I'm baffled how tariffs could improve the US economy

From what I can see, putting a tariff on an item can help local production if local production exists. But the US can't produce low value goods cheaply，and manufacturers will only return to the US if they believe the tariffs will last for many years ..imagine investing in an expensive manufacturing hub in the US over several years just to have the next administration remove all the tariffs.

What will happen instead it's that companies will stock up on goods before the tariffs, and source the same items in ways which circumvent the tariffs.

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whowasthatmaskedman · 70-79, M

Dont try to explain a concept like tariffs to people who couldnt understand the concept of consequences..They will pretend its your fault..😷

plungesponge · 41-45, M

@whowasthatmaskedman At this rate, other countries are going to be forced out of US dollar trade just to survive, Trump's rules just aren't going to make sense

whowasthatmaskedman · 70-79, M

@plungesponge Its going to be a process. But its already started. China is insisting on deals in Yuan, bypassing the $US.. Trumps rules aside (although I agree with you) this is about the long term economy of America. Without that trade currency armour, the $US is set for a steep decline in value. And thats a whole other can of worms for the living standard of Americans, because so much is imported..😷

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Reason10 · 70-79, M

Tariffs are a tool in the hands of a businessman president. President Trump gave America the greatest economy of the 21st Century using such a tool. China had been ripping us off and violating international trade law. President Trump brought an end to that practice, with a combination of tax cuts, deregulation and the threat of tariffs.

Tariffs should be used to punish trading partners who break the law.

President Trump was the expert, which is why the economy was the best of all time under his watch.

plungesponge · 41-45, M

@Reason10 Can you explain how adding an additional cost for the company which imports an item will be good for the US economy?

Just saying Trump is an experienced business man so there is some strategy we don't understand is not convincing. You do know it's not China that pays for tariffs, right? It's the importing company

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