Attention Economy


Sunday, February 2, 2025

Get Ready for a Trade War

WSJ Editorial: The Dumbest Trade War in History
https://www.wsj.com/opinion/donald-trump-tariffs-25-percent-mexico-canada-trade-economy-84476fb2
Trump will impose 25% tariffs on Canada and Mexico for no good reason.
 
Canada, Mexico Want America to Feel the Pain of Tariffs Too
https://www.wsj.com/economy/trade/canada-mexico-want-america-to-feel-the-pain-of-tariffs-too-f8119ccd
Both countries are planning precision strikes against U.S. exports in response to Trump’s unilateral tariffs.
 
Trump signs executive orders to place tariffs on Canada, Mexico and China
https://www.telegraph.co.uk/world-news/2025/02/01/trade-war-latest-trudeau-trump-canada-facing-difficult-time/ 


‘A trade war on steroids’: Trump ushers in new age of US protectionism
https://www.ft.com/content/32bedf88-cf5d-494e-ae45-4f94a3cec6f9
Trump now wants to use tariffs to generate revenue to pay for the extension of trillions of dollars of tax cuts, which can only be achieved through carefully calibrated but hefty levies that could be hard to reverse.
“When it comes to raising revenue, if the tariff is too low it won’t raise enough money, if it’s too high it will stop trade and then you won’t make any money. They will need to find the sweet spot,” said Bill Reinsch of the Center for Strategic and International Studies.


Related:
The Case for Reglobalization: Turning Inward Won’t Secure America’s Interests
https://www.foreignaffairs.com/case-reglobalization-america-roger-ferguson-maximilian-hippold

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A Strange and Controversial Defense of Trump’s Trade Policies:
Trump’s trade war isn’t as mad as it seems
https://www.telegraph.co.uk/news/2025/02/02/trumps-trade-war-isnt-as-mad-as-it-seems/