Tuesday, September 15, 2009

Obama's Tariff is a Joke

The President just passed a tariff against China. It restricts numbers of automobile tires they can import into the United States. This tariff does NOT protect the tire manufacturers because it is designed to protect union worker's jobs. As a matter of fact, the tire manufacturers don't even want a tariff placed on their products.

If fully enacted, the Chinese will not be able to sell any tires in the US. The Chinese imports will stop coming here. China will react by placing more restrictions on what we import to them. Things are bad enough now. For every dollar the Chinese import here in the US, they only allow a fraction of US imports to enter China.

Nice Huh? That will only get worse if the tariff remains in effect.

However, that will not stop places like Viet Nam, Brazil and Indonesia from importing their automobile tires to America. Hence, the union jobs are NOT protected.

This tariff will NOT work as the President hopes. Instead it will backfire and create a trade war with our number one partner in trade - China. Why would the President do such a thing? Why irritate the country that loans us the most money and trades with us?

It's simple. Obama is merely paying off the special interest group who help him get elected! This is cronyism in its most blazing form. It's Chicago style politics in BLATENT form. He's using the power of his office to pay back his friends.

Action To Take
Call the White House and complain that the tariff is a mistake. 202-456-1414.

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