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Change is the only constant – Trade war and the new Global Economy

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In the last days, the subject of trade war has become part of our daily conversation. Following the decision of President Donald Trump to impose taxes on import of many products into the United States, a wave of reaction and action have been taken by the rest of the wolrd. In many new papers, the concept of imposing import taxes is presented as a negative move, contradicting the idea of global trade and progress.

Amusingly enough, I believe that the reality is completely the opposite. Do not understand me wrong, I oppose many of the actions and behavior of Donald Trump. I even took the time to write a few posts about it. From the other side, this specific move is actually positive and constructive for the US. As it look, the reaction of the world nations to the US move, can bring the world economy to obtain an healthier balance.

Let me explain myself. It in not a secret that the world has change drastically in the last 20 years. We became a global platform. The borders of many countries have been opened for legal immigration and a world trade system have been established, in which the import and export of goods became wild and dangerous.

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To understand it better, we can take Europe as an example. Following the creation of the European Union and the rise of the Chinese manufacture Empire, a few dramatic changes happen in Europe. Many countries, as Italy, Portugal, France and even Germany Has lost part or all of their manufacturing capacity. Affecting many domains and production sector.  The main cause for such a trend is based on the capacity of local retailer to import  cheaper alternative. The number of factories that closed or relocate themselves to another country is massive. Leaving big part of the medium to low class population without a job.

It is true that some other jobs has been created in the logistics and transportation sector, which do not imply that it covers that amount of unemployment created neither that the position were suitable for the new unemployed group of people. When Donald Trump explains that those recent decision on imposing import tax will create more local job, he is probably right. The Professionalism of Mr Trump in many political fields can be questionable, but the man understands business.

With the fast rise of the Global world, it is important to understand its consequences and its causes. The world economy has proved itself to be unstable in the last decades. The lack of responsibility of banks, big cooperations and temporal governors for the life and income of the masses is not a rumor any longer but a fact. For once, I believe the idea of imposing import tax is extremely important and even necessary for the sake of protecting the local production, the local employment and the well being of the masses. The reaction of the other countries is a symptom of an old system which is blind the changes that happened in the world and show an incapability of those institution to take real responsibility on the fate of their citizens.

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Change is constant. The outcome of those changes are based on the decision made today. It is the job of our governments to protect and promote the well being of their country’s, regardless of the need to participate in the race for Globalization. For once, the idea that “America should be first” from the perspective of the American government policy should not only be respected. It should be a lesson and a reminder for all the world politicians.

Can you feel the unemployment rising in your city? Does local production became hard to find?

Please share with me your thoughts. Awareness and open conversation are the key for the creation of a better future.

2 thoughts on “Change is the only constant – Trade war and the new Global Economy

  1. An interesting take on the current world situation. While President Trump may be familiar with the ins and outs of running a mega corporation The United States cannot really be run on a “you’re fired” mentality.

    Trump is seems does not concern himself with the realities of the “real” world and often uses “fibbing” to fictionalize many of his motives and actions.

    Isolationism is not the way for the country to go and retaliatory actions from close friends and allies will cost the country more than it will gain by imposing tariffs on the world.

    Trump, Putin and Kim Jong Un are self proclaimed autocrats whose main global goal is self aggrandizement.

    Enlightened despots usually lead their countries to ruin.

    1. Thank you for taking the time to comment on my post. I truly appreciate it.

      Indeed, managing a country is very different from running a big business. It’s should not be seen or managed in the same way. Doing so can and will have dangerous concequences in all the rest of the aspects of the country activities.

      While Autocrats should be fought and replaced for the sake of their nations and the creation of a better world, not every move that is done by those people should be rejected without a real evaluation.

      Isolation is not the solution for any nation in a period of a growing global community. Globalisation is a natural course of our evolution, that can potentially bring to the creation of a better world for all its inhabitants if done right.

      From the other side, extremism is never the key and boundaries should be established to promise the capacity of each region to maintain its autonomy.

      The “real world” is changing fast. The frequent economical crisis and the world instability are signs that the at we are running our countries does not work. A change is required. Not one in which we destroy everything for the sake of rebuilding everything from scratch. But one in which we keep the positive aspects of our current society and move to establish a constructive global platform.

      In the big picture, trump us making a lot of constructive moves and his philosophy is violent. From the other side, the need to economically protect any nation in the process of globalisation is important.

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