We love visiting Canada regardless of the extra cost due to the imposed taxes of one form or the other across the border . A 10 percent increase in the import cost of aluminum does not bother me here in my country. I'm just glad we here have much lower taxes in all respects compared to many other countries? And the cost of flying is much less here.
Probably best to not push this political issue but I just can't imagine someone from another country complaining about an import tax other than there own? BTW we do love Canadians, no disrespect intended
As far as I know, almost all 4130, 6061, 2024 and 7075 used in US light aircraft is produced in the US already.
As far as I know, almost all 4130, 6061, 2024 and 7075 used in US light aircraft is produced in the US already.
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As far as I know, almost all 4130, 6061, 2024 and 7075 used in US light aircraft is produced in the US already.
I believe the concern was mainly with subsidized industrial and architectural grade steels and aluminum produced offshore and being dumped here.
As far as I know, almost all 4130, 6061, 2024 and 7075 used in US light aircraft is produced in the US already.
I believe the concern was mainly with subsidized industrial and architectural grade steels and aluminum produced offshore and being dumped here.
As I've been reading the news over the past week, I can't help but wonder how kit prices are going to be affected by the imposition of hefty duties on imported metals. Anybody else pondering this?
As far as I know, almost all 4130, 6061, 2024 and 7075 used in US light aircraft is produced in the US already.
I believe the concern was mainly with subsidized industrial and architectural grade steels and aluminum produced offshore and being dumped here.
By the time it works it?s way down the supply chain to retail and everybody has added on to that small increase, the box of cereal, loaf of bread and possibly a RV kit cost a lot more.
Cheaper aluminum was driving the price down for domestic aluminum - that's the whole point of the tariff - to bring prices up.
Mfg in western countries has been decimated in the last 20 yrs - there can't be any doubt about that. Same in Canada - more than half of the tool and die shops have closed and that is the base of the mfg food chain after raw materials. So I understand that there is an appetite for something to be done - no question. But the wages in Canada and the labor and environmental laws are of the same order of magnitude as those in the US. We are not China, working for $2 per day under slave labor conditions. I don't think this policy is being properly targeted.
That is not correct concerning 4130. Chinese 4130 has been a problem for many years in the US. It is junk and I would not consider using it on an airplane. Dillsberg in PA was a large supplier of 4130 for homebuilt aircraft. They had been selling Chinese 4130 for years, when they closed the doors the remaining chinese 4130 was sold to Wicks Aircraft. Aircraft Spruce claims to not knowingly sell Chinese metal. Wicks will supply non Chinese but only on request.
Much of the 4130 tubing is German so this is not a trade issue or political issue for me. I do however wish that all Chinese junk would disappear from the US.
and in 2017 the u.s. exported 2.8 million tons. how does all that make sense?
It means they can't produce it as cost effectively as their competition that is exporting it to the US, so they cannot compete effectively in their home market. They need to export it in order to get the price they are looking for. The ability to make more by exporting is often due to currency exchange issues and not necessarily competitive pricing.
Larry
It means they can't produce it as cost effectively as their competition that is exporting it to the US, so they cannot compete effectively in their home market. They need to export it in order to get the price they are looking for. The ability to make more by exporting is often due to currency exchange issues and not necessarily competitive pricing.
Larry
...4130... is produced in the US already.
Boing airliner air frames have been largely been made in China for over 12 years and assembled and test flown in WA.
I just cannot pass on this one , sorry. But if that were the case , are you saying the countries that are bring in their products into the USA are too stupid to find the markets the US has supposedly found at the higher price?
I bet it is to do more with the type of aluminum.
Import cheap stuff and recyled stuff and process it into high quality Aerospace stuff, like the Chandler plant I linked to earlier in this thread.
It will be all in the grade exported and value added to the imported stuff.
This is only true if profit is charged as a fixed amount on every part, and not a percentage markup on cost. At least in the consumer electronics space, percentage markup on cost is the way it works. If costs go up 10%, and your markup is 40%, the end price still goes up 10%.Therefore, a 10% tariff should be 5% or less on the price paid by Van's customers.
Further, as far as Van's aluminum parts, probably the material cost of the average RV part is less than half the final part price, due to the machine time, labor, overhead and profit applied to that part. It would surprise me if there were greater than a 2-3% real increase in the cost of a Van's kit.
Ideally, all the additional folks getting jobs at US plants will increase the GDP by an amount far offsetting any negative impact from tariffs.
Countries like Norway have historically had exceptionally high tariffs that essentially rule out importation of most goods, yet have almost 100% employment and high standards of living.
If you follow the news about the effects, *many* more domestic jobs are lost due to tariffs than are gained. I'm afraid to quote actual numbers from memory, but the ratio was something in excess of 5-1; for every steel worker job gained, there were 5+ jobs lost in mfg fields, and ripple effect downstream losses.
Countries like Norway have a *lot* of things about them that are positive, and drive that high standard of living. Unfortunately, most of those things are unpalatable to people who believe a policy is good just because someone that they like says it's good.
You really can't condense economics down to bumper stickers.
Charlie
(no Holiday Inns lately, but an economics degree in my distant past...)
The SR 71 was made with titanium the bulk of which was made in Russia...
The titanium was made in the heart of some long-forgotten star, whose last glimmer of nova-shed brilliance has escaped the edge of our galaxy.
Russia just mined the ore and turned it into ingots to sell to us.
If you follow the news about the effects, *many* more domestic jobs are lost due to tariffs than are gained. I'm afraid to quote actual numbers from memory, but the ratio was something in excess of 5-1; for every steel worker job gained, there were 5+ jobs lost in mfg fields, and ripple effect downstream losses.
Countries like Norway have a *lot* of things about them that are positive, and drive that high standard of living. Unfortunately, most of those things are unpalatable to people who believe a policy is good just because someone that they like says it's good.
You really can't condense economics down to bumper stickers.
Charlie
(no Holiday Inns lately, but an economics degree in my distant past...)
Norway's "good thing" is what it controls under the ground (or North Sea). From the EU web site -
Norway is in the global top 5 exporters of crude oil. The oil and gas sector constitutes around 22% of Norwegian GDP and 67% of Norwegian exports. Norway is Western Europe's most important source of natural gas.
They can do all of the stuff and standard of living because of "drill baby, drill"