The U.S. government has long championed tariffs as a tool to protect domestic industries, create jobs, and boost national security. Yet the reality reveals an economic strategy that is proving counterproductive.
Many U.S. manufacturers depend on imported parts, and the impact of tariffs is increasingly evident. The raised costs are not only squeezing profit margins but also making U.S. products less competitive on the global stage. As a result, companies are turning to low-cost countries, such as Vietnam, to sustain their operations.
Industry experts observe that the intended benefits—job creation and enhanced innovation—are falling short. Instead of spurring domestic growth, tariffs appear to be slowing innovation, especially within the tech sector. For example, steel tariffs imposed on national security grounds affect only 3 percent of imported steel used for defense, raising questions about their overall effectiveness.
This unfolding scenario serves as a cautionary tale for policymakers and business leaders. Rather than shielding the economy, such measures risk plunging it into further challenges. The experience underscores the importance of carefully balancing protectionist policies with the global realities of supply chains and market dynamics.
Reference(s):
cgtn.com
