ArticlesBlog

‘Hysteria’ over China tariffs is ‘overblown’: Fmr. Toys ‘R’ Us CEO

‘Hysteria’ over China tariffs is ‘overblown’: Fmr. Toys ‘R’ Us CEO


NOW. THAT WAS ASHLEY DRINKING HIS COFFEE. WELCOME BACK. NOW, YOU TELL ME, SO FAR, HAS THE CONSUMER REALLY BEEN HURT BY THE TARIFFS WHICH WE HAVE IMPOSED ON CHINA PRODUCTS?>>YOU SURE CAN’T FIND IT. AND WHEN YOU TAKE A LOOK OVERALL, I BELIEVE THE HYSTERIA SURROUNDING THIS IS WAY OVERBLOWN. IN FACT, THE MARKET SHOULD BE TRADING ON FUNDAMENTALS OF THESE COMPANIES AND THE ECONOMY AND NOT ON THESE TARIFFS AS IT APPEARS TO BE DOING. WHEN YOU TAKE A LOOK AT THE $300 BILLION OF GOODS THAT WILL BE SUBJECT TO THESE TARIFFS, MUCH OF WHICH IS NOT UNTIL LATE INTO DECEMBER OF THIS YEAR, THOSE GOODS IMPORTED FROM CHINA REPRESENT APPROXIMATELY 3% OF TOTAL CONSUMER EXPENDITURES SO YOU ARE TALKING ABOUT 15% TARIFF ON 3% OR FRACTION OF A FRACTION AND IT’S JUST NOT MATERIAL TO THE CONSUMER. IT MAY BE MATERIAL TO INDIVIDUAL COMPANIES WHO HAVE, YOU KNOW, MAY HAVE A BEEF WITH IT OR CASE AND I CONGRATULATE THEM ON PETITIONING THE GOVERNMENT AS THEY SHOULD DO IN A DEMOCRACY TO TRY TO SEE THEIR BUSINESS INTERESTS IMPROVE, BUT THE CONSUMER AS A WHOLE, IT’S JUST NOT A BIG DEAL, DESPITE EVERYTHING EVERYONE TALKS ABOUT, THE REST OF IT, THE NUMBERS DO NOT SAY THAT ABSOLUTELY. MEANWHILE, THE CONSUMER’S VERY STRONG. THESE TARIFFS ARE NOTHING, NOTHING LIKE THE SMOOT-HAWLEY TARIFFS DURING THE DEPRESSION. THEY WERE 50% TO 60% LEVELS THAT WE ALL LEARNED IN ECONOMICS CLASS DESTROYED THE ECONOMY AND IT’S WHY WE ALL HEARD TARIFFS ARE BAD. THIS IS A SMALL PERCENTAGE TARIFF ON A SMALL PERCENTAGE OF TOTAL CONSUMER EXPENDITURES. IT’S RIDICULOUS TO TALK ABOUT CONSUMER PAIN OR BRINGING THINGS DOWN. STUART: YOU ARE BEING OBJECTIVE. THAT’S WHAT WE LIKE. YOU ARE OBJECTIVE ABOUT THE IMPACT OF THESE TARIFFS. THAT’S GOOD STUFF. NOW, LET’S JUST SUPPOSE THE PRICES DID RISE OVER THE LONGER TERM. PRICES DID RISE. WOULD AMERICANS, DO YOU THINK, BE PREPARED TO PAY MORE IN THE INTEREST OF CONFRONTING CHINA?>>DEPENDS ON HOW MUCH MORE. I DO THINK SOME PRODUCT PRICES WILL RISE. MY POINT IS IT’S JUST NOT A LOT OF TOTAL EXPENDITURES. SOME PRICES WILL HAVE TO RISE WHEN COMPANIES AREN’T ABLE TO MITIGATE THE IMPACT AS MOST OF THEM SHOULD BE ACTING TO DO. I THINK THE QUESTION IS HOW MUCH PAINS THERE. CONSUMERS RIGHT NOW ARE FULLY EMPLOYED, THEY HAVE GOOD WAGES AND THEY WILL SPEND MONEY. LISTEN, THIS IS ALL BACKGROUND NOISE TO THE CONSUMER. IF PRICES RISE UP TO THAT LEVEL YOU HAD DURING THE DEPRESSION, THAT’S A DIFFERENT STORY. AT THIS LEVEL, IT’S JUST NOT GOING TO PLAY THROUGH AND HAVE A MAJOR IMPACT ON THE CONSUMER AS A WHOLE VERSUS INDIVIDUAL PRODUCTS. IT’S JUST NOT. STUART: LET’S NOT FORGET THAT GAS PRICES ARE FALLING QUITE SHARPLY. THAT PUTS MORE MONEY IN YOUR POCKET.>>WELL, THERE’S A HUGE DEFLATION IN THE PRICE OF COTTON, ONE OF THE MAJOR COMMODITIES THAT GOES INTO APPAREL. WHO TALKS ABOUT THAT? AND THE DECLINE IN PRICES, NOBODY TALKS ABOUT THAT.

