A permanent 25 percent tariff on all imported goods to the United State from China would create more than one million American jobs by 2024, a new study concludes.
The U.S. could undergo a massive, nationwide reshoring-jobs effort if it imposed a permanent 25 percent tariff on all Chinese imports, Coalition for a Prosperous America (CPA) researchers Jeff Ferry and Steven Byers find in their latest study.
An across-the-board tariff on all Chinese imports — coupled with the impact of Chinese trade retaliation, federal aid for U.S. farmers, and federal investment from tariff revenue — would add about 1.05 million American jobs to the U.S. economy and boost the nation’s GDP by $167 billion by 2024, Ferry and Byers reveal.
“The tariff would stimulate domestic production, beginning with small increases in US manufacturing and escalating over time,” Ferry said in a statement. “The certainty of a permanent tariff would be more effective than today’s tariffs and speed up business decisions to move production out of China, with a portion of that production coming back home.”
A previous study by Ferry and Byers found that a permanent 25 percent tariff on China would create more than 720,000 American jobs, Breitbart News noted, but that research did not factor in China’s reaction to the tariff or federal investment in the U.S. as a result of the tariff.
Over half a decade, alone, the federal revenue raised by a 25 percent tariff on China would total about $550 billion — funds that can be readily reinvested in the U.S. economy.
“A permanent across-the-board tariff against China would be pro-growth and would be effective in preventing the further erosion of U.S. wealth and power,” CPA CEO Michael Stumo said in a statement.
Republican voters are overwhelmingly supportive of tariffs on foreign imports to protect American industries and U.S. workers. The latest Civiqs/Daily Kos poll found that nearly 70 percent of GOP voters said tariffs on imports are “good” for the U.S. economy.
Since the North American Free Trade Agreement (NAFTA) was enacted and China entered the World Trade Organization (WTO), nearly five million American manufacturing jobs have been eliminated from the American economy. The mass elimination of working- and middle-class jobs and depressed U.S. wages due to NAFTA has coincided with a nearly 600 percent increase in trade deficits.
John Binder is a reporter for Breitbart News. Follow him on Twitter at @JxhnBinder.
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