In a March 8 commentary in the Star Tribune, Charlie Weaver of the Business Partnership warns that steel and aluminum tariffs could ignite a trade war, harming Minnesota businesses, workers, and consumers.
Punitive tariffs do not solve trade disputes. They deepen them by undermining existing trade relationships and inviting retaliation against U.S. companies and products. In fact, the European Union and Canada, among others, have already threatened new tariffs on U.S. goods in response to the president’s proposal. President Trump in turn threatened to retaliate against the retaliation, saying he would simply impose new tariffs on European automakers. This, in a nutshell, is how a trade war escalates to the detriment of everyone involved.