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March 28, 2025 - The David Knight Show

15:18

Trillion-Dollar Heist: Trump’s Tariffs and Stablecoins to Rob You Blind

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	The CEO of Qantas admitted this week that flying may well become so expensive that it is something only for the privileged.
	And not just flying, but here in America, cars.
	Cars will become so expensive that only the wealthy will be able to do it.
	Because, you know, Trump just added 25% to foreign cars yesterday.
	The average price of a car is $48,000, so he just added $12,000 to the price of a car.
	What's all this stuff about you're not going to pay the tariffs?
	Other people will pay the tariffs, right?
	Well, you're going to pay the tariffs if you buy anything.
	And who benefits from all this?
	Tesla, more than anybody else.
	Elon Musk.
	As one person on X said, Nightwatch N8.
	This was sent to me by a listener.
	Thank you.
	Why Elon was put here?
	He said, and he had a list there, 12 states who are working.
	On banning automobiles.
	You know, the real automobiles, not the electric stuff that you need tethered to the grid that they control.
	But the ones that use fuel.
	And of course, it's California doing it and 11 others that are tethered to them.
	And, you know, look, Biden was against cars because of his green agenda.
	And what did he do?
	He ran sanctions.
	And he says it's going to be very painful, but that's where we've got to go.
	Now, Trump is doing really a war on cars.
	I don't know any other thing to call it when it's 25% tax.
	But he's doing it to help us as a nation, isn't he?
	And he's not doing it and calling it a sanction.
	He's calling it a tariff.
	And yet the person who is going to benefit from all this stuff is going to be Elon Musk, who is moving to rental.
	Why did that go?
	You'll own nothing and you'll be happy.
	You'll rent everything.
	Trump's new car tariffs are a $100 billion tax increase that nobody wants.
	And he admitted that it's going to be $100 billion.
	Actually, that was his staff.
	Trump said it's going to be way more than that.
	Can the MAGA people get their head around this?
	That it's a tax?
	That it's something that you are going to pay?
	The reason they said the President gleefully predicted the cost to consumers could be as much as 10 times higher.
	Few trade policy moves are more abundantly counterproductive and costly than tariffs on cars and on car parts.
	And when we look at the entire price of a car, average $48,000 today, adding $12,000 to it, taking a $48,000 car and jumping it to $60,000 automatically, well, most of the cars that are going to be sold here are a mixed bag.
	And so there's going to be some parts that are involved in it, and those parts are going to be taxed.
	And so it won't be the full $12,000, but they're looking at it being $5,000 or more added to the price of a car because of this back and forth and back and forth.
	They had a trade agreement that Trump was so proud of.
	They had NAFTA did it.
	And you had then his USMCA.
	And so for about 30 years, we've been telling all the businesses, hey, we want you to distribute your production across the US, Canada, and Mexico.
	And now Trump is going to bring a screeching halt to that.
	And while he gets everybody's attention for this, he's working on the crypto stuff.
	In the background.
	He said, Instead, the tariffs are going to make cars and light trucks more expensive and likely reduce the number of cars made and sold in America.
	The only winner is likely to be the federal government's tax coffers and musk.
	Americans will pay the money for the privilege of buying a car that the government dislikes for arbitrary reasons.
	Again, for Biden, it's all I don't like your car because it burns gasoline.
	For Trump, I don't like your car because it came from that country.
	Immediately, he disputed his own staff's estimates of $100 million.
	He came up with a much higher tax increase on Americans.
	He says, I don't think ultimately we could probably get anywhere from $600 billion to a trillion, he said.
	I think we'll go from $600 billion to a trillion in two years.
	Just like Biden.
	Yeah, you're going to pay more for this, and you're going to have fewer choices, and it's going to be painful, but hey, it's worth it for my agenda.
	Biden said that.
	Trump said that.
	They've got a slightly different agenda that they're selling you, but they both don't care about your pain.
	It's worth it to them.
	If the goal of tariffs is to draw more manufacturing in the U.S., then the tariff revenue would decline over time rather than increase.
	But whatever the final figure, so in other words, he's saying, well, I think it's going to start out at this and then it's going to get bigger.
