Donald Trump’s affinity for tariffs dates back to the late 1980s, fueled by his resentment towards Japan and its perceived exploitation of America. As he navigated the cutthroat world of New York real estate, Trump developed a deep-seated resentment towards Tokyo’s buying spree in iconic US brands and properties.
Donald Trump’s affinity for tariffs began to take shape in the late 1980s, a time when his business fortunes were dwindling. As he navigated the cutthroat world of New York real estate, he developed a deep-seated resentment towards Japan and its perceived exploitation of America.
Located in East Asia, Japan is an archipelago comprising over 6,800 islands.
The country's unique culture and history are deeply rooted in its Shinto and Buddhist traditions.
Japan is renowned for its cutting-edge technology, innovative automotive industry, and vibrant cities like Tokyo and Osaka.
With a rich culinary heritage, Japan is famous for its sushi, ramen, and tempura.
The country's stunning natural beauty, from cherry blossom-filled landscapes to snow-capped mountains, attracts millions of tourists each year.
In the 1980s, Tokyo’s buying spree in iconic US brands and properties, including Rockefeller Center, left Trump seething with jealousy. He felt that America wasn’t receiving adequate compensation for its military defense of Japan, fueling his growing animosity towards the country.
According to Barbara Res, a former executive vice-president at the Trump Organization, Trump’s worldview on trade and America’s relations with its allies was formed during this period. He began to view tariffs as a means to pressure other countries to open their markets and reduce trade deficits.
In the late 1980s, Trump took his concerns about America’s trade policies to national television. In an animated interview with Oprah Winfrey on The Oprah Show, he declared that Japan was ‘dumping’ products into America’s market while making it impossible for American businesses to operate there.
Trump’s fixation on tariffs has persisted over the years, with his 1988 book, The Art of the Deal, reflecting his transactional ideology. He continues to view tariffs as a tool to pressure other countries and create a level playing field in international trade.
Fast-forward to today, and Trump’s tariff policies have sparked controversy worldwide. While some argue that tariffs can be an effective means of promoting domestic industry and reducing trade deficits, others caution against the potential consequences, including reduced business investment and weakened international alliances.
While fears of Japan’s rise have calmed over time, concerns about China’s growing economic influence have taken center stage. Trump’s administration has sought to use tariffs as a means to pressure China into opening its markets and reducing trade deficits.
Despite his hold on the Republican party, Trump’s views on tariffs remain contentious among lawmakers, business leaders, and economists. The debate surrounding tariffs continues, with some arguing that they can be an effective tool in promoting fair trade, while others caution against their potential consequences.
