Rep. Glenn Grothman of Wisconsin said Tuesday he fully supports President-elect Donald Trump’s threat to impose tariffs on Canada and Mexico unless those countries rein in illegal immigration and drug trafficking into the U.S.
“It is time we played hardball and save American lives and culture,” the Republican congressman said in a statement.
Mr. Grothman said the 25% tariff threat that would hit all products coming into the U.S. from the two countries could save lives.
“These proposed tariffs will not only hold these countries accountable, but also strengthen the U.S. economy by ensuring that our borders are secure and our communities are protected. This is a start to reducing crime and saving American culture,” said Mr. Grothman, the chairman of the House Oversight Subcommittee on National Security, the Border and Foreign Affairs. “With these economic actions, the U.S. will no longer be a haven for criminals and drug traffickers, but rather a nation where law and order prevail, and the well-being of its citizens is prioritized.”
Tariffs are a form of tax or duty paid on imports.
Mr. Trump says tariffs will force companies to keep their operations in the U.S. or move here and employ American workers while creating revenue to fund domestic programs.
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While tariffs hurt foreign countries by making their products more expensive and harder to sell in the U.S., they don’t pay the tariffs directly to the U.S. Treasury. The money goes to U.S. companies that then pay the levies.
Some economists predict countries targeted by U.S. tariffs will respond by imposing duties on American exports, although that’s already in play, as Mr. Trump consistently says.
While GOP allies cheer Mr. Trump’s hardball tactics, some business lobbies and trade groups warn of domestic pain if Mr. Trump follows through.
The National Retail Federation said there is a “time and place” for tariffs to protect U.S. industries but that blanket tariffs will backfire.
“Voters spoke loud and clear that higher prices and inflation are their chief economic concerns. But lower prices and increased tariffs are mutually exclusive,” the federation said in a written statement Tuesday. “It’s one or the other; not both. Broad-based, across-the-board tariffs will drive up prices and put more pressure on family finances just when we are finally turning the corner on the inflation fight.”
The National Foreign Trade Council said the tariff threat would violate the U.S.-Mexico-Canada Agreement that Mr. Trump negotiated in his first term. The deal included tools to resolve disputes.
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“While we’re all familiar with the president-elect’s fondness for tariffs as a negotiating tool, it’s particularly troubling that he’s threatening to aim them at America’s closest allies and trading partners on the very first day of his administration,” NFTC President Jake Colvin said.
Mexican President Claudia Sheinbaum said Tuesday she’s open to talks with the U.S. but warned that Mr. Trump’s threat could result in retaliatory measures.
“One tariff would be followed by another in response and so on until we put at risk common businesses,” she said.
• Tom Howell Jr. can be reached at thowell@washingtontimes.com.
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