This is basically a rant I've wanted to do for a while.
I've never liked Trump's drive to enact protectionism. (Yes I'm nominally a Republican. No I didn't vote for him.) I'll tell you why.
Tariffs hurt Americans in any industry not directly supported by them. For example, a steel tariff requires money on import which, sure, is paid upfront by the importing company, but they'll just turn around and charge more from the Americans buying it. As a result, everything that uses steel (buildings, bridges, cars, appliances...) is more expensive where the tariff is enacted. The only real beneficiaries are the companies and workers in the US Steel industry who have less competition and prices driven up. But then tariffs often inspire retaliation from affected countries too.
Now I get that theory can't always be reality. We're never going to have completely free trade. Maybe we shouldn't anyway. I think I'd actually be in favor of a trade war with China right now. (Let's take down the CCP!) But some tariffs need to go. Specifically, of course, I'm talking about whiskey.
Last year (remember 2019? because it feels like a decade ago) the administration set a new 25% tariff on Scotch whisky, targeting single malts, also hitting French wine and cheese, British wool and more. According to the Forbes article (the first link) above, these products were not targeted by tariffs previously so this is quite a change. Apparently it's all related to the EU and squabbles over Boeing and Airbus. What? Why?
Here's what it means for us. Bottles of single malt Scotch (a favorite of mine obviously) will generally be about 25% more expensive. A bottle previously $40 will now likely be $50. A $60 bottle about $75. In a world where whiskey prices were already on the rise due to increased popularity, and where Scotch was already more expensive than Bourbon due to its nature as an import, this is pretty distressing. Over time as long as the tariffs remain, fewer bottles will be imported as well. This hurts Scotch whiskey fans like me in the US and hurts the producers over in Scotland too. The US is their biggest market. I think it's especially stupid because it's not even about propping up a competing US industry. The Bourbon industry is doing exceptionally well itself right now. This is a fight over airplane manufacturing and an attempt to punish the EU across the board.
Sigh.
I guess it's a good thing I'm liking Bourbon more. It was always a more affordable 'everyday' drink anyway because its readily available and reasonably affordable. Still, I'm frustrated because I will continue to buy some Scotch. It'll just cost me.
/rant
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