Trade War

[Happy Hal]

Still unclear (get the pun?) how the latest international trade policies and agreements will settle out.  I know I'm new here, but I think this community needs to take a stand, and pledge that if any foreign power tries to mess with our mash, we're all ready, willing and able to beef up our consumption to the point of any imbalance!  Who's with me?!

[ondarocks]

5 minutes ago, Happy Hal said:

Still unclear (get the pun?) how the latest international trade policies and agreements will settle out.  I know I'm new here, but I think this community needs to take a stand, and pledge that if any foreign power tries to mess with our mash, we're all ready, willing and able to beef up our consumption to the point of any imbalance!  Who's with me?!

Did we quit when the Germans bombed Pearl harbor?!! Hell no!

[CardsandBourbon]

10 minutes ago, ondarocks said:

Did we quit when the Germans bombed Pearl harbor?!! Hell no!

 

[rjg1701]

Shut up, he's on a roll.

 

[Happy Hal]

Because when the going gets tough.....................................................................................................................................

[Happy Hal]

............the tough get going!

[Harry in WashDC]

Lemme see - The EEC may punish the US by raising the tariff on bourbon exported to Europe, thus cutting into sales in Europe.  The immediate effect of such a tariff would be to increase the retail price in Europe, thus discouraging Europeans from purchasing bourbon.  Hence, producers would have more inventory HERE as they won't be able to sell as much bourbon shipped to Europe; if they do continue to ship it to Europe, they will incur shipping costs and storage costs that they cannot recover as quickly as they have.  The alternative for bourbon makers to recover their sunk costs would be to encourage sales domestically of bourbon formerly sold in Europe.

 

Tell me again - WHO would be hurt by a higher EEC tariff on bourbon?

[Mako254]

Harry,

 

so what you are saying is SFTB and 12yr 101 will be on shelves across the nation by Memorial day, 4th of July at the latest???

 

 

 

[Jace]

A ridiculous situation. The two biggest proponents of free trade, USA and EU, fighting over who can hurt the other the most by making it less free, thereby only hurting themselves.

 

It's bad enough that my Scotch whisky is probably gonna see an increase in price after Britain leaving. Now my bourbon might too because of two overgrown children.

[Whiskey Lullaby]

2 hours ago, Harry in WashDC said:

Lemme see - The EEC may punish the US by raising the tariff on bourbon exported to Europe, thus cutting into sales in Europe.  The immediate effect of such a tariff would be to increase the retail price in Europe, thus discouraging Europeans from purchasing bourbon.  Hence, producers would have more inventory HERE as they won't be able to sell as much bourbon shipped to Europe; if they do continue to ship it to Europe, they will incur shipping costs and storage costs that they cannot recover as quickly as they have.  The alternative for bourbon makers to recover their sunk costs would be to encourage sales domestically of bourbon formerly sold in Europe.

 

Tell me again - WHO would be hurt by a higher EEC tariff on bourbon?

I was explaining this in the exact same way the other night to my wife after I saw on the news that there may be potential tariffs on bourbon in Europe. Potentially lower prices and increased supply in the U.S.? Sign me up!!!!  

 

[anthony. g.]

3 hours ago, Jace said:

A ridiculous situation. The two biggest proponents of free trade, USA and EU, fighting over who can hurt the other the most by making it less free, thereby only hurting themselves.

 

It's bad enough that my Scotch whisky is probably gonna see an increase in price after Britain leaving. Now my bourbon might too because of two overgrown children.

With a little bit of luck my fellow inhabitants of the Uk can stricke a better deal with the USA once we have left the EU and bourbon drops in price. 

i live in hope!

 

 

 

 

 

 

 

 

 

 

 

 

[beasled]

8 minutes ago, anthony. g. said:

With a little bit of luck my fellow inhabitants of the Uk can stricke a better deal with the USA once we have left the EU and bourbon drops in price. 

i live in hope!

 

 

 

 

There's no way retailers would lower their prices of anything, so you'd not see the discount passed on if there was one, that's for sure. 

 

We're hardly ever just charged whatever the US price is plus VAT. Look at the EH Taylor line up...

[anthony. g.]

47 minutes ago, beasled said:

 

There's no way retailers would lower their prices of anything, so you'd not see the discount passed on if there was one, that's for sure. 

 

We're hardly ever just charged whatever the US price is plus VAT. Look at the EH Taylor line up...

ye i make you right there. 

[JoeTerp]

On 3/8/2018 at 9:54 AM, Harry in WashDC said:

Lemme see - The EEC may punish the US by raising the tariff on bourbon exported to Europe, thus cutting into sales in Europe.  The immediate effect of such a tariff would be to increase the retail price in Europe, thus discouraging Europeans from purchasing bourbon.  Hence, producers would have more inventory HERE as they won't be able to sell as much bourbon shipped to Europe; if they do continue to ship it to Europe, they will incur shipping costs and storage costs that they cannot recover as quickly as they have.  The alternative for bourbon makers to recover their sunk costs would be to encourage sales domestically of bourbon formerly sold in Europe.

 

Tell me again - WHO would be hurt by a higher EEC tariff on bourbon?

The US Consumers wouldn't be hurt by this at all, but the producers would almost certainly be hurt.  I'd have to imagine that most of the sales for these products are the entry level brands and not the allocated super premium products.  I'm thinking Jack Daniels No 7 here.  If tariffs raise the price on that and they sell less in Europe they won't be able to sell more in the US.  You can already go to any liquor store or bar in the country and buy that if you really wanted to.  So Brown-Forman would be the loser here. 

[jvd99]

A worthwhile hypothetical discussion, but we’re clearly putting the cart before the horse

Edited March 14, 2018 by jvd99