Here Come the Trade Wars

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NAFTA is often used as a scapegoat. But without it, Mexico still would benefit from much lower tariffs on exports to the United States than vice versa. And we’d still have the advances we’ve seen over the past 15 years in international supply chain management and logistics. The fact is, companies have become more comfortable taking on the risks associated with sourcing products and inputs from overseas. I doubt a 2 percent average tariff would change that much. NAFTA gives the United States market access that U.S. exporters have enjoyed and continue to enjoy. U.S. exports to Mexico have increased about 2.5 times since NAFTA entered into force. Those exports support a lot of good-paying jobs here in the United States. I wonder what the candidates would have to say about the potential loss of those jobs if the United States opted out of NAFTA.