That title is correct. We’re not talking tariff fall-out, we’re talking tariff fall-in.
The latest example? Volkswagen.
From Ben Shimkus’s article at London’s Daily Mail, via msn.com:
Volkswagen Group, the second largest automaker in the world in 2024, is preparing to join the growing list of automakers looking to rejig its US factories in response to the tariffs. The German automaler’s luxury brand, Audi — which assembles most of its lineup in its home country, Hungary, Mexico, Slovakia, Spain, and China — is planning to make some of its crossover and SUV models in America. ‘We want to localize more strongly in the USA,’ a company spokesperson told DailyMail.com. ‘To this end, we are currently examining various scenarios. We are confident that we will make a decision on this in consultation with the Volkswagen Group before the end of this year as to what this will look like in concrete terms.’
The initial response to the tariffs – before they possibly could have shown results – was very negative, both from Democrats (obviously), our media (no surprise there; our media are very negative to anything Trump does) and, based on polling, a good many voters as well.
But how do you think those voters will react/respond as more and more companies move their operations to the USA as the result of those tariffs…and more and more countries – like the UK just two days ago – cut deals with the USA that implement much fairer trade practices than we have had up to now?
As I and others pointed out when the tariffs were implemented, their benefits would not come in a day, or a week. It would take a period of time.
But now that we are seeing those benefits start to kick in? Democrats and most media will be unmoved, at least for a while…but let’s see how the voters feel.
As more trade deals are cut and as more companies decide it is in their best interests to manufacture in, rather than outside of, the USA – which seems pretty clearly to be where this is heading – watch those poll numbers rise. Not because a strategist came up with some clever catch-phrase and not because of a dishonest attack that is happily parroted by most media, but because we will be seeing real results.
In other words, more tariff fall-in.
Stay tuned.
