Alan Tonelson

Trump was right to threaten Mexico with tariffs

From our US edition

Let's not mince words. President Trump and his loyalists were dead right. His threat of tariffs pushed Mexico to work harder to stop the Central American caravans, and the migrants who hope to exploit immigration law loopholes in order to receive asylum in the United States. And the bipartisan, Trump-loathing political, business and media establishments were all dead wrong. They warned that his strong-arming would ignite a trade war, disrupt the thick web of supply chains linking the American and Mexican economies, and risk a recession. Equally off-base was the establishmentarians' angst that Trump's gambit would endanger the revamp of the North American Free Trade Agreement (Nafta) that he has sought and which Mexico and Canada recently signed.

donald trump mexico trade deal

How I learned to stop worrying and love Trump’s trade war

From our US edition

Alarmist news reports and panicky stock sell-offs. A threat to impose tariffs on US goods in retaliation for President Trump’s threatened levies. You’d think that Beijing had just ruthlessly shut down a major engine of American growth. But the truth is that tariff fear-mongering reveals the gulf between America’s financial markets and its real economy that provides everyday goods and services. The Chinese economy has grown spectacularly since Beijing turned away from Maoism in the 1980s. It’s true that major American industries from aircraft to agriculture have profited handsomely from supplying Chinese demand. The offshoring model supercharged by China’s admission to the World Trade Organization (WTO) in 2002 has been especially lucrative.

donald trump trade war