Send by email

your name: email to: message:
Username: Email: Password: Confirm Password:
Login with
Confirming registration ...

Edit your profile:

Country: Town: State:
Gender: Birthday:
Email: Web:
How do you describe yourself:
Password: New password: Repite password:

Wednesday, September 5, 2018

California´s being fired

Por dbloggers

Fires are gaining acres and acres of land in California. The inhabitants of that state of the American nation have already experienced it and although the terror of the flames invades them every time they are unleashed, now their biggest concern is not the burning but the increase in construction costs that have skyrocketed due to the obduracy of President Donald Trump with his commercial war. In addition to the thousands of homes affected in previous fires´ seasons there is the destruction of about 1,200 ones this year and the high tariffs that will affect people with insufficient insurance, who will not be able to rebuild or will have to move to a smaller house.

According to specialists, California residents besides facing this challenge they will also have to face the high tariffs that have directly affected the cost of construction materials in that region of the United States like wood, drywall, nails, essential for the reconstruction of houses. A government official said that due to tariffs, the restoration price of a typical home will amount to more than $ 20,000, and even higher for individual houses built in a hurry.

Still regions like Texas and Puerto Rico have not recovered from natural disasters due to high construction costs.

Also the workforce is getting the citizens of California in trouble along with the prices of materials manufactured in the United States that have a greater demand and are responding to the market´s conduct. However, although the residents of the Golden State recognize these factors get a negative impact on the high prices of construction, they consider astronomical the costs resulting from the governmental measure of increasing the tariffs of some products used daily in construction.

"This is not good if a firestorm has devastated the neighborhood where you live", said Jock O'Connell, International Trade Advisor at Beacon Economics in California.

The matter is that the protectionist measure of President Donald Trump despite recovering industries such as metallurgical and re-position the United States in certain markets has ruined other sectors that also support the US economy. Tariffs of 20% on Canadian timber and 25% on steel imported from some countries, as well as sanctions on an extensive list of products from China, have caused increased costs. It is almost certain that the construction and furniture sector in the United States will raise its prices, but in turn will also cause stagnation, since few citizens will be able to pay the new tariffs that are required as a result of the prices of the raw materials and tariffs of the Commercial War unleashed by Trump.

Rob Dietz, chief economist of the National Association of Home Builders, said that the main variables to determine the cost of a new home are generally labor, interest rates and land availability. The prices of materials and local taxes will also be taken into account.

The tenant of the White House despite raising the flags of America´s First has forgotten U.S.A. citizens, who should be the first ones. But an egotistical and ruthless head of state like Donald Trump is not interested on the working class of his nation, but on the great interests of businessmen like him. By the way, casual or not, Trump belongs to the real estate and construction sector. Will tariffs be fortuitous too?