Trump's tariff obsession and America's aggravating economic wounds
By Hasan Muhammad
Editor's Note: The writer is a freelance columnist on international affairs based in Karachi, Pakistan. The article reflects the author's opinions and not necessarily the views of China Economic Net.
Earlier this week, U.S. President-elect Donald Trump unveiled a contentious trade proposal, pledging on Truth Social to impose a sweeping 25 percent tariff on all imports from Mexico and Canada. More provocatively, he announced an additional 10 percent tariff - layered atop existing ones - on all goods from China. The rationale? Trump accused Beijing of flooding the U.S. with "massive amounts of drugs, in particular fentanyl," despite previous discussions with Chinese officials about curbing the opioid crisis.
This move, dramatic in its rhetoric and scope, underscores a familiar pattern in American political discourse: the externalization of blame. The fentanyl crisis is undoubtedly a grave issue, devastating communities across the nation. Yet, pointing fingers abroad, particularly at geopolitical rivals like China, sidesteps a crucial reckoning with the domestic roots of this epidemic. From lax pharmaceutical regulations to the pervasive availability of synthetic opioids, many of America’s wounds in this crisis are self-inflicted.
Trump’s announcement fits into a broader narrative where foreign scapegoats are readily deployed to deflect criticism from homegrown failures. This tactic may score points with a disaffected electorate, eager to see bold action, but it risks further entangling U.S. foreign relations in retaliatory cycles.The reality is far more complex: confronting the opioid crisis demands both rigorous domestic reforms and nuanced international cooperation.
Yet, in the theater of populist politics, a tariff-laden blame game may seem like an easier sell than addressing America’s own systemic challenges. It’s a gambit as risky as it is revealing. Donald Trump’s fondness for tariffs is hardly a revelation, but his proposal for a universal 10 percent tax on all imported goods is a different beast altogether. While it may sound like a tough-on-trade masterstroke, the devil - as always - is in the details. According to a November study by the National Retail Federation (NRF), this sweeping tariff could slash American consumers’ annual purchasing power by a staggering $78 billion. And that’s not pocket change.
The NRF warns that everyday essentials - clothes, toys, appliances, footwear, even your next suitcase - would take the hit. Tariffs, for all their rhetorical bluster, are an economic game of hot potato. Initially, they’re paid by importers, but those costs rarely stay put. More often than not, they’re passed along to consumers in the form of higher prices. Of course, Trump claims the burden falls squarely on foreign exporters. Yet, the reality is far murkier. Some manufacturers might cut prices to stay in the game; others could pour resources into relocating production to skirt tariffs altogether. And then there’s the middleman - the importer - who might simply mark up goods at the checkout line to balance the books.
The question isn’t whether tariffs make a point - they do - but at what cost. Trump’s pitch plays well to the “America First” crowd, but it risks turning Main Street into collateral damage. If this plan goes forward, the American consumer might find themselves paying dearly for this bold experiment in economic brinkmanship.
Manufacturing job losses in the U.S. aren’t just about foreign competition; they stem from decades of political and corporate inability to adapt the American workplace to the demands of a changing global economy. Blaming China for these woes may make for good campaign soundbites, but it’s no substitute for bold, forward-thinking policy.
Donald Trump, the architect of America’s tariff frenzy in 2018, remains unmoved by mounting evidence of its ineffectiveness. Consider this: the U.S. Department of Agriculture reported in 2022 that tariffs wiped out $27 billion in food-related exports over just 18 months. Products destined for China simply found no buyers.
Retaliatory tariffs, particularly on agriculture, devastated sectors far from the manufacturing hubs these policies aimed to protect. It’s not just Trump. President Joe Biden has maintained these tariffs, even expanding them, a rare instance of continuity between two administrations otherwise locked in opposition. Neither leader has been candid with Americans about the policy’s failures. Tariffs, it seems, are less about economic strategy and more about political theater.
Yet the goal - to stymie China’s technological and economic ascension - remains unmet. The tariffs haven’t blunted Beijing’s capabilities; instead, they’ve imposed collateral damage on American workers and industries. Until the U.S. shifts from reactionary policies to forward-looking strategies, it risks undermining its own economic strength in a misguided bid to counter China.
(Editor:Wang Su)