The “Duties” countries charge each other to Import goods is government revenue. These costs are borne by the companies that export these goods and are called Tariffs. These companies can choose to raise their prices to pay all or some of the costs, or absorb the cost if they can afford to do so.
Governments control Tariffs and high Tariffs discourage trade between countries. They are imposed to give their industries a cost advantage. Tariffs discourage trade between countries. Removing or lowering Tariffs encourages trade between countries. The goal of all countries should be to make everything they consume.
The US needs to reshore manufacturing jobs to restore its Middle Class and will use Tariffs to increase revenue to pay down the US National Debt. The US also needs to ensure that our manufacturing capacity can provide for National Defense and is reshoring the manufacturing of Steel, Aluminum and Automobiles. The US is increasing energy production to export oil and natural gas to lower its Trade Deficit.
The US is also using Tariffs and Sanctions to end wars. These Sanctions require that countries who want to trade with the US are required to cease trading with “Bad Actor Countries” who engage in aggressive behavior and cause wars. This isolation is required to convince China, Russia and Iran from causing wars.
The key to getting the Tariff Deals to end the threats from Iran, China and Russia is to separate them from supporting each other to continue their aggression and return to “normal behavior”. The majority of other countries agree. The US will make trade agreements with each country to ensure that they have what they need in order to make this transition.
The Saudis want support from the US to defend Saudi Arabia from Iran. The Saudis are open to sanctioning Iran, China and Russia. If other countries want to end Iran sponsored Terrorism, Russian Aggression and Chinese Aggression, they will benefit from this Global Trade Reset.
Iran would need to abandon its Nuclear Missile program, defund their Islamic Terror Group Funding and concentrate on expanding its Private Sector Economy.
Russia would need to pare back its Military spending and invest its technology to increase commerce. China and Iran would need to do the same. This would save them from Sanctions and improve their Economies. Africa would see an end to Islamic Terror Group threats.
China would need to pare back its Military spending end its cheating that includes intellectual property theft, currency manipulation, dumping and export laundering through Vietnam and other countries.
All other countries would be able to trade based on cost and value. All countries would need to take effective measures against cheating. Dumping occurs when countries subsidize their exports to gain market share in the countries they export to. Japan dumped their autos and agricultural and construction equipment in the US in the 1980s. China offered 50% off for electronics in the 1990s. By 2000, the US electronics companies had offshored most of its manufacturing by to save on labor and regulatory costs. They should have attacked regulatory costs and increased automation to save on labor costs but they didn’t. The US government was distracted with “nation building” in Afghanistan and Iraq and “Globalism” was the latest Fad.
Now in 2025, the US is attempting to bring jobs back to the US and will offer lower Corporate Taxes to make this possible. Opportunities are available to companies to design lower cost automobiles and single family home construction. Skilled Trade and Manufacturing pay rates now offer a path to higher rates of pay for US High School Grads to pursue.
All other countries would be
wise to take advantage of the one-to-one trade negotiation sessions with the
US. This gives them the opportunity to include their priorities. India wants to
balance their trade with natural gas purchases from the US.
European countries also want natural gas. Wherever Imports and Exports match, Trade Balance is achieved.
All would benefit from lowering their Tariffs and expanding their commerce by embracing “Reciprocal Trade”. Supply and Demand would control the prices.
Norb Leahy, Dunwoody GA Tea Party Leader
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