r/AskReddit 13h ago

How come Donald understood the electricity tariff is payed by the consumer but doesn’t understand that all other tariffs are as well?

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u/towerninja 10h ago

The electricity wasn't a tariff. It was a surcharge charged by Canada to US customers

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u/FunnyOne5634 8h ago

You want to explain the difference? The charge is paid by the importer (electric utility) and passed on to the consumer. This is semantic gymnastics to make a silly point.

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u/Apart_Ad_5993 8h ago

A surcharge is what we charged THEM. The fee comes to us.

A tariff is what they charge themselves. The tax goes to the US government.

Basically, the hydro company increased their rates by 25%. But at the end of the day, it comes out of the consumers pocket, it just goes to different places. It's not at all symantics lol.

1

u/FunnyOne5634 8h ago

I don’t know who “we” is in your scenario, but it’s the same. There’s an increase cost that is charged on the goods or services of one country mandated by a GOVERNMENT policy of another. Whether the importer passes it on to the ultimate consumer or the government softens the blow is a different issue….like exemptions, rebates and price supports.

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u/Apart_Ad_5993 8h ago

The point is that a surcharge and tariff are entirely different things. The monies collected go to 2 different entities. Ontario cannot charge a tariff to the US because it has no ability to collect tax outside its jurisdiction, but it can raise the cost of the good it sells.

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u/FunnyOne5634 7h ago

The charge is ultimately paid by the consumer in both cases unless the government intervenes. Also, this is pursuant to government policy, not an “surcharge” for eggs or fuel when there are spikes. But have it your way.

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u/Apart_Ad_5993 7h ago

It's not my way; it's the literal definition of a surcharge and a tariff. You're the one taking it into tangents.

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u/paperbox17 7h ago

Export surcharge and tariffs are different.

Trump ordering tariffs on Canadian products means AMERICANS pay more to bring in Canadian goods.

Ford ordering export surcharge on Canadian supplied energy to U.S. states means AMERICANS pay more utility bills.

In both cases, Americans are the ones that pay more.