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this post was submitted on 28 Jul 2025
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I understand where he's coming from, but I personally disagree about us being worse off. It's a usage tax. Buy domestic and don't pay the tariffs. Frankly, there's never been enough pressure on exporters to keep goods in the country of origin either, so the reciprocal tariffs will hopefully put some pressure there.
This assumes it can be produced domestic, and if it can, at the same price. Labour cost and all.
And also that the companies won't just raise prices on domestic goods anyway because what are you gonna do about it? You either pay the inflated price for domestic, or pay the tariff.
You get it.
The supply chain costs often never existed, and they certainly never went away even after the "crisis."
Allowing domestic producers to raise their prices by removing international competition is precisely the point of tariffs.
Until everyone you trade with returns the favour, and no foreign consumers are buying your products.
It's a tax that proportionally taxes the poor more than the wealthy, and it's not a coincidence that it's happening the same time taxes on the rich are being lowered.
Tariffs could make sense if we had a big manufacturing unemployment problem, but we currently do not. And targeted tariffs can help keep strategic industries in the country, but the 15% tariffs aren't targeted. Some countries are just better at making certain things, whether it's because of the resources they have, or the particular skills their workforce have, so trade, generally, makes sense.
The stupid "trade imbalance" thing Trump goes on about doesn't even take into account all the services US companies sell them (tech, financial, etc), and nothing is being done to stop US companies from offshoring these service jobs (some of these service jobs do have high unemployment and are being heavily offshored right now). Nevermind that trade imbalances means we're receiving more stuff than we're sending them, which is more beneficial to us.
I dunno why you want to keep resources/goods in their country of origin. Only Central and South America can enjoy coffee I guess?