Comments (85)

  1. The lack of wisdom on the Progressive side is not surprising. They would rather side with China who is screwing them over than a president who is doing all he can to keep them from ruining our country

  2. President Trump revoke all Chinese student visa's

  3. 200+shoe companies in China and archipelagos looking to end tariffs…. Buy Red Wings

  4. G7 summit next year not going to Miami Trump resort because visitors gets bits from bedbugs there.

  5. Guys toys r us is closing stores do you really wanna listen to this guy ??

  6. US military move from Germany to Poland is fake news .Poland don't has facility's like Ramsztain Germany 1000 buildings many underground.

  7. China trades negotiation going very well for last two years.N.Korea Iran and others countries the same way.

  8. 4Q GDP gone be 1,5% to 1,7%.Less then last one.

  9. This is a former CEO of a bankrupt company. Really? I have some profitable swamp land I'd like to sell ya if believe this idiot.

  10. Aren't "toys r us" stores closing down all over America?

  11. We should be working with the Philippines rather than Commie China.

  12. The yield curve is getting down down down … lol

  13. Lol didn't toys r us go under?

  14. Says a CEO who bankrupted his company ………….. right.

  15. Says the recently bankrupt CEO.

  16. Raise to 100% la, no hurt anyway

  17. Buy stuff made in the U.S.A rather than China communist oppression party that stealing Jobs and intellectual property. Buy American Made and hiring American.

  18. Make it 20% President Trump!!
    The Chinese have made a documentary saying American workers are lazy!!
    I just watched it on CGTV. 😠

  19. Boycotting all products "Made in China"!!

  20. When I showing the green color ohhh the feel will be..😍👊👍👌

  21. SUCH A GREAT LEADER !
    THANK YOU PRESIDENT TRUMP FOR YOUR SERVICE TO OUR NATION !
    AMERICANS TRUST THE PROCESS !

  22. The "hysteria" is nothing more than a bunch of communist sympathizers and "orange man bad" syndrome.

  23. RUBBISH

    TOYS AR'US….
    CLOSING AROUND THE WORLD..

    SO THE SHAPE OF TOYS AR'US….
    MUST BE TOP……
    FOR SURE…..
    SURE

    ALLEZ SALUT
    AND BYE

  24. I ran a failed company that sold cheap Chinese made crap to kids at a over brown prices

  25. Lol ANOTHER CEO TELLING US NOT TO WORRY 😆

  26. Lol
    Come on recession. Let's get this idiot out. Farmers became socialists real quick didn't they?

  27. CGTN just released a video about a documentary making fun of American workers calling us lazy and wanting to tape American workers mouths shut.
    Boycotting all the made in China products and quit working for the Chinese factory's!!

  28. If company raise the prices on the goods( shoes) that is made in China, I simply just not going to buy it, period!!!

  29. But toys r us went outta business lol 😂

  30. Got China seeing Orange!!! MAGA🇺🇸

  31. Lol I'm in agreement with most of what Trump does not sure if I'm really in agreement over the tariffs but seriously you're taking advice from a toys r us CEO you do realize that company has went under??

