Timothy Birdnow

Trump imposed tariffs on Mexico and Canada to keep China from backdooring goods - including Fentanyl - into the U.S. and avoiding trade restrictions, according to this piece in the Epoch Times.

FTA:

"
Moreover, with European and Asian companies still eager to access U.S. markets, there is hope they will increase investment and manufacturing within the United States. The higher prices Americans experience are the cost of increasing foreign investment in the United States, expanding U.S. manufacturing, combating fentanyl, and reducing the flow of taxpayer money to the CCP.
Canada and Mexico generally have lax policies on China and immigration, which have allowed China to gain access to the United States over the past decade. Despite U.S. pleas to tighten policies and close these backdoors, Mexico and Canada have been slow to act. However, in late February, Sheinbaum’s administration proposed that rather than the U.S. imposing tariffs on Mexico, Mexico would match U.S. tariffs on China. This move aims not only to avoid U.S. tariffs on Mexico but also to counter the influx of cheap Chinese goods, especially counterfeit products.
U.S. Treasury Secretary Scott Bessent called Mexico’s proposal "very interesting" and suggested that Canada should also consider implementing similar tariffs, which could create a ”fortress North America” against Chinese imports. However, Mexican tariffs on Chinese imports would not impact Chinese companies already manufacturing in Mexico, meaning this move may not fully achieve Trump’s desired outcome. Meanwhile, Canada has completely rejected the idea, refusing to impose similar tariffs on China and instead threatening retaliatory action.
In addition to raising tariffs on U.S. imports, the CCP has accused the United States of violating World Trade Organization norms while ignoring its own extensive history of trade violations—one of the key reasons behind Trump’s aggressive stance. Trump has urged Americans to bear with him in the short term, believing that standing firm against China will yield long-term benefits..”

fin

I've come to trust Trump knows what he is doing in most instances, most especially where trade and economics are concerned. He's angering long-standing allies, but these allies haven't been as good a friends as they make themselves out to be and it's showing now. Things will be patched up in due course; Canada and Mexico need us and they know it. But China is another matter entirely and we never should have allowed things to wind up where they are with China - we built them into a superpower.

What Trump is trying to do is exactly what Reagan did the the Soviets in the eighties. Everyone thought the U.S.S.R. was an economic monster, a huge superpower. But it turned out they were all hat and no cattle. China is similar; the numbers make her appear to be an economic monster but that's because nobody wants to actually compete with her and push her. Everyone loves the cheap labor, the cheap goods, and are happy to give sweetheart deals to China. All of this was led by the U.S., starting under Bill Clinton (remember, they helped get him re-elected in '96 with illegal campaign contributions.) Just as nobody realized how weak the Russians were until Reagan pushed them, so too does nobody realize that China isn't really as strong as we all believe. Trump understands this and that's why he's squeezing them -and that's why they are so very upset with him.

I've long argued China is a paper tiger and Trump's policy will show that IF it is allowed to come to fruition. Of course, in '26 the Democrats could well retake the House or the Senate or both and the policy won't be allowed to come to fruition as the old "investigate and impeach" strategy is redeployed.

Mexico and Canada are now more or less in the Chinese orbit and that has to be ended. Trump is squeezing them to squeeze the Chinese.

Let's hope he has the time to make it work.

Posted by: Timothy Birdnow at 07:06 AM | Comments (2) | Add Comment
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