Let’s talk about tariffs.
Specifically, why some Americans—especially policymakers—keep reaching for this economic tool, even though it often works against their own citizens. It’s not about pointing fingers or calling anyone out. This is about understanding how something that looks like a solution can actually become a problem, and why it keeps happening anyway.
First, the Basics
A tariff is a tax on imported goods. That means when a foreign product comes into the country, the government slaps on an extra charge. The goal? Make foreign goods more expensive so people are more likely to buy the local version.
It sounds like a patriotic move. Support local businesses, reduce dependency, protect jobs.
But here’s the catch: consumers pay the price. Literally.
Tariffs don’t punish foreign producers.
They raise the sticker price for everyone in the country applying the tariff.
You, me, everyone at the store.
So why are they still used?
1. Because Job Protection Makes a Great Headline
Imagine a town where most people work at a steel mill. If cheap imported steel floods the market and undercuts local prices, that mill might shut down. Thousands lose their jobs. A politician steps in, adds a tariff to imported steel, and the local mill breathes easier.
That’s the narrative. And it plays well.
It’s a tangible win for a specific group of workers. But what gets less airtime is what happens next: the cost of steel-based goods goes up—cars, appliances, buildings—hurting everyone else who now has to pay more. And the industries using steel might cut jobs or raise prices to cope.
One sector’s “save” becomes another’s strain.
2. Because It Signals Strength
Tariffs are visible. They look like action. And in politics, perception often outweighs precision.
Standing up to another country (usually a major exporter like China) feels good. It’s easy to say, “We’re not going to let them take advantage of us anymore.” That kind of language lands with people who’ve seen factories close and jobs disappear.
But the global economy isn’t that simple. Supply chains are complicated. Retaliatory tariffs are common. And before long, the very people the tariff was meant to help are feeling the squeeze from a dozen directions.
3. Because of Strategic Sectors
Sometimes tariffs are framed not just as economic tools but as national security measures. The logic is: “We can’t afford to rely on other countries for X.” Whether it’s semiconductors, pharmaceuticals, or rare earth minerals, there are areas where domestic production matters in ways that go beyond the price tag.
In these cases, the rationale is more defensible. You might take the hit on price in exchange for supply chain security.
The danger is when this reasoning is used too broadly or becomes a catch-all excuse to protect non-strategic sectors. Not every industry is a national security concern, and not every tariff helps in the long run.
4. Because People Confuse the Trade Deficit
You’ll often hear that America “loses” when it imports more than it exports. That’s the trade deficit, and to many, it feels like an imbalance. Like money is leaving the country and not coming back.
But the global economy isn’t a zero-sum game.
Trade deficits aren’t necessarily bad. The US runs a deficit in part because it has a strong currency and high demand. It consumes a lot, and that fuels growth abroad. But a deficit doesn’t mean you’re being taken advantage of. It means you’re participating in global trade at scale.
Tariffs don’t fix a trade deficit. They just shift the pain—and usually in the direction of domestic consumers and businesses.
5. Because Tariffs Are Tools (and Sometimes Blunt Ones Work)
In negotiations, tariffs are sometimes used as leverage. They’re a stick to go with the carrot. “If you don’t play fair, we’ll make your goods more expensive here.”
That can work, for a while. But it’s risky. The other country usually retaliates, targeting exports like agriculture or manufacturing—hurting farmers or factory towns that had nothing to do with the original dispute.
So while tariffs might force movement at the negotiating table, they often create unintended damage back home.
So Why Do Tariffs Stick Around?
Because they serve a purpose—a political one.
They buy time. They signal resolve. They concentrate benefits in a visible way, even if the costs are spread out and harder to trace.
If you’re a politician, the upside is easy to show. “I protected jobs.” The downside—higher prices at the grocery store or reduced competitiveness for manufacturers—is real, but diffuse. Harder to pin on any one decision.
In short, tariffs offer the illusion of control in a complex system. They scratch the itch to do something, even if that something has long-term consequences.
Final Thought
Tariffs aren’t evil. They’re not dumb. They’re tools—and like any tool, they can be used wisely or recklessly.
But when the focus is on short-term optics rather than long-term outcomes, the average consumer ends up footing the bill.
It’s worth remembering: every time you hear someone say a tariff will “punish” a foreign country, what they’re really saying is: we’re going to tax ourselves to make a point.
And sometimes, that point comes with a pretty steep price tag.