  32. These tarriffs are not good to anyone any Economus in that world

  33. Toys 'R' Us CEO should be talking about why he bought so much Star Wars merch.

  34. Okay, does anyone take seriously the opinion of the CEO who is partially responsible for running Toys R Us into the ground?

  35. Tariffs won't affect rich peoples like this 2.
    The americans like Amazon,Ebay, Walmart & Nike ect ect…..,but they hate Made in China😅😅😅😅

  36. The Constitution says Congress sets tariffs, not the president. They made a law that he can set them for national security reasons only, but he says a good economy is important for national security, so he can set them on everything. That is a loophole in a law Trump is using to violate the Constitution. Even if you support Trump, you should want him to follow the Constitution and let Congress set tariffs.

  37. Trump's trade war = recession. This guy is an idiot.

  38. True. The effect on the US is small, while China's economy is breaking up under the tariffs. Without a trade agreement with the US, China's economy is going to totally COLLAPSE.

  39. I’m making money due this irrational fear, keep it going!

  40. With all do respect, your report is incomplete.  It is not the markets that are hurting it is the farmers. Update your report to include farmers.

  41. I like how he pointed out his objectivity. Its so darn rare on tv

  42. "Do you think Toys R Us should be on the internet Mr CEO?"

    "Nah. The internet is a dud. It'll never catch on. Lets build 1000 new stores and fill them with toy giraffes."

  43. Says the guy who drove his business to BK.

  44. Nike threw out shoes that were too patriotic for Colin Kaepernick…….what a waste! I don't feel sorry for them, I love the tariffs 🙂

  45. says the former toys r us CEO? LOL

  46. Don’t buy products made in China and you won’t pay the tariffs it’s that simple.

  47. Trump tariffs 'coup de grace'.  By the time the🇺🇸Christmas shopping season arrives, 🇨🇳will be bloated with consumer electronics.  U.S. shoppers will be buying 'made in China' at FIRE🔥SALE😂PRICES.
    China knows exporting the cost of tariff's means losing hundreds of billions of "low price leader" market share to competitors.
    ~🇬🇧Gave🇨🇳until 2047 to be a democracy.~

  48. I haven't been affected by tarriffs. We need to stand up to that communist China. They have been stealing from us for decades and our leaders have permitted it.

  49. Says the former CEO of a toy company that went out of business… Typical Fox/Trump News. Find the loser who talks the loudest and get his opinion. Next, they'll have David Duke on talking about tolerance and acceptance. 😉

  50. Well I see that either YouTube or fox is deleting any truth submitted about the clinton crime syndicate.
    Edit:
    Joe Black may be a bot. I checked its profile and it has no content.

  51. The Anti Trump Tariff DrumBeat is coming from Globalists / Financial Investors who have been $$ Profiting from Communist China ..

    When they say that Tariffs are "Hurting the American People" it is a Lie / Charade said differently that their Profits are being Hurt .. they Do Not Care about anyone but themselves / their Clients $$$

  52. US gdp is growing Fast at 2% and Chinese gdp is slow at 6.2%..hahaha

  53. Believe in your country! Real Americans know what side they're on… if we stick together we are untouchable. Support us products China secondary! 🇺🇸 stand together! Blood Sweat and Tears have been shed. stand for something or fall for anything

  54. didn’t this guy run the company into ground?

  55. Yes we back the president

  56. More from our traitorous ruling class, this time from the investment "branch" of our crooked ruling class.

  57. So Fox invited a failed CEO asking him about economic policy, who thought that to the very end doing online business wasn't a viable ideal………SMH

  58. Americans who don't watch Fox Business, but CNN, MSNBC, and every MSM news outlet who all lie as easily as they breathe against our President are already brainwashed to condemn the tariffs and in fact anything that hurts the man. America's DJ is America's Mainstay. Without him, we'd all be godless socialists.

  59. when you buy from CHINA, you support communism.. raise tariffs! screw the rich mans stock market lol. fold you commie leadership.. nothing against the Chinese people, they like to buy American made!

