Trump Takes the Dumbest Tariff Plunge - WSJ
S E E D E D C O N T E N T
President Trump likes to cite the stock market when it’s rising as a sign of his policy success, so what does he think about Monday’s plunge? The Dow Jones Industrial Average took a 650-point header after he announced that he’ll hit Mexico and Canada on Tuesday with 25% tariffs.
Mr. Trump said at the White House there was “no room left” to negotiate with the two American trade treaty partners. Some of his smarter advisers have been hoping he’d start renegotiating the USMCA and delay the tariffs. But Mr. Trump wants tariffs for their own sake, which he says will usher in a new golden age.
We’ve courted Mr. Trump’s ire by calling the Mexico and Canada levies the “dumbest” in history, and we may have understated the point. Mr. Trump is whacking friends, not adversaries. His taxes will hit every cross-border transaction, and the North American vehicle market is so interconnected that some cars cross a border as many as eight times as they’re assembled.
Mr. Trump also objected when we reported an analysis by the Anderson Economic Group that the 25% tariff will raise the cost of a full-sized SUV assembled in North America by $9,000 and a pickup truck by $8,000. Is this how the new Republican Party plans on helping working-class voters?
Mr. Trump is volatile, and who knows how long he’ll keep the tariffs in place. Retaliation that hits certain states and businesses may also cause him to reconsider sooner than he imagines. Investors are trying to read this uncertainty as they also watch growing evidence of a slowing U.S. economy. Unbridled Tariff Man was always going to be a big economic risk in a second term, and here we are.
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Not to worry Donald, Kommersant has your back.
it'll be hilarious when trumpski has to make even his friends, family, and diehard supporters go thru the metal detectors ...
They should be okay what with their spines lacking any metal.
You're assuming they have a spine to begin with...
Pliable ones made of Play-Doh.
Speaking of spineless. Let me introduce you to the poster boy for spinelessness. Flip flopped on Ukraine in a record setting 4 hours....
One thing is certain. None of Trump's friends, family or diehard supporters will ever trigger any response on a mental detector.
This is the triumph of narcissism.
Replacement parts for vehicles will cost more than the vehicle itself
Oh boy! When do we get to stop paying income tax?!
Trump is weaponizing economics. Get ready for the blowback...
Things I thought would never happen ... Cdn. PM Trudeau is quoting this WSJ editorial.