US President Donald Trump views tariffs as his Swiss Army Knife. He can use the threat of tariffs to prod other countries to change a wide range of domestic and international policies. For example, in a January 23 speech to the World Economic Forum, he said, “Come make your product in America….But if you don’t make your product in America, which is your prerogative, then, very simply, you will have to pay a tariff.”
But Trump’s tariffs will also harm American citizens and companies as he reinforces his authority. Employees and communities in affected sectors will have to contend with lost income, economic instability, job insecurity and job losses. These groups will have little leverage to dismantle tariffs once they are imposed.
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