Trump’s Tariff Strategy and Its Economic Impact

U.S. President Donald Trump views tariffs as vital tools for achieving a range of objectives, from stemming drug and migrant flows to boosting jobs and products with a “Made in the U.S.A.” label. He employs tariffs against Canada, Mexico, and China, leading to increased costs for American companies.

Economists argue that these tariffs won’t effectively alter trade balances, as global supply chains complicate reliance solely on domestic production. The financial burden largely falls on American consumers, as import tariffs generally result in higher prices.

Experts concur that protectionism leads to increased costs, though geopolitical factors like the pandemic and the war in Ukraine have highlighted vulnerabilities in global supply chains. Currently, the U.S. is engaged in trade conflicts with Mexico, China, and Canada, while Europe remains less affected.

Source: NOS

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