Albert Einstein said, ”Insanity is doing the same thing over and over again and expecting different results.” By that definition, Donald Trump’s tariff policy is pure madness. He’s slapping 25% tariffs on Canada and Mexico, 20% on China—despite history’s clear warning that protectionism backfires. Every time tariffs have been tried, they’ve led to economic pain, yet Trump barrels ahead as if this time will be different. Experts warn of a 0.3% drop in GDP, an extra $800 in costs per household, and a housing crisis as Canadian lumber tariffs near 40%. This isn’t a bold strategy—it’s a self-inflicted wound, disguised as patriotism but destined to hurt American businesses and consumers alike.
Tariffs might sound like they help American businesses, but they only and always do the opposite. History is full of examples—like the disastrous Smoot-Hawley Tariff during the Great Depression—that show tariffs slow down economic growth, raise prices, and hurt consumers. Now, big banks like JPMorgan estimate a 40% chance of recession, largely because businesses are too uncertain to invest. Half of what the U.S. imports helps manufacturers make products, so raising prices on steel and lumber doesn’t protect them—it weakens them. In reality, these tariffs are less about helping American workers and more about protecting politically connected industries.
The way Trump is handling tariffs isn’t helping either. His policies seem random—one day, Canadian steel faces a 25% tariff; the next, it gets removed after Canada makes a small change. This unpredictability erodes business confidence, making it impossible for companies to plan ahead.” Strong economies rely on stability, not last-minute decisions that change every week. If companies don’t know what rules will apply tomorrow, they’ll hold back on investing or expanding, which slows down the economy even more.
Consider Canadian lumber, which supplies 70% of the U.S. market. With tariffs now approaching 40%, homebuilders—already struggling with labor shortages—face billions in extra costs. That means fewer homes get built, prices go up, and the housing crisis gets worse. The same goes for steel and aluminum tariffs. Car factories, solar companies, and appliance makers all have to pay more for materials, which means higher prices for consumers or, even worse, factory closures and job losses. This isn’t “winning”—it’s economic suicide. If it really made sense to produce these materials in the U.S. at competitive prices, companies would already be doing it without the government’s interference.
Countries do not trade. Only businesses and people do. Every trade is one business or individual electing to voluntarily transact with another individual or business. Tariffs interfere by deciding who can trade with whom, usually to benefit powerful industries. Free markets work best when businesses compete fairly, not when the government picks winners and losers. Some Trump supporters argue that these tariffs are meant to challenge China or strengthen the U.S. economy, but the messy execution proves otherwise. If American industries are going to succeed, they need a stable and predictable system—not sudden, punishing policies that make it harder to compete globally.
Until Trump abandons his tariff obsession and lets the market function, he’s not protecting American workers—he’s punishing them. History has proven that tariffs weaken economies, stifle competition, and raise prices. Yet here we are again, watching him again try the same flawed policies and expecting a different outcome. If Einstein was right, then Trump’s approach isn’t just bad economics—it’s madness.