From time, to time, American Presidents, have determined, there was a need, and/ or necessity, to take stronger steps, and impose specific tariffs, because they deemed, it, essential, and important, for the well – being of the nation! Historically, there have been mixed – results, especially, in the longer – term. Never before, in recent history, have we witnessed, the imposition of non – specific, broader tariffs, as recently introduced, by the current United States President. This article will attempt to, briefly, discuss, consider, and evaluate, the impacts and ramifications of tariffs, and the potential dangers, involved, in creating a trade war. We will divide this discussion into three parts: Promises/ rationale used; Domestic/ internal issues and concerns; and, International risks and potential ramifications.
1. Promises/ rhetoric/ rationale: A key component of President Trump’s appeal to his core supporters, is his promise, to Make America Great Again. While implying, we are not presently, great, because he doesn’t say, greater, it also goes against the prevailing view, which is, the world is far more global, than it ever was, and, many (if, not all) larger corporations, are multi – national, in many aspects and considerations! There is a big difference, between, articulating some rhetoric, and fully considering, the best course of action, from an economic, as well, as political perspective!
2. Domestic: While certain segments of society, might feel, they benefit from Trump’s proposals, it is short – sighted! While, for example, the steel – workers, might believe, imposing a significant tariff, on imported steel, might serve their interests, far more workers and industries, will be hurt, by this move. Since aluminum is a key component, in building airplanes, Boeing will be harmed by this move. Other nations have already indicated, they will retaliate, by imposing tariffs, on products we export, so, companies, who depend on exportation, such as bourbon (made in Kentucky), American Whiskey (predominantly from Tennessee), Levi’s Jeans, and soy – bean growers, to mention, a few, will be significantly harmed, by this action.
3. International: Just as other nations adapted, and made agreements, without our involvement, when Mr. Trump, pulled us, out of the TAP agreement, and over 50 nations, moved on, they will adapt, to these, and, there will be many, undesirable ramifications, etc.These tariffs, will, potentially, lead to trade wars, and, although, the President, articulates a message, which states, he welcomes trade wars, the end – result, is undesirable!
We need leadership, which focuses on, the longer – term, potential ramifications, and sustainable solutions, for the common good! Wake up, America, it’s up to voters, to demand, our public officials, focus on serving all Americas, rather than, merely, a political agenda, and/ or, self – interest!