Tariffs Quotes



It is very easy for an American company to make parts in the United States, ship them to Mexico for assembly and bring the finished product back. However, for counties like France it is much more difficult.


Despite this economic reality, many underdeveloped nations sell their raw materials because it is easier than the alternative which takes capital investment in processing plants and equipment, training of workers, and establishing a marketing mechanism. Most third world nations are limited in their capacity to do this but they have abundant natural resources.


In October 2025 (ahead of ongoing trade negotiations), the Ontario Provincial Government (Canadian) produced a video ad distributed in the US using a voice-over of the above quote from a 1987 Ronald Reagan Presidential Radio Address. The ad uses five complete sentences from the five-minute weekly address, but they are spliced together out of sequence. Also, while the ad implies Reagan was against tariffs, it omitted the context that he was using the radio address to announce new tariffs imposed on Japan by his administration but that they should be seen as an unavoidable exception to his basic belief in free trade as the key to prosperity. He said, “our commitment to free trade is also a commitment to fair trade.” President Trump accused the Ontario government of producing a fraudulent ad and of attempting to influence the US Supreme Court as it prepares to hear arguments about the legality of Trump’s tariffs. As a result, the Trump administration terminated trade negotiations with Canada.


Foreign trade creates jobs and eliminates jobs. The people who lost jobs as the result of increased foreign trade are readily identified while the job beneficiaries may never know the reason. So it is a hard political sell even though most of the economic studies have showed that more jobs of more value are created by trade than lost. However, the losers are generally blue collar workers while the beneficiaries are generally white collar and knowledge workers. So there is a socioeconomic class differentiation in the trade issue.