You Can’t Tariff Your Way Out of a Global Economy

By Richard Joseph

"If you don't like tariffs, just buy American."

It's a line I’ve heard more and more, often used to justify the sweeping tariffs imposed under the Trump administration. Others point to examples like Canada's high agricultural tariffs as evidence that such policies are normal or even necessary. But these arguments miss the bigger picture—and they overlook both the economic reality and the fundamental differences in how trade policies function globally.

Let’s break it down.

Even Agriculture Isn’t Isolated

We Live in a Global Economy

Since at least World War II, the United States has been part of a deeply interconnected global supply chain. Even so-called "American-made" products—like Levi’s jeans, Barbie dolls, Ford vehicles, or Dell laptops—are assembled using parts and raw materials sourced from dozens of countries. That’s not a flaw; it’s the foundation of modern commerce.

This global structure allows for efficiency, specialization, and affordability. Trying to isolate the U.S. economy from it doesn’t just hurt trade partners—it hurts us, because we rely on this system for both consumption and production.

American farming is often used as a symbol of national self-reliance, but it, too, is deeply globalized:

  • Fertilizer often comes from Canada or Russia.

  • Seed treatments and chemicals are developed in Germany and China.

  • Equipment and parts for tractors and harvesters come from across Europe and Asia.

  • And fuel, like everything else, is tied to global pricing.

Tariffs on these inputs don’t make farming more competitive—they make it more expensive.

Then, when countries retaliate by closing off their markets to U.S. exports, our farmers get hit again.

Not All Tariffs Are Created Equal

It’s true—countries like Canada impose high tariffs on goods like poultry or dairy. But those tariffs only apply after quota thresholds are met and are part of a long-standing supply management system designed to stabilize domestic markets and prevent overproduction. These policies are calculated and structured—not reactive.

Contrast that with the tariffs imposed under the Trump administration. These were:

  • Broad in scope

  • Rapidly implemented

  • Geopolitically provocative

They triggered retaliation, drove up consumer prices, and disrupted carefully balanced supply chains.

The Biden Administration’s Approach

The Biden administration has retained some tariffs, especially where national security or intellectual property protections are involved. But the tone and intent have shifted:

  • Emphasis on multilateral trade enforcement

  • Rebuilding international relationships

  • Strategic investments in domestic manufacturing and clean energy

It’s not perfect—but it’s more predictable and economically defensible.

(I’ve written more about President Biden era Tariffs, specifically his tariffs on Chinese EVs. Read more here: https://www.techlensadvisors.com/the-strategic-lens/bidens-2024-tariffs)

Could Tariffs Unintentionally Reduce American Consumption?

Yes—but not in a good way.

When tariffs make goods more expensive, consumers don’t necessarily buy American alternatives—they often just buy less. This is especially true in lower-income households, where budgets are tight and inflation is already a burden. So while tariffs may reduce imports on paper, the result isn’t smarter consumption—it’s forced austerity.

Meanwhile, retaliatory tariffs from other nations often target America’s true strengths: services, IP licensing, entertainment, agriculture, and tech platforms. These sectors create high-value jobs and fuel economic growth. Tariff wars jeopardize those relationships and the livelihoods tied to them.

In effect, tariffs may unintentionally:

  • Shrink demand through price increases

  • Slow economic growth by hitting export-heavy sectors

  • Hurt innovation by reducing competition and margin

This isn’t strategic consumption control—it’s a distortion of market behavior with no upside for long-term prosperity.

Countries That Imposed Retaliatory Tariffs on the U.S. in 2025 (Illustrative)

Policy Over Politics

The slogan “just buy American” may stir patriotic feelings, but it doesn’t reflect how the U.S. economy actually works. We are inextricably connected to global markets. And we thrive not by withdrawing from competition, but by rising to meet it.

If the goal is to support American industry, then we need:

  • Smart, targeted investments

  • A commitment to international partnerships

  • And policy grounded in reality, not reaction

Tariffs may have their place—but blanket trade wars and politicized protectionism do more harm than good.

Sources/References

  • Canada Tariff Rate Quotas (Government of Canada – Agriculture and Agri-Food)
    https://agriculture.canada.ca/en/international-trade/trade-agreements/canadas-tariff-rate-quotas

  • WTO Tariffs and Quotas Overview
    https://www.wto.org/english/tratop_e/tariffs_e/tariffs_e.htm

  • Congressional Research Service – Canada’s Supply Management and USMCA
    https://crsreports.congress.gov/product/pdf/IF/IF11149

  • U.S. Trade Representative – Section 301 Tariff Actions
    https://ustr.gov/issue-areas/enforcement/section-301-investigations/tariff-actions

  • Brookings Institution – Tracking the U.S.–China Trade Conflict
    https://www.brookings.edu/articles/tracking-the-us-china-trade-conflict/

  • Peterson Institute – Timeline of U.S.–China Tariffs
    https://www.piie.com/research/piie-charts/us-china-trade-war-tariffs-date-chart

  • Reuters – Biden Maintains Trump Tariffs (July 2021)
    https://www.reuters.com/world/us/biden-maintain-trump-era-china-tariffs-2021-07-06/

  • Politico – Biden’s Tariff Plans on China EVs and More (2024)
    https://www.politico.com/news/2024/04/04/biden-china-tariffs-electric-vehicles-00140238

  • CNBC – Biden Adds New Tariffs Targeting China (April 2024)
    https://www.cnbc.com/2024/04/04/biden-china-tariffs-us-national-security.html

Richard Joseph is a technology and business strategist focused on supply chains, digital transformation, and the intersection of economic policy and modern enterprise.

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