I’m basically a “free trader,” but it’s time we stop pretending it’s that simple.
Try this highly complex story on for size:
The US Commerce Department has said it may impose tariffs of up to 123% on Chinese, Malaysian, and Thai plastic shopping bag producers.
The Commerce Department said it would continue its investigation and reach a final decision in June.
The US imported about 100 billion plastic bags in 2002, worth more than $127m, and China supplied about 30%.
The list of items causing trade tensions between the US and Asian countries already includes Vietnamese cat fish and Chinese-made bras and colour TVs.
The Commerce Department issued its preliminary ruling after complaints from US packaging firms, including Sonoco Products and Interplast Group.
They say unfairly cheap Asian plastic bags are losing them $300m in sales a year.
Strain your mind, can you figure this one out? And I am a free trader, not a “free trader.” Thanks to Don Boudreaux for the link.