The CEO and President of the United States Chamber of Commerce, Suzanne Clark, opposed both Trump and Harris for their anti-trade positions. It is the largest business lobbying group in the country. She is particularly worried about the idea of Donald Trump imposing a 60% tariff on goods from China. Clark said that most American companies depend upon other nation, especially for importing parts and materials.
For this purpose, China is the leading nation. The proposal to include tariffs on Chinese imports would make the imports much more costly for manufacturers in the United States. Furthermore, the production costs of the business also increase, which makes American businesses less compatible. With such a plan, American businesses could never compete in the global market. Clarks is also concerned that these tariffs would result in higher prices for consumers. This kind of trade policy would harm the nation’s economy. It negatively impacts businesses as well as jobs.
Why do anti-trade policies harm the US economy?
In 2024, if Kamala Harris governs, she is likely to follow Current President Joe Biden‘s approach and avoid any new trade deals. In 2020, she was one of the ladies who opposed the US-Mexico-Canada Agreement (USMCA). She voted against this deal because it did not address climate change. Now in 2024, she again criticized the deal, which highlights that her position and stance have not shifted. Many people, such as Clark have said that this anti-trade policy is not beneficial for the US.
It only harms the economy of the country. During an interview, she opposed the views of both presidential candidates, Donald Trump and Kamala Harris. According to her, both Trump and Harris are not in favour of new trade agreements. This stance only harms the American economy and communities. The major concern is that without these deals, the US economy could never grow and the nation would lose many opportunities, especially in industries that rely on international trade. So, avoiding a new trade agreement could weaken America’s global position and negatively impact its domestic economy in the long run.
The Biden administration has changed its strategy of how it handles trade. It now follows a “worker-centered” policy. This strategy looks more carefully at past trade deals.
These deals allowed the US to sell products to other countries while also letting more products from other countries come into the US.
Some people, like Vice President Harris, some Democrats, and labour unions, think these deals could prove harmful for the manufacturers. They may lose their jobs.
The major focus of Biden’s administration is not the new trade deals. They are not working on new trade deals, like those with the UK and Kenya that began under Trump. This includes making the supply chain stronger and supporting clean energy.
They have also kept the current tariffs in place, so they don’t have to ask Congress to approve any changes. This highlights that Biden’s administration paid more attention to securing American jobs rather than expanding trade with other nations.
Furthermore, various people opposed the Biden administration’s trade plans due to its ineffectiveness. It includes the Indo-Pacific Economic Framework and the Americas Partnership for Economic Prosperity. Business groups, including the Chamber of Commerce, argue that these initiatives don’t have the same positive impact as earlier agreements that reduced tariffs.
Additionally, many economic analysts examined Trump’s proposal of increasing tariffs: 60% on Chinese imports and 10% on goods from other nations. After thorough research, they warned that these high taxes could push inflation above the Federal Reserve’s target. If this happens, then it will lead to many economic complexities because the central bank might raise interest rates. So, both the Biden and Trump trade policies are questioned for their effectiveness and possible negative effects on the economy.