Nearly a century ago, the United States enacted the Smoot-Hawley Tariff Act of 1930, aiming to protect its domestic industries. Instead, it deepened the Great Depression and became one of the most infamous laws in American history. Today, the US seems poised to repeat this mistake by igniting new tariff wars.
Despite warnings from economists and the international community, the US government is considering imposing hefty tariffs on imports. In our interconnected global economy, such actions could have far-reaching consequences, not just for the US but for nations around the world, especially those in the Global South.
The lessons from the past are clear: protectionist policies can lead to economic downturns, strained international relations, and hardship for ordinary people. As history shows, tariff wars often escalate, leading to retaliation and a collapse in global trade.
Young people today are more connected than ever before, relying on a global market for technology, education, and opportunities. A tariff war threatens to disrupt this connectivity, impacting jobs, prices, and future prospects.
It’s crucial for policymakers to remember the repercussions of the Smoot-Hawley Act and to seek collaborative solutions that promote fair trade without resorting to damaging tariffs. The world is watching, and the stakes are high.
