The Truth About Tariffs and Trade Wars

The mainstream media, backed by Democrat-aligned economic "experts," continues its relentless gaslighting of the American public, pushing outright falsehoods about trade policy and inflation. Their latest narrative? That new tariffs will devastate the U.S. economy, drive prices through the roof, and plunge the country into chaos. The reality, as always, is far different.

The corporate press insists that tariffs will lead to rampant inflation. This is a deliberate deception. Inflation is driven by an increase in the money supply, not by shifting trade policies. In fact, the Federal Reserve's reckless printing of 40% of all U.S. dollars during the pandemic is what triggered the real inflation crisis—not tariffs.

Trade agreements have long been skewed against America. The United States previously imposed only minor tariffs on certain Canadian goods, including dairy, softwood lumber, poultry and eggs, sugar, and sugar-containing products—yet these were minimal compared to the tariffs Canada has imposed on American imports for years.

Existing Canadian Tariffs on U.S. Goods

- 270% tariff on U.S. dairy products
- 200%+ tariff on U.S. poultry and eggs
- 10% tariff on U.S. sugar and sugar-containing products
- Significant tariffs on U.S. alcoholic beverages

Meanwhile, Mexico has slapped massive tariffs on U.S. goods, including:

- 25% tariff on U.S. steel products
- 20% on pork imports
- 20-25% on cheeses
- 20% on egg products, apples, and potatoes
- 25% on bourbon

China has been waging economic war on the U.S. for decades with:

- 25% tariffs on American automobiles
- 10-20% tariffs on agricultural products
- 14-30% tariffs on alcohol
- 10-25% tariffs on textiles and apparel

Yet, when the U.S. finally levels the playing field, the media panics and fearmongers, claiming it will destroy the economy. They are lying.

Contrary to the media hysteria, economic models show that Canada and Mexico will bear the brunt of any trade war.

Canada: The Biggest Loser

Canada’s economy is dangerously dependent on U.S. trade, with 75% of its exports going to the U.S. The industries most at risk from tariffs—oil, auto parts, lumber, and agriculture—already operate on thin profit margins. Canadian steel, aluminum, and dairy industries will be particularly hard hit.

Justin Trudeau, in a desperate attempt to sound tough, has threatened to cut energy exports to the U.S. But here’s the problem:

- Canada’s energy sector is drowning in billions of dollars of debt.
- They cannot afford to stop exporting to the U.S.
- If they did, the U.S. would simply ramp up domestic oil and natural gas production, further crippling Canada's economy.

Mexico: High Risk, Few Alternatives

Over 80% of Mexican exports are reliant on U.S. buyers, making it one of the most vulnerable economies in this trade war.

- Mexican industries in automobiles, electronics, and agriculture will suffer immensely, leading to job losses, supply chain disruptions, and economic contraction.
- The auto industry is highly integrated with U.S. production, so new tariffs will disrupt supply chains, jobs, and investment in Mexico.
- Higher tariffs on Mexican produce—avocados, tomatoes, and beer—will increase costs for Mexican farmers while raising prices slightly for U.S. consumers.

Mexico has no real alternatives. Trying to pivot to China or South America for trade will never be as profitable as selling to the U.S.

China: Moderate Impact, But Long-Term Consequences

While less reliant on U.S. trade than Canada or Mexico, about 17% of China’s exports go to the U.S.

- Tariffs on electronics, machinery, and consumer goods will hit China’s manufacturing sector hard.
- Beijing may attempt to retaliate by restricting rare-earth mineral exports crucial for American tech industries, but the U.S. can and will ramp up domestic production in response.

Meanwhile, the U.S. stands to benefit long-term. Domestic industries will replace foreign suppliers, keeping more money circulating in the U.S. economy rather than flowing overseas. Temporary price fluctuations will be offset by increased American production, mirroring the 2018 steel industry resurgence following the last round of tariffs.

Media Manipulation and the Bigger Picture

The corporate media’s goal isn’t to inform—it’s to control. They are running interference for globalist economic policies that have hollowed out American industry for decades. They scream about "trade wars" while ignoring how foreign countries have been waging economic warfare on the U.S. for years through unfair trade practices.

Even more telling is their silence on the real economic crisis:

- Millions of illegal immigrants siphoning money out of the U.S. economy.
- A recent ICE raid in California found an entire restaurant staffed by illegal workers, funneling earnings out of the country.
- After their removal, American citizens finally filled those jobs, keeping wages in the local economy.

Instead of reporting on how illegal labor suppresses wages and drains U.S. economic growth, the media screams "xenophobia" and "bigotry" to protect their narrative.

Conclusion: Short-Term Pain, Long-Term Gain

Yes, there will be market turbulence, but the long-term effects of rebalancing trade in America's favor will be overwhelmingly positive. The U.S. economy will not collapse, inflation will not spiral out of control, and American workers and businesses will benefit.

The real question is: Will Americans wake up to the media’s endless lies, or will they continue to be gaslit into economic servitude?

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