Question

1. List 3-4 manufacturing companies located in the United States
2. Do you think the manufacturing industry is declining in the US? Please support your opinion (2-3 sentences).
3. Let’s imagine what would happen if the U.S. decides to impose (charge) a 20% border tax on all imports from Mexico. What would be the implications of the border tax?

Answer 1

Manufacturing companies that are located in US are Philips 66, chevron corp., generat electric co., ford motors.

Yes the manufacturing industry is declining in the US. There is a shift of manufacturing of different parts of a product to where it can be manufactured cheaply. These companies outsource manufacturing of parts to Asian countries where labour is cheap, so the cost of the product can be lower.

if the U.S. decides to impose (charge) a 20% border tax on all imports from Mexico the Impact will be on both the sides. For mexico, it will weaken their currency against US dollar making it's imports costlier. For the US the automobile sector will take a hard hit as most of the auto mobile parts are imported from mexico, it will make automobiles costlier in the US.