Trump's Terrible Tariffs are Tax Hikes in Disguise

Don't be fooled: tariffs don't work. If they did, every country would impose a 100% tariff on all imports... and tariffs wouldn't be so controversial. Every country would want them.

I thought Trump said he was anti-war. You know, “peace through strength” and all that jazz. (Reminds me of another gaslighting phrase, “alone together” back in the 2020 heydays.)

But Trump is waging an all-out war with the rest of the world. A trade war, under the guise of “winning” some one-sided battle against phantom enemies, using tariffs as the weapon of choice.

Here’s the thing: Tariffs don’t work. You know it, I know it, every economist knows it. Seems like only Donald Trump, Commerce Secretary Howie Mandel Lutnick and Press Secretary Karoline Leavitt are still in the dark about how harmful tariffs have been, especially Trump’s 2018 tariffs which resulted in a 20% drop in US economic activity and a 4% DECREASE in American manufacturing.

Trump’s 2018 tariffs were so disastrous, he had to reverse them the following year.

In any case, here we are on the precipice of Trump’s terrible tax hike tariffs.

For those who haven’t heard, a gentle reminder: Tariffs are a tax on the consumer. I just did my fourth video in my series, The Tough Truth About Tariffs, with all the details and data and facts to support the historical record that tariffs have been disastrous for all involved.

I’ve been aware of the horrible harms of tariffs for years. I’ve got a bachelor’s degree in political science and a master’s in international policy studies, so staying up to date on international economics and trade is somewhat of a hobby for me.

If you want to get up to speed on how deleterious tariffs are for the consumer, the cost of living, the manufacturers, the importers and the exporters, watching my in-depth videos is an excellent place to increase your knowledge. And at the end of this substack, I’ll link my recent deep-dive articles with detailed research, data and facts.

For now, I break down Leavitt’s latest lying in my video here. Watch especially the first 5-10 minutes where I refute her statements one-by-one.

If tariffs are so great then…

👉 Why are tariffs so controversial?

👉 Why aren’t there permanent, 100% tariffs on all imports from all countries?

👉 Why are there trade organizations and negotiators and favored nation status?

👉 Why do some countries and industries want to be exempt from tariffs?

👉 Why did the economic output DECREASE 20% following Trumps’ 2018 tariffs, which also DECREASED manufacturing jobs?

👉 Why did Trump’s 2018 tariffs drive up the cost of living at a faster rate than in nearly a decade?

👉 Why does the stock market tank every time Trump threatens tariffs?

👉 Why don’t tariffs decrease trade deficits?

👉 Why don’t tariffs revitalize manufacturing?

👉 Why is there a universal agreement among economists that tariffs harm the consumer, the economy and manufacturing?

👉 Why has there been a rush of people buying cars PRIOR to Trump’s April tariffs?

👉 Why are jobs LOST (both in the import and export sector) when tariffs are imposed

👉 Why does foreign investment DECREASE?

👉 Why is there “favored nation status” in trade agreements?

👉 Why does the US maintain a Trade Representative Office?

👉 Why does free trade (the opposite of restrictive tariffs) result in a stronger economy, lower prices, lower unemployment, more choices for the consumer, higher wages and a higher standard of living?

The answer my friend, is not blowin’ in the wind — the answer is in the historical record which unequivocally shows that free trade is the best way to generate prosperity, opportunity, growth and peace for the greatest number of people in the greatest number of countries.

P.S. If you do want to argue with the facts, then kindly present your response to each of these points 👉 I raised above. Just saying “You’re wrong” does nothing to move the conversation ahead, and demonstrates a total lack of understanding of the issues.

Then why does Jared Bernstein, Chairman of the US Economic Advisors, 2023 - 2025, in his article “Tariffs Won’t Bring a Boom in Manufacturing,” published in the Wall St. Journal on March 26, 2025) state:

First, spurring domestic investments of the types we’ve just described isn’t only possible; it’s already happening, supported by tax credits, subsidized loans and grants from the Inflation Reduction Act, the CHIPS Act and the Bipartisan Infrastructure Law. Factory construction more than doubled from 2019 to 2024 after adjusting for inflation.

Second, we know of no example in the history of advanced economies of sweeping tariffs having the positive effects the Trump team believes are waiting for us on the other side of this tariff push. It's still early enough for Trump officials to recognize their mistakes. But if they fail to do so and continue to double down on their unpopular agenda, we may find ourselves testing Mr. Lutnick’s assertion that a recession will be worth it.

