[Congressional Record Volume 171, Number 55 (Wednesday, March 26, 2025)]
[House]
[Page H1280]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
UNDERSTANDING TARIFFS
(Ms. Johnson of Texas was recognized to address the House for 5
minutes.)
Ms. JOHNSON of Texas. Mr. Speaker, I recognize that most Americans
are not economists, trade experts, or well versed in the intricacies of
tax policy. If you will, I want to take this opportunity to sort of
``Schoolhouse Rock'' tariffs. Let's talk about what they are, how they
work, and how they impact Americans and their families.
Tariffs are taxes on imported goods, plain and simple. When the
government slaps a tariff on a product, it makes the product more
expensive to buy from other countries.
Take your sneakers. Most sneakers are made with rubber, synthetic
fabrics, and leather, stuff that gets imported from China and other
places. Let's say the government puts a tariff on those materials. That
is an extra included tax on materials that make up the sneakers.
Now these products become more expensive to make, and the way that
companies make up for that is passing that cost on to the consumer. A
pair of sneakers that cost $30 might now cost $50 after tariffs are
imposed. You now have to work more to get more money and then pay more
for the same exact pair of sneakers.
The idea of tariffs is to protect American businesses and jobs. The
reality, though, is, as you can see with the sneaker example, it often
backfires. Other countries hit back with their own tariffs, hurting
American manufacturers and workers.
Now, are tariffs always bad? The answer is no. When used correctly,
tariffs can be a powerful tool. They can protect American jobs, boost
key industries, and stop countries like China from flooding our market
with cheap, low-quality goods.
When a country imposes tariffs strategically on industries we need to
rebuild, like steel and manufacturing and technology, we can give
American businesses the breathing room to compete and grow. When
foreign countries play dirty with unfair trade practices, tariffs can
be a productive way to respond to that.
Here is the key: Tariffs have to be smart. When used correctly,
tariffs can defend American industry. When used incorrectly, though,
they are just another tax on working people. Right now, the Trump
administration is using tariffs in the wrong way, and their actions are
causing costs to skyrocket for families in Texas and all American
families.
To be clear, Trump's tariffs on Canada and Mexico are nothing but a
tax on American businesses and consumers. They are two of our biggest
trading partners. For example, Mexico is Texas' largest trading
partner, accounting for one-third of our State's exports. In 2023,
trade between Texas and Mexico totaled more than $272 billion. We trade
so many products with our neighbors to the south that families in Texas
use every day, like tomatoes, greens, avocados, car parts, electronics,
plastics, and the list goes on. With Canada, Texas buys steel and
lumber to build homes to ensure families have a roof over their heads.
All of these products will have higher costs, and the only ones who
will pay more are the families and businesses that buy them. Instead of
strengthening those relationships with our neighbors, Trump's tariffs
are making everything more expensive for us.
What do we get in return? Absolutely nothing. American companies
didn't suddenly stop buying from Canada or Mexico. They just have to
pay more to do it. Meanwhile, those countries have hit back with their
own tariffs, hurting Americans across the board. Instead of using
tariffs for smart trade policy, Trump is using them as a political
stunt that punishes the very people it claims to help.
{time} 1030
Madam Speaker, these tariffs are self-inflicted wounds on the
American economy. We see this every day in the stock market with the
market value falling by trillions of dollars over the past few weeks.
Those in their twenties, thirties, and forties have lost tons of money
in their 401(k).
I should also mention something else because I know there is
something more sinister going on. Right now, we have Elon Musk in the
White House. He has been our president since January 20, calling all
the shots and using President Trump as his puppet.
These tariffs will benefit his businesses because they are being
imposed on Elon's competition. This is a clear conflict of interest. It
is wrong, and it is a display of the grift and the greed that the Trump
administration has ushered into this White House.
None of this is about helping American families. None of this is
about lowering costs. This is about Trump and Musk settling scores,
causing chaos, and making sure they line their pockets on the backs of
Americans and the middle class.
Madam Speaker, we need to end these reckless tariffs and get back to
lowering costs for the people we serve.
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