Sunday, July 24, 2016

Trump Threatens to Pull the US Out of the World Trade Organization

Of course, it is for the absolute wrong reasons.

It's not that he is against backroom globalism. It's because he wants to aggressively apply import taxes on U.S. corporations that move manufacturing plants outside the U.S.

The Hill reports:
Donald Trump  on Sunday threatened to pull the United States out of the World Trade Organization  if his plan to tax imports of U.S. companies that move their operations abroad is foiled.
As I have said before, Trump has no understanding  of comparative advanage nor free trade.

“There will be a tax to be paid,” Trump told Chuck Todd in an interview on NBC's “Meet the Press.”

"If they're going to fire all their people, move their plant to Mexico, build air conditioners, and think they're going to sell those air conditioners to the United States, there's going to be a tax,” he said.

When Todd said the import-tariff plan wouldn't pass muster at the WTO, Trump said that is “even better.”

“Then we're going to renegotiate or we're going to pull out,” he said.

"These trade deals are a disaster,” he said. “You know, the World Trade Organization is a disaster.”


1 comment:

  1. We dont have free trade in this country we have a monopolistic oligarchy where free trade does not exist. When you EVER get around to addressing the reality of this extensive Kleptocracy called Murica then I may take your comments on trade seriously.