INT 220 Module 3 Discussion Post

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School

Southern New Hampshire University *

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Course

INT 220

Subject

Computer Science

Date

Feb 20, 2024

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docx

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Uploaded by CommodoreMouseMaster571

INT 220 Module 3 Discussion Post: I have to say this module was more challenging for me than the previous two and I know I’m going to have to be diligent about digesting and absorbing all of the information contained in the resource materials! The example I chose to discuss are the heavy tariffs India and China placed on United States Almond Growers. In 2018, then President Trump placed tariffs on $250b worth of Chinese goods. As a result, China raised the tariff on Almonds 50%. California Almond Growers then thought that India and their market for almonds could help offset the increase in costs and decrease in sales in China. Unfortunately, the market in India also changed as short year later. In 2109, President Trump ended India’s preferential trade status. This meant that goods from India would be assessed at a higher tariff. As a result of this, India raised their tariffs on US imported almonds, walnuts and apples by approximately 20%. Per the sources cited in the article, many growers were relying on India to make up for the tighter market in China. With the additional increase in tariffs in India, the growers in California, the shippers of the goods overseas, the distributors in foreign countries, as well as the purchasers of the US Almonds will all feel the impact of these tariffs. These impacts will be seen as an increase of production costs, increased prices and lower quantities of these almonds sold in both China and India. The California Almond Growers will find it difficult to plan for the impact these tariffs will have on their business, as there are a lot of unknowns. At the time of the article, that season’s harvest was imminent, so growers couldn’t adjust the number of almonds planted and harvested. Growers more than likely had shipping and production costs committed as well. This means there’s a high potential for losses after this first harvest and the first harvest after these new tariffs are implemented will be the toughest to predict. Per sources in India, grocers there believe consumers will pay the higher prices necessitated to offset the tariffs as the appetite for almonds is high in that country, however, the same can’t be said in China. Growers will have to adjust the amount they supply/grow to reflect the demands of the customer. References: Maldonado, Samantha. (2019). Trade tensions with India and China put California almond growers at risk. Los Angeles Times. https://www.latimes.com/business/la-fi-almonds-california-tariffs-india-china- 20190627-story.html

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