House Speaker Kevin McCarthy ostensibly is battling President Joe Biden for dramatic budget cuts, as the deadline to raise the debt ceiling draws ever more near. June 1 is the big day. Multiple sources say an agreement is close to happening.
But if you look at the specifics, the GOP is all too eager to raise American taxes, under the guise of China tariffs. While tariffs against a foreign adversary might sound productive on its face, it will directly damage the taxpayer’s wallets.
GOP Missouri Senator Josh Hawley has proposed a 25% extra tariff on all Chinese imports. The bill states that these tariffs could be reversed only when the US gets a surplus on their end through trading with China.
Hawley said, “Strong tariffs on China should be a major part of any debt ceiling agreement.”
But Reason Magazine notes that there have been multiple studies that show that Trump’s tariff hikes resulted in high prices for consumers and helped contribute to the dramatic rise in inflation.
So let’s just do more of it, right? That’s true economic conservatism right there.
Hawley wants the tariffs to be changed from the current 11% to 40%. And of course, in addition to the other economic woes, that means higher prices for specific goods Americans are trying to purchase.
It looks like this bill is slated to be included as the debt ceiling negotiations are finalized. It looks like there’s an end in sight, but it’s not one that will benefit Americans or their pocketbooks.