It’s also important to recognize that about 45% of U.S. imports are inputs that go into our own manufacturing production. An import tax on these inputs hurts domestic manufacturing. Why have American car manufacturers pleaded with the administration not to impose tariffs on steel? And why has Alcoa, the largest U.S. aluminum producer, sought a waiver from tariffs?

Yes, why indeed.

My savvy Healthy Americans who have been learning about the tough truth about tariffs know exactly why.

Here’s What History Shows About Tariffs:

• Tariffs increase the price of consumer goods

• Tariffs decimate the import industry (to the tune of about 21 million jobs in the US)

• Tariffs drive up the cost of goods

• Tariffs decrease manufacturing jobs as exports DROP to other countries

• Tariffs pass the cost as a TAX on the consumer

• Trump’s disastrous 2018 tariffs lowered exports and DECREASED employment in the U.S. manufacturing sector.

What works better than tariffs:

👉Negotiating beneficial policies with our trade partners so it’s a win-win

👉Focusing on what the US does best: exports of agriculture, energy, steel (yes the US EXPORTS steel) and services such as travel, financial, consulting, etc.

👉Preparing for true national security concerns, such as bolstering certain industries and stockpiling materials. Why not let the other countries use up their own resources by selling them to us so we can keep our for true emergencies? (I’ve written and spoken about that at length in previous videos and substacks)

👉Passing tax reform such as 100% bonus depreciation and a 15% corporate tax rate for domestic manufacturers which would IMMEDIATELY provide a boost to US manufacturing, particularly production of business equipment, without harming the economy and the consumer

P.S. If you do want to argue with the facts, then kindly present your response to each of these points 👉 I raised above.

Want to learn more? Here you go:

TRUMP TARIFFS: Tell Me What You Like About 'Em

WHY TRUMP IS WRONG ABOUT TARIFFS

TARIFFS: Clearing Up the CONFUSION with FACTS

Trump's Press Secretary Ignorant about TARIFFS

As I've pointed out in this, my fifth video in my series The Tough Truth About Tariffs, tariffs unfortunately don't achieve their stated objectives. The historical record is clear: tariffs are not a tax on foreign countries or foreign companies, contrary to what Trump, Karoline Leavitt, and Commerce Secretary Howie Mandel Lutnick believe. Tariffs are paid by importers and ultimately passed on to consumers—you and me.

This clearly and repeatedly results in higher prices, higher inflation, higher unemployment, reduced wages, lower productivity, job losses, reduced competition, more instability and unpredictability. Tariffs are not needed to boost manufacturing or strengthen national security, and it is not possible to replace revenue from income tax with revenue from tariffs. There is no such thing as an external revenue service, except in Howie’s delusional dreams.

In short, with tariffs, everyone loses.

That’s why it’s called a trade war.

One could make the argument that Trump is intent on making trade so burdensome with our largest trading partners, Mexico and Canada, that it paves the way for a North American Union where we're no longer individual sovereign nations but one regional nation. This is moving us closer to what I call the "New World Disorder."

So these tariffs are pretty rotten apples.

I'm at your service to share this information. I'm personally fascinated by international trade and economics—it's an area I've studied in detail. I earned my master's degree in international policy studies and have always been curious about why certain economic policies and political systems result in prosperity, well-being, innovation, productivity, and peace for their citizens, while others lead to the negative outcomes I've described.

I'll continue my series "The Tough Truth About Tariffs" and share more information with you to support my claims about manufacturing jobs lost in the wake of Trump's 2018 tariffs, which also resulted in retaliatory tariffs from Canada. It's been proven that free trade results in greater economic growth, boosts the economy, decreases inflation, increases jobs and productivity, and improves well-being and prosperity for the greatest number of people. Dare I say, free trade has proven to be an effective tool for promoting peace among nations.

It’s hard to argue the facts, but some people will try, when their cognitive dissonance does not allow truth to penetrate the false reality they have constructed.

P.S. Want to dig on your own? Sources I’ve consulted include the Bureau of Industry and Security (BIS) for export controls, U.S. Customs and Border Protection (CBP) for trade enforcement and border security, International Trade Administration (ITA) for promoting U.S. exports, and the U.S. Census Bureau for collecting and publishing trade statistics. In addition, I’ve gathered data from The Observatory of Economic Complexity (OEC). Another really great resource is from shipping companies who track exactly what is coming in and going out from this country.

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