Reading through some of these post I see some people cherry picking certain stats and saying one country or another is “subsidizing” the other or because another country has tariffs on another that they need to implement reciprocal tariffs. With out analyzing the entire trade agreement with that country it is misleading to say that country “A” is taking advantage of country “B”. Like any fair deal there are certain areas where one country wins and another loses and certain areas where both win, but as a whole it evens out. I would like to present a simple example that, has simple math that I hope everyone can grasp to get my point across.
Let’s take two neighbours. Neighbour “A” has an apple tree he sells 100 apples to neighbour “B” for $10. Neighbour “B” takes those 100 apples and makes 20 apple pies which he intern sells in the neighbourhood for 5$ each (total 5x20=$100). Neighbour “A” also buys one of those pies for $5. Neighbour “A” also has a tariff on Apple pies of $2 to protect his mom, who bakes 1 pie a month for the family and to prevent his wife from buying to many pies from neighbour “B”.
Now using Trump logic, I may look at the trade deficit and say neighbour “A” is ripping off neighbour “B” and neighbour “A” is being subsidized by neighbour “B” by $5. This clearly is not the case, neighbour “B” is clearly making more from this arrangement than neighbour “A”. Also using trumps reciprocal tariff logic, neighbour “B”, might say your tariff on my apple pies is so un fair I am going to punish you by tariffing your apples by 25%. This so short sited as the arrangement/trade deal is already heavily in favour of neighbour “B” and the tariff on apples is only going ruin your apple pie industry and sour a lucrative trade deal. The point is just looking at, cherry picked data, one can easily make this lucrative trade agreement look like it is so “unfair”. That is why trade agreements are hammered out by a comity of people who grasp the full economic picture of both countries and not one person who is spoon fed, cherry picked data points, by people to afraid to contradict him.
I will leave you with this quote by Neil degrade Tyson, that I think speaks volumes about the people involved with these tariffs in the USA.
“One of the great challenges in life is knowing enough about a subject to think you're right, but not enough about the subject to know you're wrong”