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Ask HN: What's the strategy behind the US Administration's trade policies?

6 points by swat535 ↗ HN
For some time now, I’ve been trying to zoom out and understand the bigger strategy behind the current U.S. administration’s actions.

So on the surface, many of these moves, such as the increasing application of tariffs, even on close allies like Canada, seem disruptive, counterproductive, and damaging to both the U.S. economy and long-term international relationships that United States have been building for decades.

Considering how much US relies on many of these trade partners, I find it hard to believe that these actions are purely shortsighted or reactionary. There must be a broader strategic goal in play.

However, from my perspective, the logic behind it isn’t entirely clear and I refuse to believe that POTUS and his closest advisors haven't thought this through. From what I have witnessed, Republicans come across to me as the party that engages in the most strategic maneuvering compared to their rivals.

All that said, can someone please chime in and shed light on this for me?

9 comments

[ 4.6 ms ] story [ 32.7 ms ] thread
jeffbee
People with a lot of money know they can buy up assets cheaply after Trump crashes the economy. Trump insiders know they can make a virtually unlimited amount of money front-running Trump's tariff announcements. It's that simple.
bediger4000
Leave out the word "insiders" and I think you've got it.

Trump's trade policies are a way to strong arm whole industries for bribes. Deregulating cryptocurrency is the other half of the story.

anigbrowl
There must be a broader strategic goal in play

I refuse to believe that POTUS and his closest advisors haven't thought this through

What if they are simply selfish assholes who have concluded that bullying and greed pay off in combination with preferential attachment (the public fact of already having lots of money and power)?

uberman
On several occasions Trump has mentioned William McKinley as an idol and someone who he would like to emulate particularly with respect to expansionism and tariffs.

Read his wikipedia bio https://en.m.wikipedia.org/wiki/William_McKinley and you will understand Trumps goals

floxy
Preparing for war with China?
Braxton1980
Why do you refuse to think they've thought this through?
k310
Part of isolationism is a fixation he has. Part of it is a reduction in spending in order to finance tax cuts for billionaires.

Canada, Trump and the new world order.[0]

> Focusing American power on its own hemisphere would allow Trump, in other words, to square many circles: to make America great again by making America’s imperial footprint smaller, to reduce the tax burden on the rich by cutting into the apparatus that a global imperium required.

[0] https://archive.md/XEEtx

The love of Putin and of tech bros and crypto bros are just paybacks and likely blackmail. IMO.

rsynnott
> Considering how much US relies on many of these trade partners, I find it hard to believe that these actions are purely shortsighted or reactionary. There must be a broader strategic goal in play.

You’re assuming that there are any grownups left in the room. There’s really very little reason to think that.

I mean, this isn’t even just a Trump thing; countries commit economic suicide against expert advice surprisingly often. For a recent example see Brexit; there was _no_ conventional economist saying _that_ was a good idea.

You’re also assuming that minihands is even _trying_ to benefit the US (vs trying to, say, benefit himself). Again, that seems… naive.