John Solomon
What happened in the White House of Rose Garden on Wednesday afternoon cannot be underestimated, an undeniable shot heard all over the world of global trade. President Donald Trump imposed almost a universal 10% tax on most foreign products entering the United States, and thus ended the era of free trade.
Trump’s gambling heritage will not be written during the first few weeks after the imposition of these new and historical tariffs – although older press media will try to evaluate it through some volatility of investment markets over the next few weeks.
Rather, the verdict will be grounded by answering three questions to be answered before 47. The president left the office in 2028:
- Will the tariffs force allies and enemies to abandon their protectionism and more honestly treat American products?
- Will they generate dozens of trillion dollars of new investments from companies that want to escape from tariff pain, transferring production and work back to America?
- And will those who retain unfair trade barriers for America generate new tax revenues enough to balance the budget of America and reduce public debt?
In his announcement on Wednesday afternoon, Trump explained that there were no qualms of the era of free trade and replacing it with the era of fair trade – that is, in America.
“Now our turn to Prosper, and thus use trillions and trillions of dollars to reduce our taxes and pay off our public debt,” said Trump.
Gambit Trump carefully reflects Ronald Reagan’s plant for national security half a century ago, when the 40th president used military construction and assertive foreign policy to go economically and politically to bankrupt the Soviet Union and end the Cold War.
This strategy became known as “peace through strength”. Trump’s plan – approved in advance by the Americans who voted for him in November, knowing that he would impose tariffs – aims to prove that prosperity can be achieved thanks to similar aggression, strength and strength.
“We see here Trump, the head of the negotiator, who we all met and love, finally deals with decades and decades of countries that are ready to take our money, but not our goods,” said Richard Stern, an expert from the Heritage Foundation Foundation Only a message, no noise television program.
“And so we finally attract them responsible and say: look, what we want is more trading.
Signs of early victories appeared almost immediately. Over $ 3 trillions in new projects and investments have been secured in the United States against foreign companies that agree to move their activities to America to free themselves from tariffs. Trump predicted that in April he would reach $ 5 trillion to his hundredth day. Household names such as Honda, Hyundai, Soft Bank and Taiwan Semiconductor were one of the first to agree.
A few hours before imposing Trump, two American allies who continued the protectionist policies that the American export punished or reduced the tariffs. They move Israel AND Vietnam They were surprising even for economists.
Canada sounded a month ago, as if she was ready for a mutual trade war. But on Wednesday, his prime minister decided that his country would be harmed by such a battle with America and They have already signaled with other leaders who would like to reach the contract. Mexico also announced He did not plan retaliation tariffs.
However, these early signs cannot hide a brief -term hard path. Trump admits that some prices may rise, while others are worried that a immense dog in a block of flats – China – can escalate to a full trade war. Four GOP senators joined the Democrats on Wednesday evening to pass the Trump reconstruction act to the Canadian tariff. And the markets will be acidic in the tariffs in a brief period, until there are reasons differently – such as decreasing inflation.
Rep. Marlin Stutzman, R-Ind., Predicted on Wednesday evening that Voters from Central America would remain in the brief period of Trump, even if the prices enhance temporarily, because they understand the harm three decades of the enhance in trade balance at their own kitchen table.
“It’s not about raising prices. In fact, it’s about supporting an American farmer and American producer to have equal chances,” only The News said.
Trump’s next mission will be mercilessly educating the society about what “free trade” did America.
Free trade was a globalistic dream strengthened during the presidency of Bill Clinton with the NAFTA agreement and conducted for over two decades under republican and democratic presidents. And to be forthright, free trade was just that – for most of the world who wanted to access America’s lucrative markets.
But for the most free and open market in the world it turned out that this is nothing else. Free trade agreements from the 1990s and at the beginning of 2000 released the era of outsourcing, offshoring and registration of commercial imbalances, which were growing astronomically and with stern consequences for American working and medium -medium classes, which decided that free trade is personally unfair to their results.
Political and economic elites to 1-percent who supported the free trade mantra, enjoyed the wealth that they could achieve, and did not feel much pain in the experiment that they released until the Covid-19 pandemia pandemicia did not reveal the horror of the economic superpower of the world, which are not able to protect medical medicines and materials, such as masks and ventilaators, which They were staph of American healthcare.
There was a classic response in Washington: investigations and interrogations were held and many manually. But such lip services only deviated from the strict reality that America’s commercial deficit exploded even more dramatically under the presidency of Joe Biden, next to inflation.
Trade deficit in the USA for the first time reached USD 1.2 trillion, and over USD 900 billion exceeded goods and services. The largest beneficiary was the most troublesome opponent in America, China, is $ 295.4 billion. Another four beneficiaries were alleged allies: the European Union, Mexico, Vietnam and Ireland.
Interestingly, when the era of free trade was started with the NAFTA agreement in 1994, the America deficit of goods and services amounted to only $ 166.6 billion. Three decades later, it was almost 10 times larger. The favorable Chinese trade surplus with America in 2024 was almost twice as immense as on the day on which Clinton was chosen Nafta.
Trump bet, while everyday Americans may not know these numbers, they felt the influence of the era on real salary and prosperity. That is why he was not inacological on Wednesday, explaining that his economic strike was not designed to serene allies or opponents abroad or globalistic elites at home, but rather to reverse a thirty -year decline in everyday employees on the American market.
“American Steel Workers, Auto Workers, farmers and qualified craftsmen, we have a lot of them with us.” They looked in anguish when foreign leaders stole our work, foreign fraudsters plundered our factories, and foreign magicians ripped off our American dreams.
“Thanks to today’s action, we will finally be able to re -make America big, greater than ever before,” he added. “Work and factories will return to our country, and you see that this is already happening. We will continue to charge our national industrial base.”
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John Solomon is an award -winning investigator journalist, author and entrepreneur of digital media, who is the general director and the editor of the boss only. Before establishing only messages, Solomon played key roles of reports and executive in some of the most essential American journalistic institutions, such as Associated Press, The Washington Post, The Washington Times, Newsweek, The Daily Beast and The Hill.
