Historically, Republicans have aligned with big corporations, raising taxes on consumers and increasing military budgets. However, such actions by an ordinary Republican would likely make them unpopular. This approach has lost its appeal in recent years, especially since Obama’s victory.
President Trump, however, took a different path. He significantly raised consumer taxes and boosted military spending, all while maintaining an image that masked these moves. The ongoing trade conflict between the U.S. and China exemplifies this strategy. The "chicken race" of escalating tariffs led to a 90-day pause for reciprocal tariffs with other nations, though blanket tariffs remain: 10% on general imports, 25% on automobiles, and tariffs on steel, aluminum, and imports from Mexico and Canada.
Every trade war has its breaking point, and this one partially reached it today. While reciprocal tariffs have been lifted for some, the outcome remains uncertain. The U.S.-China standoff persists, with high tariffs discouraging imports of Chinese goods.
Uncertainty, it seems, has its allure—that’s how Trump secured his election.