Blitz Bureau
NEW DELHI: US President Donald Trump asserted that tariffs will remain a central pillar of his economic policy, a stance that could complicate trade ties with several nations as Washington presses companies to shift manufacturing to the United States.
In his year-end address to the nation on December 17, Trump repeatedly credited tariffs for spurring investment, factory construction and job growth, framing import duties as a permanent tool to reshape global trade rather than a short-term negotiating tactic. “Much of this success has been accomplished by tariffs,” Trump said, calling them his “favourite word,” and arguing that companies were returning to the US in “record numbers” because goods made domestically face no import duties.
Trump said tariffs had already helped secure a “record-breaking $18 trillion of investment” into the United States, linking the inflows directly to trade barriers that reward domestic production and penalise imports. “If they build in America, there are no tariffs,” Trump said, arguing that decades of trade practices that favoured foreign exporters at the expense of US industry were over.
The remarks sharpen expectations that scrutiny of imports will intensify, including from major trading partners such as India. Indian exports to the US include pharmaceuticals, steel, aluminium, auto components, chemicals, textiles and information technology hardware. For Indian firms, the message signals a clear choice: absorb higher trade costs or expand manufacturing and assembly operations inside the United States.
Trump positioned tariffs not only as an industrial policy tool but also as a revenue source, saying tariff collections helped finance tax cuts and other spending initiatives, including a newly announced “Warrior Dividend” payment for US military personnel.