  60. Farmers have been effected though.

  61. They have brainwashed people paying more for American Products" nonsense" prices skyrocketed buying from China.

  62. 85. La posición geográfica de México pieza clave para la Victoria de Rusia y de china.
    Atte Iván Alejandro Cortés Aceves

  63. 85. La credibilidad gubernamental de EEUU agoniza.
    Atte Iván Alejandro Cortés Aceves

  64. Republicans sure do like taking financial advice from guys whove declared BANKRUPTCY. Trump, this guy, etc.

  65. I believe is good to tecare our country not our billionaires and China

  66. Crazy hyped up scare tactics. You mean like Y2K? The media never overhypes anything do they?

  67. China imploding bad luck.

  68. Leave China totally……..including communication with them…they’re wanting their people to die for their country because they have a lot of them are idiots morons low self discipline and unskilled…..

  69. Here're the facts based on statistics and calculations. The US GDP has reached $23 trillion, and the total amount of money from the US exports each year to China, is about $170 billion, which is approximately less than 1% of the US GDP or 0.74% (or 0.74/100 < 1/100) to be exact. This fraction number is too small to account for our country's $23 trillion GDP! So what's the big deal about the trade deal with China? Stop doing business with China and impose tougher tariffs on Chinese goods to stop China from stealing our American jobs and technology! It's the right thing to do for our country because the tiny fraction number representing the trade deal with China does NOT benefit our economy after all. America is doing just fine, with or without China.

  70. Here're the facts based on statistics and calculations. The US GDP has reached $23 trillion, and the total amount of money from the US exports each year to China, is about $170 billion, which is approximately less than 1% of the US GDP or 0.74% (or 0.74/100 < 1/100) to be exact. This fraction number is too small to account for our country's $23 trillion GDP! So what's the big deal about the trade deal with China? Stop doing business with China and impose tougher tariffs on Chinese goods to stop China from stealing our American jobs and technology! It's the right thing to do for our country because the tiny fraction number representing the trade deal with China does NOT benefit our economy after all. America is doing just fine, with or without China.

  71. So far, Trump's tariffs on Chinese goods have cost American consumers only 0.2% of the prices, according experts. It means Americans pay additional 0.2 cent for anything that costs $100. If Trump's tariffs go up to 100%, US consumers still pay less than $1 on any $100 item. By contrast, Chinese consumers and companies have to pay a hefty price for Trump's tariffs. Experts predict that China's GDP growth rate would fall to 3 or 4%, instead of the current 6% as China falsely claimed. This means 40 to 50% loss of China's GDP. China need to stop stealing American jobs and technology or more consequences will follow.

  72. didnt he drive toy r us into bankruptcy

  73. "Former" CEO of… wait for it… ToysRus!!! LOL Maybe they can find the former CEO of RadioShack and start a brain-trust of total failures!! LOL

  74. Toys r us fails and this guy has relevance?

  75. NOOOOOOOOOOO!! China in deep doo doo!!

  76. Someone better deal with the trade situation with China. Is the us economy highly dependent on intellectual capital? Wake the hell up! China Inc is alive and kicking with intellectual elite in US.

  77. The tarrif argument just doesn't cut it…. . A trade deficit arises when the US imports more than it exports…. So what will the tarrifs address…. Not unless it's a stealth tax on the American people… And as little a percentage point as it may be…its still a tax

  78. I am ok with the trade war CCP is Eivl we shoud not doing busnises with a Commusist country anyway.

  79. Made in China didn't equal lower prices anyway. Everything with a brand made in China has always over 2-5x plus the actual cost of making the product there. A iPhone has been proven by researchers that the cost if making one is roughly$200 while Apple charges $1000. How are we paying less if they are made cheaper.

  80. Are you serious the CEO of Toys R Us is your expert guess, Toys R Us went out of business!

  81. Trump on China:
    “They are desperate to make a deal”
    “We Will have a deal,”
    “I’m not ready to make a
    Deal,”
    "I think they want to make a deal,"
    “I sort of think they have to make a deal”

  82. When is a call not a call,?when china has NOT made that call fucken stupid, America wake up, seriously is this moron the man, and i say màn with a grain of salt, to run your country. NOT!!

Comment here