President Donald Trump’s decision to impose a 25% tariff on imports from Mexico and Canada officially took effect on Tuesday. This major move is meant to pressure America’s top trading partners but…
They could, but building other trading partners in a generally capitalist economy might take a bit of helping. By making American goods more expensive to import maybe Canadian importers will look to other non tariff ridden sources.
Like super simply the $100 item from American with a tariff is now $125 so the non tariff item from not America that costs say $110 is now competitive. All this is going to do is wreck up long established supply chains and cost end consumers more.
The reason Trump is using tariffs is because Congress has delegated that power over to the executive. He isn’t protecting any crucial industry or national security or anything just hand waving nonsense about tariffs lowering taxes that his barely literate base is eating up. And of course the Republicans working in gov’t are also eating it up, because their goal has been to destroy what little social safety net exists in this country and generally show that the gov’t doesn’t work by breaking it.
They could, but building other trading partners in a generally capitalist economy might take a bit of helping. By making American goods more expensive to import maybe Canadian importers will look to other non tariff ridden sources.
Like super simply the $100 item from American with a tariff is now $125 so the non tariff item from not America that costs say $110 is now competitive. All this is going to do is wreck up long established supply chains and cost end consumers more.
The reason Trump is using tariffs is because Congress has delegated that power over to the executive. He isn’t protecting any crucial industry or national security or anything just hand waving nonsense about tariffs lowering taxes that his barely literate base is eating up. And of course the Republicans working in gov’t are also eating it up, because their goal has been to destroy what little social safety net exists in this country and generally show that the gov’t doesn’t work by breaking it.