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trade war brewing?


Azazello1313
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I don't recall the details, but my father-in-law share a while back what the company he works for Case-IH does due to some of these bizarre trade rules regarding building parts of tractors/loaders in South America and here. It didn't make alot of sense.

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Why would a complete van NOT be taxed, where an incomplete one would? Me no comprende.

 

a "passenger van" doesn't get taxed, but a "cargo van" does. so if you put some cheap seats and windows in it, you can avoid the tax, then shred the seats and break the windows and make it a cargo van.

Edited by Azazello1313
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Why would a complete van NOT be taxed, where an incomplete one would? Me no comprende.

 

It's not complete versus incomplete. They put the seats and glass in the vans so it's a passenger, not delivery van. When they get here, the side glass and seats come out, the holes are welded up, and BAM - delivery van.

 

The same thing happens with 2-inch barreled 5-shot revolvers. Due to the GCA of '68, they can't be imported (but can still be made here). So the revolvers are imported with 3-inch barrels and then re-barreled to 2-inch here. The 3-inchers are then shipped back to the factory for assembly on the next batch.

 

More of the distortions into an economy by government, and the consumers end up paying for the crap. In the case of the vans the seats and glass are so cheap to make it doesn't make sense to ship them back.

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I don't recall the details, but my father-in-law share a while back what the company he works for Case-IH does due to some of these bizarre trade rules regarding building parts of tractors/loaders in South America and here. It didn't make alot of sense.

 

Was it Venezuela? They have a protectionist rule about anything available for sale there being 75% made in VZ. That can be determined a number of ways, but I know the car makers used weight for a long time. They'd add weight to the frames, and just ship the last years tooling and dies down there. So in VZ they're buying the previous bodystyle of car.

 

ETA: This isn't a knock on Chavez, it was happening as far back as the 80's.

Edited by westvirginia
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Was it Venezuela? They have a protectionist rule about anything available for sale there being 75% made in VZ. That can be determined a number of ways, but I know the car makers used weight for a long time. They'd add weight to the frames, and just ship the last years tooling and dies down there. So in VZ they're buying the previous bodystyle of car.

 

ETA: This isn't a knock on Chavez, it was happening as far back as the 80's.

 

It might have been. This was a while ago.

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a "passenger van" doesn't get taxed, but a "cargo van" does. so if you put some cheap seats and windows in it, you can avoid the tax, then shred the seats and break the windows and make it a cargo van.

 

 

It's not complete versus incomplete. They put the seats and glass in the vans so it's a passenger, not delivery van. When they get here, the side glass and seats come out, the holes are welded up, and BAM - delivery van.

 

The same thing happens with 2-inch barreled 5-shot revolvers. Due to the GCA of '68, they can't be imported (but can still be made here). So the revolvers are imported with 3-inch barrels and then re-barreled to 2-inch here. The 3-inchers are then shipped back to the factory for assembly on the next batch.

 

More of the distortions into an economy by government, and the consumers end up paying for the crap. In the case of the vans the seats and glass are so cheap to make it doesn't make sense to ship them back.

 

Thanks fellas!

 

I guess my puzzlement is why finish it at all, why not just ship it with NO glass or seats and open windows (so it could be a passenger OR cargo van shell)? Seems weird to have to put glass and seats in it to bring it into the country.

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Was it Venezuela? They have a protectionist rule about anything available for sale there being 75% made in VZ. That can be determined a number of ways, but I know the car makers used weight for a long time. They'd add weight to the frames, and just ship the last years tooling and dies down there. So in VZ they're buying the previous bodystyle of car.

 

ETA: This isn't a knock on Chavez, it was happening as far back as the 80's.

What does this have to do wit delivering beer? :wacko:

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Thanks fellas!

 

I guess my puzzlement is why finish it at all, why not just ship it with NO glass or seats and open windows (so it could be a passenger OR cargo van shell)? Seems weird to have to put glass and seats in it to bring it into the country.

 

prolly because the customs official will look at it and say, "hmm, no seats or windows.....I say cargo van, gimme my tarriff."

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  • 4 weeks later...

oh goodie, china fires the next shot in the trade war

 

China's Ministry of Commerce has made a preliminary ruling to impose tariffs of as much as 36% on certain nylon imports from the U.S., saying the imports have damaged the domestic industry....The move is the latest in a series of Sino-U.S. trade disputes after the Obama administration said in September that it would impose duties of between 25% and 35% on imports of tires from China for the next three years. China followed that decision with probes of potential antidumping measures on U.S. auto parts and chicken.
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