Why Does Trump Want Tariffs?

President Donald Trump sees tariffs as a means to reduce trade deficits, encourage domestic manufacturing and address national security concerns. By imposing tariffs, Trump aims to make foreign goods more expensive, thereby promoting the purchase of American-made products. This approach is intended to decrease reliance on imports, and generate revenue for the government. But who really pays for tariffs? Critics argue that such measures can lead to higher consumer prices and potential trade disputes.​

Tariffs are taxes on imported goods that make foreign products more expensive than domestic ones. Although importers pay the tariff, they usually raise prices for consumers to cover the cost. And this can influence buying decisions by encouraging consumers to choose locally made products.

Historically, tariffs were a key source of federal revenue and supported U.S. industry, especially in the 19th century. But since World War II, the U.S. has moved toward lower tariffs and more global trade. While tariffs can help protect certain industries, they may also raise consumer costs and trigger trade disputes. Their impact depends on how they’re applied and how other countries react.

So, why does Trump want tariffs? The president’s push for tariffs stems from a blend of economic nationalism, skepticism of global trade deals and a desire to reorient U.S. trade policy toward self-sufficiency. His approach reflects a belief that tariffs can be used strategically. He wants to defend U.S. industries and reshape international relationships to reduce economic dependencies. Several distinct motivations underpin his tariff strategy. Here are four main reasons why Trump wants tariffs.

Trump has consistently pointed to the U.S. trade deficit—especially with China—as a sign of economic imbalance. In his view, large trade deficits reflect lost American jobs and weakened domestic production. By raising the cost of imported goods, tariffs are designed to reduce demand for foreign products. In theory, this encourages consumers and businesses to buy American, thereby shrinking the deficit over time.

A core promise of Trump’s economic agenda has been to bring manufacturing jobs back to the U.S. Tariffs target industries such as steel, aluminum and machinery, where foreign competitors often undercut domestic producers. By making imports more expensive, the goal is to give U.S.-based manufacturers a price advantage. As a result, he hopes to incentivize companies to relocate production to American soil.

Trump has argued that some countries engage in unfair trade tactics—such as subsidies, currency manipulation and intellectual property theft—that distort global markets. Tariffs serve as a retaliatory measure meant to pressure these countries into negotiating fairer trade terms. His administration used this approach extensively in trade disputes with China, Mexico and the European Union.

Trump has employed tariffs as leverage to address immigration and drug trafficking concerns, particularly with Mexico. In 2025, he imposed 25% tariffs on Mexican imports until Mexico took stronger actions against illegal immigration and fentanyl. This strategy aims to pressure neighboring countries by tying economic consequences to their border enforcement efforts.