Ironically, Trump’s Tariffs Are Motivating US Businesses To Relocate To Mexico

Official White House Photo by Shealah Craighead/Public Domain

Manufacturing executives who once supported President Trump are now considering moving production overseas.

One of President Trump’s main talking points throughout his campaign was his tough stance on trade with China. As his tariff policies are kicking in, manufacturing executives who once supported him are now facing decisions that would take jobs out of the United States, according to the New York Times.

The tariffs in place have not only caused concern within China and for American businesses selling goods in the country but have allowed steelmakers in the United States to use the current situation as an opportunity to significantly raise prices for domestic manufacturers. For factories that specialize in making metal parts, the prices of steel and aluminum are becoming so high that executives are considering moving production to places like Mexico and Canada.

“They are very much taking advantage of the situation,” he said. “As soon as they are not squeezed, they become the squeezer.” -Larry Kooiker, President of Agritek on the price increases

Although framed as a tough stance in battling foreign trade power and creating more opportunities for American workers, Trump’s policy is both hurting family-owned businesses and creating an incentive to move production outside the U.S. border.

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