Obama Fiddles while China Gets Jeep

In December 2011, a few American-made vehicles were getting over China's high 25% tariff barrier, so the Chinese government raised the barrier.  According to The Guardian, China raised its tariffs on GM cars by as much as 22% and on Chrysler cars by as much as 15%: General Motors faces the greatest impact, almost 22% extra on some sports utility vehicles (SUVs) and other cars with engine capacities above 2.5 litres. Chrysler faces a 15% penalty, while a 2% levy will be imposed on BMW, whose US plants make many of the cars it exports to China. Existing taxes and duties already push up the cost of US imports by 25%, and the new levies make it even more expensive for Chinese consumers to buy American. GM caved in April when it agreed to build several new Cadillac factories in China.  Chrysler caved last week.  On October 22, Bloomberg reported that Fiat, Chrysler's owner, is preparing to build new Jeep factories in China and may eventually import Jeeps from China....(Read Full Article)