I think it’s funny that the reporter felt the need to call them “import taxes” instead of “tariffs.” They seem to think that readers are too dumb to know what tariffs are. They may be right.
Speaking of dumb, tariffs are dumb. Yes, I expected Trump to follow through on his promise to implement tariffs and I still voted for him for other reasons, but tariffs are dumb economic policy.
US President Donald Trump has announced new import taxes of 25% on cars and car parts coming into the US in a move that threatens to widen the global trade war.
Trump said the latest tariffs would come into effect on 2 April, with charges on businesses importing vehicles starting the next day. Charges on parts are set to start in May or later.
The president claimed the measure would lead to “tremendous growth” for the car industry, promising it would spur jobs and investment in the US.
But analysts have said the move is likely to lead to the temporary shutdown of significant car production in the US, increase prices, and strain relations with allies.
I am against punitive tariffs, but I do favor reciprocal tariffs. For example, if China has a 25% tariff on our auto exports, I would be for a reciprocal tax with a clear message to the American people. The tariffs will go up and down with what China imposes. If Vietnam has a 40% tariff on something, match it by percentage with enough products they export. I would not be for giving every nation a 25% tax on auto part imports if they are not taking advantage of us with tariffs so I don’t think Trump is right in raising tariffs in order to strong arm Canada into better border control.
There are still many high tariff percentages to countries we supported in WWII to help them rebuild, but never went away. Not to mention the cost of NATO. Heck, if we financially pull out of NATO, we save about 860 billion a year. Pull out of NATO and we can afford the current trade statuses that we have with NATO countries…until they raise their tariffs on us to pay for their military.
Yah.
I just cannot understand why those laid-off textile workers and laid-off US Steel workers just didn’t pick up and move to Red China.