Jonathan V. Last

So the US imports $600 billion worth of goods from China every year. 95% of that at Ocean Freight. Those goods sell at retail for $2 trillion, right? Which tells you about where the value chain is, what they talk about at B-School. You know, where is the most value accruing? And the most value actually accrues to the end-stage retailer. That's why they mark up their goods typically about 3x.

So the US imports $600 billion worth of goods from China every year. 95% of that at Ocean Freight. Those goods sell at retail for $2 trillion, right? Which tells you about where the value chain is, what they talk about at B-School. You know, where is the most value accruing? And the most value actually accrues to the end-stage retailer. That's why they mark up their goods typically about 3x.

If the tariffs on China continue at this level, we will see a $2 trillion hit to economic activity in our country. The failure of tens of thousands of American businesses and the laying off of millions of employees. But that's not the worst part. That's not the worst part, right? So when the brands fail, these are American brands. Again, I'm just reading from Peterson.

If the tariffs on China continue at this level, we will see a $2 trillion hit to economic activity in our country. The failure of tens of thousands of American businesses and the laying off of millions of employees. But that's not the worst part. That's not the worst part, right? So when the brands fail, these are American brands. Again, I'm just reading from Peterson.

If the tariffs on China continue at this level, we will see a $2 trillion hit to economic activity in our country. The failure of tens of thousands of American businesses and the laying off of millions of employees. But that's not the worst part. That's not the worst part, right? So when the brands fail, these are American brands. Again, I'm just reading from Peterson.

They will be purchased out of bankruptcy by their Chinese factories, who thus far have built everything except a customer-facing brand, which is where most of the value capture happens. Consumer goods companies typically mark up goods three X or more to support their fixed costs. Now the factories will get to vertically integrate and capture the one part of the chain they haven't yet dominated.

They will be purchased out of bankruptcy by their Chinese factories, who thus far have built everything except a customer-facing brand, which is where most of the value capture happens. Consumer goods companies typically mark up goods three X or more to support their fixed costs. Now the factories will get to vertically integrate and capture the one part of the chain they haven't yet dominated.

They will be purchased out of bankruptcy by their Chinese factories, who thus far have built everything except a customer-facing brand, which is where most of the value capture happens. Consumer goods companies typically mark up goods three X or more to support their fixed costs. Now the factories will get to vertically integrate and capture the one part of the chain they haven't yet dominated.

Well, no, I mean, the tariffs aren't going to last forever.

Well, no, I mean, the tariffs aren't going to last forever.

Well, no, I mean, the tariffs aren't going to last forever.

What they're going to do is they're going to own the most valuable part of the brands, right? Right now, the Chinese own the least valuable part, which is the manufacturing, which is why the manufacturing is based over there, is because it's the cheapest, because it's the least value add, right? And we're going to hand them vertical integration, right?

What they're going to do is they're going to own the most valuable part of the brands, right? Right now, the Chinese own the least valuable part, which is the manufacturing, which is why the manufacturing is based over there, is because it's the cheapest, because it's the least value add, right? And we're going to hand them vertical integration, right?

What they're going to do is they're going to own the most valuable part of the brands, right? Right now, the Chinese own the least valuable part, which is the manufacturing, which is why the manufacturing is based over there, is because it's the cheapest, because it's the least value add, right? And we're going to hand them vertical integration, right?

which once it's gone, you know, then you've got nothing. And this is, again, this is Donald Trump's, I just assume it's idiocy.

which once it's gone, you know, then you've got nothing. And this is, again, this is Donald Trump's, I just assume it's idiocy.

which once it's gone, you know, then you've got nothing. And this is, again, this is Donald Trump's, I just assume it's idiocy.

A million percent, yeah. It's a very strong number. It's a very powerful number, a million percent tariffs.

A million percent, yeah. It's a very strong number. It's a very powerful number, a million percent tariffs.

A million percent, yeah. It's a very strong number. It's a very powerful number, a million percent tariffs.