	Well, then you're expecting that there's not going to be any domestic increase in production?
	That instead, we're going to continue along this same path, and you're just going to get more and more tax revenue?
	Because if people start making this stuff here in America, then that's going to cut out your revenue.
	They said, whatever the final figure turns out to be, the new tariffs are a significant disruption for the auto industry that employs more than 7 million people.
	Even before Wednesday night's announcement, industry insiders projected lower sales and economic disruption.
	See, this is something that's going to hurt the private economy.
	California has just lost a tremendous number of private jobs and added even more jobs into the public sector.
	So, that's where we're headed with all of this stuff.
	Cox Automotive projects that there will be 700,000 fewer cars sold in Americano GM and Ford stock went down on this announcement.
	A 4.3% decline from last year's total.
	And history suggests...
	That everything is going to get more expensive, including even the domestically produced cars.
	Because we saw the same thing happen when Reagan did it.
	Reagan imposed import quotas on Japanese cars.
	The result was higher prices for cars made in Japan, of course, but also higher prices for cars made in America and Europe.
	Because they faced less competition, car makers simply started charging more.
	The $100 billion tax is likely not going to be the only cost incurred by these tariffs.
	So is it worth it to ask, what is the Trump administration trying to accomplish here?
	And what is a foreign car?
	If you've distributed your production across U.S., Mexico, and Canada, if you have a BMW that's built in South Carolina, is that a foreign car because of the name on the hood?
	What about a Toyota truck that is assembled in Tennessee?
	What about a Ford that is built in Mexico with parts sourced?
	Well, the bottom line is that they want a ban on private cars.
	And I think this is one of the reasons why Tesla is the big winner in this.
	You know, there's not any company that sells cars in America that makes the cars 100% in America except for Tesla.
	What a coincidence!
	Isn't that amazing?
	And so, while competitors like Ford and GM will see, just with the parts that are going back and forth, they'll see anywhere from $4,000 to $5,000, according to industry averages, per vehicle, even though they're building them largely in the U.S. Again, if a car comes in, it's going to be much more than that.
	But he's not going to have any of that.
	And as I said, we've seen...
	The U.S. government hawking his cars as people are attacking the dealerships because they don't like his politics.
	As you see his sales in Europe tanking down 49%.
	And you see the competition from the Japanese companies.
	This has Elon Musk's fingerprints all over it.
	And we know where this is all headed.
	It's so effective.
	And in the UK, they have gone down the path that all these vandals that just stop oil people, the ones who are throwing paint on all the paintings and vandalizing everything, they've now said, we're ending our campaign because the UK government has now adopted what we wanted.
	They're getting rid of the quote-unquote fossil fuels.
	So they're going to get rid of the cars.
	They're going to make sure that you...
	A, can't afford them.
	That's a big part of what Trump is doing.
	Big boost in the price of cars, so you can't afford them.
	You'll have to rent them.
	Rent them by the ride.
	And whether they use this excuse of, well, we've got to save the planet from melting down, or we've got to save American manufacturing, either way, it comes out the same thing.
	Ending private cars that are independent of the grid.
	Crypto Fund Manager says, this is the single largest arbitrage in human history.
	Yeah, we're talking about the stablecoins is what he is talking about.
	And understand that when we talk about this, what we're talking about fundamentally is tokenization, securitization, derivatives, things like ETFs, all of this stuff.
	And if you go down this road, you're ripe for the taking.
	And they can't wait.
	Speaking of stablecoins and the ability to use them for payments, what's your take there?
	Yeah. Look, people...
	I think if you go...
	There's 8 billion people on the planet.
	If you could go to each of those 8 billion people and ask them, you know, hey, you can denominate your wealth in any asset.
	Gold, Apple stock, S&P 500, euros, you know, yen, whatever you want.
	My suspicion is if you went and asked everyone in the world and they could answer the question without fear of political persecution, I suspect 5 to 7 billion of them would say U.S. dollars.
	And so it's probably the single largest arbitrage ever in human history is to just get those people what they want.
	If you think that's what they want, then give it to them.
	And crypto rails are going to be the mechanism by which you do so.
	And so I think there's a massive opportunity to get stablecoins in the hands of billions of people.
	A massive arbitrage.
