WH Adviser Larry Kudlow Refutes Trump Tariff Claims
For over a year, Donald Trump has engaged in a trade war with China. Late last week, he escalated the feud by choosing to again raise tariffs on Chinese goods. As they did during the last tariff hike, China has promised to retaliate in kind.
The president has long asserted that China pays these tariffs and in the end, the United States wins. During an interview with Fox News Chris Wallace, Trump economic strategist, Larry Kudlow, admitted that these tariffs are largely paid by the American consumer.
Wallace posed the question, “It’s U.S. businesses and U.S. consumers who pay, correct?” To which Kudlow replied, “Yes, I don’t disagree with that. Both sides will pay.” Kudlow did argue that China, “will suffer (economic) losses.”
Kudlow’s words contradict a tweet sent earlier in the day by the president. Trump wrote, “We are right where we want to be with China. Remember, they broke the deal with us & tried to renegotiate. We will be taking in Tens of Billions of Dollars in Tariffs from China. Buyers of product can make it themselves in the USA (ideal), or buy it from non-Tariffed countries.”
We are right where we want to be with China. Remember, they broke the deal with us & tried to renegotiate. We will be taking in Tens of Billions of Dollars in Tariffs from China. Buyers of product can make it themselves in the USA (ideal), or buy it from non-Tariffed countries…
— Donald J. Trump (@realDonaldTrump) May 12, 2019
The trade war with China has been unpopular on both sides of the political aisle. Texas Congressman, Will Hurd, said, “The way you deal with that is not using a tit-for-tat tariff war. We should think of a tariff like a sales tax … on American consumers. It’s going to be more expensive for Americans to buy products.”
China is expected to announce retaliation for the tariffs early this week.