"But now here comes the bad medicine. This is going to be a bit painful for a while. Why? We have to retrofit the 'Good Ship Lollypop' back into being the USS America. We are not a cruise ship - we are a battleship. The 'Good Ship Lollypop' was taking on water and starting to sink. It was way past time to fix this issue."
Yes, I am quoting the late Rodney King. This innocuous statement which he uttered in a moment of grief after the LA riots, has become almost iconic. I am going to bootstrap that statement onto one of the most contentious issues of the day - tariffs. And as I was doing a deep dive in thinking about the ramifications of squaring away this tariff mess, a few big questions kept getting in my way to think clearly. How in the world did we get this way? How did it get this lopsided? And finally, to fix this imbalance, can't we all just get along?
I wish I were a better student of history on this matter. When I see the imbalance of tariffs nation by nation, the imbalance issue is not just a "one off". It is endemic. It is not only with our advisories like China - but also our closest friends. Perhaps one of the biggest imbalances I have seen to date is with Canada. One of our nearest and dearest friends. When Trump told Canada we needed to fix this imbalance, the new Canadian PM (Mark Carney) wants to file for a divorce from us. Not fix the problem, just stop talking to us.
Maybe it is because we have been a "get along, go along country" for so long. Many of these friendly countries which have a HUGE imbalance with us, remind me of the shiftless brother-in-law. The entire family knows this brother-in-law is a mooch, but hey - he is a brother-in-law. So, we all just put up with this deadbeat. Bottom line? There is no reason on this planet why we don't have reciprocal tariffs with every nation. We should have even-Stephen tariffs with everyone, and everyone should be happy as a clam about it. Period.
The offshore issue somehow got lumped in with the tariff issue. It should be stand-alone. Again, I don't know at what point we decided it was smart to let go of most of our industries. But we did, and most who live in the "Rust Belt" agree it was a HUGE mistake. Trump also knows that. It is time to onshore much of what should have never been offshored in the first place.
But now here comes the bad medicine. This is going to be a bit painful for a while. Why? We have to retrofit the "Good Ship Lollypop" back into being the USS America. We are not a cruise ship - we are a battleship. The "Good Ship Lollypop" was taking on water and starting to sink. It was way past time to fix this issue.
The tariffs, the onshoring - these are going to take some time and be uncomfortable to some. But to fix both of these - will be so, so worth it. Sit back, relax, and have faith in Donald Trump and his team. It is only a little pain for a very long-term gain.











