Economic analysis debunks the political claim that foreign nations pay for tariffs. In reality, there is a near-complete cost pass-through to American buyers. U.S. consumers ultimately shoulder 96% of the tariff burden through higher prices, while foreign firms absorb only a negligible 4%.

A US oil export ban seems logical during a crisis, but it's counterproductive. American refineries are primarily configured for heavier crude oil, while the US shale revolution produces lighter crude that must be exported. Not all oil is fungible, making global trade essential for domestic refining.

When commercial insurers cancelled war risk coverage for vessels in the Strait of Hormuz, the US government stepped in to provide political risk insurance. This ensures the flow of global trade and energy, demonstrating a powerful, non-obvious tool of economic statecraft.

Tariffs on foreign goods, combined with 'Buy America' provisions for a port modernization project, had the unintended effect of massively increasing costs. Even though the project used domestic steel, tariffs on foreign steel allowed U.S. suppliers to raise their prices, contributing to the project's budget ballooning from $400 million to $2.5 billion.

While many fear production shutdowns, a more significant and probable risk is a logistical shock from shipping disruptions. Even modest delays in tanker transit times could effectively remove millions of barrels per day from the market, causing a significant price spike without a single well being shut down.

While banning US oil exports would initially crash domestic prices, it would quickly cause an overflow of products like diesel in the Gulf Coast. Refineries would then be forced to cut production, ultimately creating shortages of other fuels like gasoline on the East Coast and disrupting the entire system.

Flexport's CEO highlights the huge, untapped potential of U.S. river systems for container shipping. Increased trade with Latin America could make New Orleans a premier port, but union contracts prevent the development of this cheaper, greener, and more efficient alternative to road and rail transport.

Companies offshore production because it's cheaper. Forcing manufacturing back to the US via policy results in more expensive or lower-quality goods. While it improves supply chain resilience, this should be viewed as an insurance premium—a cost, not a productive investment.

Contrary to the populist framing of his trade policy, recent analysis reveals that American consumers bear almost the entire financial burden (94%) of tariffs. This policy acts as an unnecessary 2% tax on the economy, reducing prosperity without fostering significant growth or innovation.