	In other words, he's looking at making a lot of money.
	You do an arbitrage, if you can find something that's being sold in China very cheaply, and then you can turn around and sell it on Amazon.
	That's one simple arbitrage that's right there.
	He's looking at being able to make massive amounts of money off of this.
	Eight billion people on the planet.
	You ask them, what do you want to denominate your wealth in?
	You want it in Apple stock or S&P 500, Euros, Yen, whatever, gold, any of this stuff?
	Oh, I think most people would want dollars.
	You think so?
	I don't know.
	I guess I'm not like most people.
	I'd go for the gold.
	But the bottom line is, folks, if you take your wealth, and if you put it in Apple stock, what would they do?
	They'd set up some kind of a derivative.
	Some kind of an ETF, right?
	It's not good enough just to own the Apple stock.
	No, no, no.
	BlackRock and these other people are going to repackage it for you, just like they repackaged real estate.
	And sell you fractional parts of it, just like they repackaged supposedly physical gold, which they don't own for the most part.
	But, you know, we're going to tell you that we got gold.
	Not going to say how much.
	You can't redeem these certificates for the gold, but we'll tell you that we got gold somewhere.
	Some amount of gold somewhere.
	And we'll sell you stuff at the price of a tenth of an ounce, except it doesn't track the price of gold because they don't have gold.
	Anyway, the ETFs, the derivatives, the tokenization, the securitization, these things are all opportunities for them to quote-unquote arbitrage.
	It allows them to interpose themselves.
	Even when you talk about, and like I said yesterday with Tony, the biggest red flag on all this stuff is the tokenization, the ETF of Bitcoin.
	Bitcoin is infinitely divisible, right?
	And you don't need to have an ETF on top of that.
	To me, that just reeked of exploitation and where this stuff is all going.
	And so whatever you choose to put your wealth in, if you choose then to get it in a token version or a securitized version or an ETF or a stable whatever, then you're choosing to let these people rip you off.
	I mean it.
	Accept no substitutes.
	Get the real stuff.
	If you want Bitcoin, get real Bitcoin.
	Don't get an ETF of it.
	If you want gold, get real gold.
	You can get it in small, fractional amounts as well.
	By the way, you can go to davidknight.gold to get you to Tony Arterman.
	And again, that's one of the places where I've seen...
	The small fractional gold.
	You know, you can get gold that is less than a $3,000, almost $3,100.
	Less than a $3,100 coin.
	You can still get small fractional amounts of coins.
	And I got familiarized with that as some people kindly put me into the Wolfpack thing and send me some of that.
	And so I was like, oh, look at that.
	That's cool.
	I didn't know that existed before.
	And so, yeah, there's a lot of stuff that is there.
	But look, this is where these people are headed.
	It's all about ripping people off.
	Look, just understand, when we talk about a dollar-backed stablecoin and private crypto and all the rest of it, understand that the dollar is not stable, that digital currency is not a coin.
	Understand that crypto...
	It's not private, and neither is some kind of private crypto.
	It's not private.
	You don't have privacy with that.
	So they use these words.
	They call it stable.
	They call it a coin.
	They call it crypto.
	They call it private.
	They use all of these words to deceive you.
	It's none of these things.
	That ought to be a real warning.
	I'm trying to warn you.
	I tried to warn you about the vaccines and the lockdowns in January the 6th.
	I'm warning you about this crypto game that is out there as well.
	It's not stable.
	It's not a coin.
	It's not private.
	It's designed to do exactly the opposite.
	Hello, it's me, Volodymyr Zelensky.
	I'm so tired of wearing these same t-shirts everywhere for years.
	You'd think with all the billions I've skimmed off America, I could dress better.
	And I could...
	If only David Knight would send me one of his beautiful grey MacGuffin hoodies or a new black t-shirt with the MacGuffin logo in blue.
	But he told me to get lost.
	Maybe one of you American suckers can buy me some at thedavidknightshow.com.
	And David is giving a 10% discount to listeners from now until 2025.
	At that price, you should be able to buy me several hundred.
	Those amazing sand-colored microphone hoodies are so beautiful.
	I'd wear something other than green military cosplay to my various galas and social events.

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