Former US President and Republican presidential candidate Donald Trump stated that high tariffs would encourage companies to manufacture in the US. In an interview with Bloomberg News Editor-in-Chief John Micklethwait at the Chicago Economics Club, Trump said they are in favor of growth and bringing companies back to the US. Trump mentioned they would further reduce taxes for companies manufacturing in the US and protect them with strong tariffs. He expressed, “According to me, the most beautiful word in the dictionary is tariff, which is also my favorite word. It needs public relations.”

“THE HIGHER THE TARIFF, THE MORE LIKELY A COMPANY IS TO ESTABLISH A FACTORY IN THE US”

Advocating for the positive impact of tariffs, Trump said, “The higher the tariff, the more likely a company is to come to the US and establish a factory in the US. This way, they won’t have to pay tariffs.” Highlighting the importance of the US dollar’s reserve currency status, Trump mentioned that countries abandoning the use of the US dollar as a reserve currency would face tariffs. When asked if he would dismiss Federal Reserve Chair Jerome Powell, Trump mocked the Fed chair’s role. Trump stated, “I think it’s the best job in government. You come to the office once a month and say, ‘Let’s toss a coin.’ and everyone talks about you like you’re God.” Trump reiterated his belief that the US president should have a say in the Fed’s decisions, stating, “If you’re a really good and reasonable president, you should be able to at least talk to him.”