openpolitics.com

Pat Buchanon: When Will the GOP Defend Economic Patriotism?

Last year, China ran up the largest trade surplus in history, at our expense, $365 billion. We exported $116 billion in goods to China. China exported $482 billion worth of goods to us.

.. Total trade deficits with China in the Bush-Clinton-Bush-Obama era? $4 trillion. Total U.S. trade deficit in 2015—$736 billion, 4 percent of our GDP.

.. What might a U.S. national-interest-based trade policy look like? Controlling the largest market on earth, we might impose on foreign producers a cover charge, an admissions fee, a tariff, to get into our market.

.. Example: Impose a 20 percent tariff on foreign cars entering the USA. This might raise the cost of a Lexus or Mercedes produced and assembled abroad from $50,000 to $60,000. However, if Lexus or Mercedes buys or makes all their parts in the USA and assembles all their cars here, no tariff.