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David Friedberg Explains the Hidden Key Behind Trade Discussions: Regulatory Parity 🇺🇸 david friedberg on E225: "There's a lot of conversations about tariffs and about trade deficits, but very little about regulatory parity." "And I think that this is really critical for these trade negotiations to actually resolve to... show more
49,334 views • 1 year ago •via X (Twitter)
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Friedberg nails it—regulatory asymmetry is the silent killer of U.S. competitiveness. The United States Reciprocal Trade Act (H.R. 735) directly confronts this by authorizing countermeasures against countries imposing nontariff barriers like IP theft, forced tech transfers, or labyrinthine approval processes that block American exports. Section 3(a)(2) specifically targets these distortions, allowing tariffs to offset foreign regulatory advantages. For example, while the EU slaps a 10% tariff on U.S. cars versus our 2.5%, their shellfish ban blocks $38M in U.S. exports despite taking $274M from Europe. India’s 100% motorcycle tariff vs. our 2.4% is another asymmetry. The solution isn’t just slapping tariffs but enforcing reciprocity: if foreign firms enjoy seamless U.S. market access, American businesses deserve the same abroad. Until that happens, strategic tariffs under H.R. 735 level the field against regulatory warfare.

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@friedberg 🎯💯

@friedberg I was thrilled to see no Jason until I saw who replaced him. Pod continues to fall further and further off the cliff.

FRIEDBERG ON APPLE IPHONE PRODUCTION IN INDIA I don't think the Apple deal is from a standstill. My understanding is Foxcon and others have been working with Apple to actually stand up manufacturing capacity in India for some time now, and I do believe that they probably have one or two model runs already active in the country. So, I don't think that this is necessarily from a standstill, let's go recruit the people, figure out the processes, find the builders, stand up the facilities. That there's probably a model system already running that's now about replication and scale up, which is why they have confidence in the stated goal. It's not often that Tim Cook will stand up and say, "I'm going to do something in 18 months," and then be delayed by years. He's not Elon. He's going to come out, he's going to be very clear. He's always been very clear… and my understanding is this has been thought about for some time… for three years now, you've been hearing people banging the table saying, "Get everything out of China as quickly as you can." Yeah, Tim Cook's heard that message. He's been thoughtful about it, he's been planning for this day. I don't think he wanted to be declarative about this until the day came. Well, the day is here. @friedberg ht @andrewrsorkin @chamath @DavidSacks @theallinpod

@friedberg It’s not easier for a European business to operate in Europe than for an American business. The same applies to most other countries. The problem for US companies is that they’re not used to localizing and whatever they do internationally is irrelevant to their US business size.

@friedberg This is lame. If that’s true, then why do all the big U.S. corp set up businesses in third world countries, even with all the restrictions? What’s really driving them to be so keen to get into places like China and India? Out of the goodness of their hearts? Give me a break.

@friedberg 👏👏👏👏

@friedberg Is there any evidence China isn’t doing a trade deal with the US?

@friedberg Well said!!!

@friedberg 💯
