Section 1. National Emergency. As President of the United States, my highest duty is ensuring the national and economic security of the country and its citizens.I have declared a national emergency arising from conditions reflected in large and persistent annual U.S. goods trade deficits, which have grown by over 40 percent in the past 5 years alone, reaching $1.2 trillion in 2024. This trade deficit reflects...
Is that an emergency? We had a National Emergency already because there was too much immigration. Presidents like National Emergencies because they can assume extra powers.
Tariffs are hated by all economists and journalists, but I do note that some things were better before we started eliminating them. I supported NAFTA because the logic of the free trade argument made sense to me at the time. In 1998, though, I was working for the Unions in Savannah and really got to see the good they did for workers. Then I watched them dry up and die — not quite all, but all across the South. IBEW and the Boilermakers still exist around the port, but so many went away.
It was a pipeline for the poor from the swamp to ordinary middle-class prosperity. We gave it away for cheap goods from Mexico, which soon enough became cheap goods from China. Chinese control over so many of our basic goods has become, if not quite an emergency, a serious national security concern.
UPDATE: A play for all the marbles.
UDPATE: A helpful graph of US tariff rates, which shows that we are at an all time, historic low. (H/t Wikipedia).
These new tariffs put us right back in the historic norm. It's only been in the post-WWII world that we've kept the rates so low, trading away our industry for the goods of free trade.