Trump Started Trade War Because He Was Angry

[finnbow]

Originally Posted by whell

I think that's the point, don't you? Higher tariffs depress demand.

Maybe, if there's pent-up demand for that item to begin with. Most countries outside of North America have little desire to drive American cars. Hell, most Americans don't even want to drive American passenger cars (in favor of light trucks). In fact, American manufacturers generally lose (or make very little) money on the sales of passenger cars, but make it up with SUV's and pickup trucks. However, SUV's and pickup trucks have little market in Japan, China or Europe. In short, we don't build the kind of vehicles the rest of the world (outside North America) wants to buy.