It has been the theme of the week: tariffs. From radio, television, internet, cafeteria gatherings, … there has been no talk of anything else. He has eclipsed it absolutely everything. This week there has been no war in Ukraine or in Gaza, only tariff wars.
Donald Trump announced on April 9 a vast list of tariffs that will affect countless countries, calculated on the basis of bilateral commercial deficits, and from all possible angles the world burst is seen.
It has generated such uncertainty that the markets have made them crazy. And when the markets go crazy, investors already give them to get rid of everything that can smell rotten, causing stock market collapse and making billionaires a little less billionaires.
But look where, after the last advertisement for 90 days of US tariffs, the bag despises reaching a 12%rise, getting the ten largest fortunes to recover 107,000 million dollars in just a few hours. And not only that, but those generalized falls in the bags have allowed us to take advantage of the greatest bargains following the slogan that already revealed the speculator and billionaire Warrant Buffet: “Be afraid when others are greedy and be greedy when others are afraid.” This is how the great casino of the world economy works.
On the other hand, both economic and political analysts have ventured the impact chain that will cause this increase in tariffs. While the bold Trump only sees “abuse” countries that have “looted” to the United States by imposing levies and other barriers to their products, most of the voices talk about restrictions on free trade, inflation (or stagflation), high interest rates (or low) but, above all, recession or falls in economic growth
Because the main objective of International trade, de facto, is the increase in GDP (Gross Domestic Product), no matter how much that in free trade agreements such as WTO (World Trade Organization) it is stated that the objective is “to achieve a fluid, predictable and free trade and use this trade as a means to improve the standard of living of the population, create better jobs and promote sustainable development”.
The current tariff war offers a unique opportunity to rethink and reorient the rules of international trade
In the 13th WTO Ministerial Conference (March 2024). The International Trade Union Federation of Workers of Public Services argued that “rarely, or never, governments are consulted on commercial standards that restrict their ability to stimulate local economies and regulate investment so that we enjoy the quality public services we need.”
In an increasingly interconnected world, international trade plays a crucial role in the global economy but is often based on asymmetric relationships. The most powerful nations usually dictate the rules of the game, leaving developing countries in a disadvantage position. This translates into a trade that makes organic costs, health, work, violates human rights and practice tax evasion invisible
The current tariff war offers a unique opportunity to rethink and reorient the rules of international trade. Instead of following the path of the protection of short -term industries, it is essential to consider proposals that promote a more fair, solidarity, sustainable and protective of labor rights.
A proposal could be the implementation of differentiated tariffs that not only consider the economic value of products and services, but also their social and environmental impact. For example, higher tariffs could be established for products that do not meet labor and environmental standards, thus encouraging companies to adopt more responsible practices.
This is what alternative models of understanding the economy have been promoting, such as the economy of the common good (EBC) with regard to international trade. Instead of focusing solely on the maximization of economic benefits, EBC advocates a trade that respects human rights, fosters social justice and protects the environment. This implies that both public and private organizations should consider the positive or negative impact (the balance) that generate in society, not only in terms of economic profitability but also in terms of social and environmental benefit
Regarding the application of tariffs, the economy of the common good proposes that these not only be used as protectionist tools, but also designed to promote responsible commercial practices. In this way, it seeks to create an environment where trade not only increases GDP, but also contributes to the well -being of communities and the planet.
