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The False Shield: Trump’s Tariffs Actually Add to the Erosion of U.S. Manufacturing

April 11, 2025

Preword – this isn’t quite my usual style, as I typically prefer to drive original arguments rather than assemble others’. But the urgency of the current momentum called for it. What follows is a compiled analysis drawn from open press coverage on a single subject.

What is happening is so harmful to the very essence that the Trump administration claims to be revitalizing – the U.S. manufacturing sector – that I cannot help but ask: what is the real goal behind all this? Is it the deliberate destruction of the United States as a coherent country? A planned split into two or more regions along the blue and red state divide? The collapse of the U.S. dollar as the global reserve currency?

I am certain these trajectories are alien to the genuine interests of the United States – and thus can only originate from a deep adversary. I know two: Russia and China. And certain clues point toward Russia attempting to use their "Trump" piece in a broader strategic game with China – a conquered America as a lever in Eurasian dominance. But then the next question emerges: what does Russia intend to do with a dismantled, unstable, and nuclear-armed America? Is this all simply the vengeance of a retired KGB major? Questions.

President Donald Trump's implementation of extensive tariffs has had significant repercussions on U.S. supply chains, manufacturing, and international trade relationships. These measures have inadvertently accelerated deindustrialization, prompted companies to relocate production overseas to circumvent tariffs, and led trading partners to seek alternative markets, thereby weakening the U.S. industrial base and increasing reliance on state intervention.​

Disruption of Supply Chains and Deindustrialization

The imposition of broad tariffs disrupted long-standing supply chains, especially in industries like automotive manufacturing, where components often cross borders multiple times. For instance, tariffs on Canada and Mexico threatened the integrated North American auto supply chain, leading companies like Stellantis to temporarily close factories and lay off workers. Such disruptions have contributed to deindustrialization by making domestic manufacturing less competitive and prompting companies to reconsider their production strategies.​

Shift of Production Abroad to Evade Tariffs

In response to increased tariffs, many manufacturers opted to move production facilities to countries not subject to these tariffs to maintain cost efficiency. Chinese manufacturers, for example, accelerated efforts to establish operations in Southeast Asian nations like Vietnam, Thailand, and Cambodia to avoid U.S. tariffs. This shift not only undermines the goal of bringing jobs back to the U.S. but also reflects a strategic move by companies to navigate the complex tariff landscape.​

Diversification of Trading Partners Away from U.S. Markets

U.S. trading partners, facing unpredictable tariff policies, have diversified their markets to reduce dependence on the U.S. For instance, countries affected by the "Liberation Day" tariffs sought to strengthen trade relationships elsewhere, diminishing U.S. influence in global trade. This diversification has led to a realignment of global trade networks, often at the expense of U.S. economic interests.​

Weakening of the U.S. Industrial Base and Increased Dependence on State Intervention

The combination of disrupted supply chains, offshored production, and lost export markets has weakened the U.S. industrial base. Industries facing increased costs due to tariffs have struggled to compete, leading to factory closures and job losses. In response, the government has had to intervene, providing subsidies and crafting policies to support affected industries. However, such state interventions have not always been sufficient to offset the negative impacts of the tariffs, leading to debates about the effectiveness of protectionist policies in revitalizing domestic manufacturing. ​

In summary, while intended to bolster American industry, the tariff-centric trade measures have often had the opposite effect, highlighting the complexities and unintended consequences of protectionist economic policies.

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  1. How Trump's Tariffs Could Lead to Global Recession — https://time.com/trumps-tariffs-global-recession
  2. Tariffs could affect supply chains, SIU professor says — https://siunews.edu/tariffs-supply-chains
  3. Trump's Wide-Ranging Tariffs Could Complicate Supply Chains — https://investopedia.com/trumps-wide-ranging-tariffs
  4. Trump's Tantrum Tariffs Will Not Renew US Manufacturing — https://thenation.com/trumps-tantrum-tariffs
  5. Support Grows for President Trump's America First Reciprocal Trade — https://whitehouse.gov/support-for-america-first-tariff
  6. Why the U.S. Needs President Trump's Tariffs — https://prosperousamerica.org/why-us-needs-trump-tariffs
  7. Trump's new tariffs lead to the biggest Dow wipeout — https://insider.com/trump-tariffs-dow-wipeout
  8. Trump tariffs pile stress on ailing world economy — https://reuters.com/trump-tariffs-global-economy
  9. Regulating Imports with a Reciprocal Tariff to Rectify Trade Practices — https://whitehouse.gov/regulating-imports-reciprocal-tariff
  10. How Trump's tariffs will accelerate US decline — https://geopoliticaleconomy.com/trump-tariffs-us-decline
  11. The impact of Trump's proposed tariffs on global supply chains — https://supplychainxchange.org/trump-proposed-tariffs-impact
  12. Manufactured Crisis: "Deindustrialization," Free Markets, and ... — https://cato.org/manufactured-crisis-deindustrialization
  13. U.S. Trade Policy in Focus: Understanding the Historical, Forward — https://twinfocus.com/us-trade-policy-in-focus