All Commentary
Tuesday, May 24, 2011

U.S. Tariffs Not Insurmountable

“China’s export juggernaut is not unstoppable: Just ask Lawrence Yen, president of Woodworth Wooden Industries. His factory here in southern China used to ship 400 containers of bedroom furniture to the United States each month. It now sends 60. That is just what Yen’s struggling American competitors were hoping would happen when, back in January 2005, the Commerce Department slapped import tariffs on Chinese-made beds, nightstands and related wares. What happened next, though, was not part of the plan: Yen opened a factory in Vietnam and began exporting to the United States from there.” (Washington Post)

Trade will find a way.

FEE Timely Classic
“Tariffs and Freedom” by Donald J. Boudreaux