U.S. Tariffs: Consequences for World Trade and the American Economy
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High tariffs background and objectives High tariffs imposed by the United States on other countries refer to an economic policy where the U.S. levies higher import taxes on goods entering from specific nations. The primary goal of this policy is to protect domestic U.S. industries from competition with cheaper imported products. Background and Objectives Protection of Domestic Industries : A major reason for implementing high tariffs is to shield U.S. domestic industries from foreign competition. By making imported goods more expensive, it's intended that U.S. consumers will favor domestic products. Reducing Trade Deficits : The U.S. often experiences trade deficits with other countries, meaning they import more goods than they export. High tariffs aim to reduce these deficits by making imports less attractive. Trade Negotiations : Tariffs can be used as a bargaining tool in trade agreements. The U.S. might threaten or implement high tariffs to gain concessions from other coun...