“The steel and aluminum cases again demonstrate Trump’s protectionist stance on trade — a promise to manufacturing workers during his 2016 campaign and a factor Trump himself credits for getting him elected.
The recommendations come less than a month after Trump slapped tariffs on foreign solar panels and washing machines.”
See Trump administration recommends steep tariffs on steel and aluminumChuckle. “Shoots self in foot”, “boomerang”, and “own worst enemy” come to mind when I think about Trumpism and trade. The unintended consequences of instant tariffs versus supporting local business/workers in a few years is disruption. Whatever the merits of the eventual situation, Trump is about to disrupt his economy in a big way. Steel and aluminium are raw materials in manufacturing and important components in imports and exports. Throttling their movements even a little bit or for a short time is a blow to the USA’s GDP. While there may eventually be some gain to some sector of the economy, there will be a prompt decline in almost every other sector.
Think of it. If you slap on a tariff and importation instantly slows, it may take years to build new factories to take up the slack. Essentially, USA will be sanctioning itself. The tariffs won’t hurt China in the least. The world is hungry for its products and if USA ships fewer products made of aluminium and steel, China’s markets increase. So be it. USA, you reap what you sow. Trump adds this to the long list of stupid/crazy things he says and does.