The aluminum and steel tariffs that President Trump is proposing will do more harm than good, affecting the US economy and American consumers negatively, holds Melvyn Krauss of USA Today. Aside from provoking a potentially devastating trade war with our business partners, a higher price on these goods would raise costs for everything related to them. Costlier metals would lead to beer and even tomatoes and paper becoming more expensive. The tariffs might result in interest rates rising faster than expected, which would hurt the stock market and weaken the economy. Trump is wrong to propose them.
The reaction to President Trump’s aluminum and steel tariff proposal has been vastly overblown, argues Salvatore Babones of The National Interest. Assertions that this will start a trade war or even undermine the global economy are far-fetched. Trump is correctly ensuring that America’s own steel industry isn’t starved out of existence. In fact, his tariff idea strongly mirrors policies that European countries enacted long ago. They sought to protect their local steel production from cheap Chinese competition. America needs to be able to produce steel locally. Without Trump’s proposal, this will not be possible in the future.