DETROIT, MI (MPRN)-- A top economic official in the Clinton and Obama administrations says President Trump’s proposed tariffs on steel, aluminum, and products made in China may cause more harm than good for companies in Michigan.
Former U-S Treasury Secretary and White House economic advisor Larry Summers is a frequent critic of President Trump.
He says the Administration’s proposed steel tariffs could raise prices and cost jobs for manufacturers in Michigan and elsewhere.
Summers, who spoke at Macomb Community College, agrees the U.S. should be tough on China, but he argues the President’s current approach could backfire.
“If it’s all threats and something is worked out I doubt there’ll be any serious consequences. If we impose tariffs and then China responds and then we respond—you get a cycle of escalation—I think the consequences could be quite serious,” he says.
Summers says a trade war with China would mean higher prices for consumers, less real income for workers and fewer new investments by business owners.