The Stupidity of Trump-tariff
- Brian
- Apr 2
- 4 min read
Updated: Apr 3
Warning: This post contains strong opinions based on what’s happening in real life. If you don’t like it, start your own blog and post your thoughts there.
Article Type: Fact & Opinion
Disclaimer: This article contains a mixture of facts, supported by 3rd party references, and constructive opinions of the author. These are meant to be done in a thought-provoking and non-confrontational way. If you disagree, that’s okay, just be kind in your responses.
Today, April 2, 2025, Donald Trump – whom I will NOT call “President” due to his reckless actions and careless attitude – instituted a plan of sweeping tariffs. The actions are not only reckless, but cruel to both the American citizens and those in countries relying on U.S. trade. While the concept of what he is trying to do is good, the way he is going about it is horrific and risks causing the collapse of not only the United States, but isolating the U.S.A. from the entire world.
If you are unfamiliar with tariffs and what they are, who pays them, then I highly suggest you read the official United States definition of a tariff. Read it here.
The actions of today’s tariffs now put China’s tariff rate at 54%. Plus, every product also has a duty on it, ranging from 1% - 25%. So that puts imports at a rate of 55% - 100%. China does not pay that. The American business bringing in the materials or products pays it to the U.S. government, and then they have to pass those costs along to whomever buys those products or what they make of them. Imagine, the shirt, shoes, a notebook for school, or countless other products suddenly rising in cost by 55% - 100%. Or, really, more, because retailers add margins. So retail prices of Chinese made products will rise by 65% - 150% for no good reason. Are you really willing to pay 100%+ more for anything?
The more concerning piece to all of this is that Donald Trump left the USMCA in place. But . . . you may ask why this is concerning? Seems positive for the U.S., Canada, and Mexico, right? Wrong. It’s a fantastic deal with Canada and Mexico, but it will be devastating for U.S. companies. The tariffs on foreign products are not paid by manufacturers or distributors in Canada and Mexico. That means Canada can bring in raw materials under their laws – likely 55% less than what their U.S. counterparts pay – and manufacture the products and ship them to the USA duty free. That de-facto means that USA companies are now 55% less competitive. In the end, that will put countless U.S. businesses into bankruptcy court. How could Donald Trump leave this loophole so glaringly open? Clearly, he and his goons are dumber than anyone gave them credit for.
Here’s an example:
A Canadian (or Mexican) manufacturer can import raw materials from China, India, Pakistan (really wherever) for whatever their import duty rates are. For ease, a roll of fabric into Canada or Mexico is taxed at 7.5%. But due to Trump’s tariffs, that same roll of fabric from China into the USA is taxed at 63.5%. The Canadian or Mexican manufacturer can make their finished garment, bedding, towels or whatever it is and ship to the USA duty-free. That means that, all else being equal, the US manufacturer now has a 56% disadvantage on the raw materials, thus is no longer competitive.
This means that now Trump is forcing US manufacturing to close. This was further highlighted when Stellantis, a car manufacturer, immediately shuddered 5 USA manufacturing facilities due to this fresh imbalance. Read the full article on this here.
Today’s Decision, Tomorrow’s Impact
These decisions will have a profound impact on tomorrow that I don’t believe Donald Trump, nor his mindless supporters, have taken into account.
First, prices of everything in the USA will rise needlessly. That means consumers will buy less individual products and services. Buying fewer things, even if those things are higher costs, means that people won’t be needed to support the fewer things. In laymen’s terms: people will lose their jobs. Unemployment will skyrocket in a very short amount of time.
Second, the United States has (and will more so) upset its trading partners. If this continues for too long, those trade partners will begin working with each other to replace what they are losing from the United States. That means that they will be less reliant on the U.S. market and it ultimately won’t matter as much to them. That also means they lose confidence in having the U.S. as a partner. This has already happened: Canada announced closer ties with Germany in the wake of Trump’s tariffs.
Third, the United States will become more isolated and former allies will view the U.S. with a weary eye. In real life, think about this as your circle of friends. If you suddenly went to all your friends and started charging them fees to be with you, you wouldn’t have any friends left. Then, when you really are in need, you’d have no where to turn to. Same here. The U.S. will end up with no one to turn to when the need arises down the road.
PLEASE: Call your Congressperson, Senator, Governor, and more! We MUST impeach this horrible “President” before the United States is destroyed.
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