited, especially, in the long term. But, this new administration will use it as a tool against UNFAIR trade and not to fleece the American consumer. I suspect that President-Elect Trump will discontinue "across the board" tariffs where they are not warranted and WE are being UNFAIR to other countries to whom we do business and they MAY or MAY not have tariffs on our products. In conclusion, again, Aptera will be safe, for the most part, except for parts from China, if they do not trade fairly with our country. Thank you so much, Steve, for this update and explanation of tariffs. I'm actually clearer on the tariffs definition and understand better why Trump implemented them and why Biden implemented more over time. Amazing how two interpretations can use tariffs for two different reasons. Only in AMERICA. 🇺🇲🇺🇲🇺🇲🤙👍😎🛐✝️🔥⛪

[@PandaKnight52]

You are wrong here you need to do some not biased towards Trump research. You will pay more because of tariffs. It ain't protect the US because US businesses have already left the US.

[@jeffpitoniak]

@@timothymitchell3546 trumps economy was a continuation of Obama until his tax cuts and jobs act and tariffs kicked in as basically nothing was done to affect it prior. Once these started to affect the economy, the stock market had 3 of the 10 worst crashes in history. The one on August 14, 2019 was due to the 3 year and 10 year bond yields reversing which ALWAYS signals a recession within 18 months. Inflation and unemployment started increasing and remember trump bragging that farmers love him because he gave them billions of $$$? That was because when he tariffs China, they retaliated with other tariffs and canceled nearly all us agricultural contracts. The us had the most farm bankruptcies in the shortest time in history necessitating this bailout for the farmers. No, his actual economic history was not a success.

[@ModernNeandertal]

If Aptera says nice things about Dump like what a genius he is then Dumpster would probably remove all Aptera foreign parts off the tariff list.

[@harriettanthony7352]

Nope, not a chance, to influence the ENTIRE economy, you need to buy politicians, and not a happy tweet on X. Aptera cannot buy the SEVs frames, forget about bribing Nancy Pelosi!

[@whlanteigne]

Trade stops wars.

[@harriettanthony7352]

Not a universal, but true. By contrast, the tariffs and then oil embargo on 1930's Japan sparked WW 02 in the Pacific

[@andrewfuller8440]

Well, duh! Are you Trump😢 supporters listening?

[@brentwalker8596]

They're mostly clueless. Mass deportations are going to really help America, too. SMH.

[@jerrymolnar8010]

This isn’t as simple as might seem at first glance. Tariffs as seen simply in economic impact only seem bad, but in a tense geopolitical context where China controls 80-90% of crucial materials Tarrifs ( at least temporarily) might actually be good. We NEED to be at least somewhat energy and crucial materials independent. We CAN possibly expand our energy exports, and simultaneously expand production of renewables. Isn’t this exactly what Norway does? We currently are sitting on HUGE undeveloped mineral resources which because of politics and beuracracy and over regulation have gone undeveloped for decades, while China has done the opposite. We should be able to open up our vast untapped resources in a responsible way. California sits on a vast uptapped natural gas resource mostly unused, WHY? Politics. Our military depends on access to crucial minerals and energy.

[@aaronburton5188]

@@jerrymolnar8010tariffs on everything is not the way to do that. It’s like killing a fly with a demolition ball. Preferential sourcing, rebates, strategic government investment and other interventions have much less collateral damage and work way better.

[@gmv0553]

​@@thejose24the economy was actually strong considering the consequences we and the world were facing fighting inflation and results from covid! Our economy is the envy of the world!

[@jeffpitoniak]

​@thejose24 according to the data and international economic sources, the us economy has led the world no matter what the gop wants you to believe

[@billsmith5960]

Tariffs mean nothing to Aptera as they are immune from it. Remember the thousands of comments and lots of videos mentioning how Elaphe and CPC wanted to get to the US market and thus start making their products here? As for the battery, it's a fact they will be made in the US too. So very little will be made outside the US. I bet the next update, Aptera will tell us how much of the Aptera will have US content. I'm thinking 95%. Since the Aptera factories are cut and paste (as what Chris told me) then if the EU throws a tariff on the Aptera, then it doesn't matter as in short order, they will paste a plant there. So this is just spreading FUD. Everything is taken care of. I love that all EV tax breaks are done as it makes Aptera way more attractive. That 20K per year for the US is now 60K.

[@richardryley3660]

Okay, all of that is future plans. All of the bodies currently planned to be used to build the Launch Edition will be produced and shipped from Italy. So if there is a universal tariffs on all goods it will be applied to the bodies. The batteries and frame are currently being produced here in the US, but they are not tooled, and are planned to be produced overseas at least at first. Trump will will take office before production of the Aptera begins, so depending on how long he takes to pass the tariffs, they will effect Aptera for the first few years. Hopefully the batteries and possibly frame can be moved here to the US as soon as 2026, but it seems to me it would be more efficient to make the frames where the body is made. But Aptera says the body will be made in Italy but the frames will be mated to the body in California. Either way, it will be several years before CPC is expected to move their production here. I'm actually hoping that Trump and or Elon Musk think the Aptera is cool and make exceptions for it. Musk did work with Aptera to get the NACS standard passed. So maybe he wants to see how Aptera does so he can make his own version. Maybe he already has.

[@paulhop69]

Interesting. Might just need an industrial plan, or at least vision for future? Or...

[@leonwleklinskidc4329]

I'd rather have a 2% federal tax on everything we buy at point of sale and eliminate our federal income tax system.

[@SteveBueche1027]

Tariffs equal the playing field. If the CCP heavily subsidizes their EV’s thereby making them cheaper in the US market, the tariff would keep the price equal to the current market prices. CCP has been heavily subsidizing most of their imported products to the US.

[@sojourner4726]

United States government pitched more money for EV development in the Chinese government did. The only difference is the Chinese companies under government direction put it towards research and development instead of stock buyback. I don’t blame you for your ignorance, but know your own house before you criticize another.

[@charlesbeane8795]

@@sojourner4726 Ouch. Stock buybacks are definately real but Steve's point about subsidized production in China is valid.

[@boywonder5179]

Abolish the 16th Amendment... to me, it looks like there's waaayyyyy more corruption in our income tax system (tied to central banks & the Fed). Personally, I'd rather have tariffs over taxes!

[@IDNHANTU2day]

Where's my Aptera?

[@gmv0553]

Click bait title! Video on tariffs and not how they will hurt Aptera!