OPINION:
The Supreme Court’s pending decision on the Trump administration’s use of the International Emergency Economic Powers Act for tariffs has reignited the nationwide tariff debate, but a crucial perspective remains absent from public discourse: Tariffs are strategic tools that can be used to bolster U.S. national security.
That’s not to say that national security is inherently enhanced by more restrictive tariffs. The goal isn’t to eliminate beneficial trade but to ensure that economic interdependence does not compromise national security through economic strength.
An unsung example of such success: the administration’s use of tariff exemptions for the U.S. commercial aviation industry. The nuanced approach recognized the sector’s importance to U.S. economic power and national security and thus strategically avoided commercial aviation tariffs to protect our global edge.
As a result of America’s continuous innovation in that industry (and diligent efforts by policymakers to ensure a fair global playing field), aviation has become one of the nation’s most significant manufacturing exporters. Last year alone, U.S. companies sent more than $135 billion in American-made equipment to global markets.
In fact, civil aviation exports have grown by more than 20 times since 1980, even as other U.S. manufacturing has moved overseas. The commercial aviation sector brings incredible investment to places that have been left behind by other industries.
Even accounting for imported components, the industry maintains a nearly $75 billion annual trade surplus.
The unparalleled success of the commercial aircraft sector proves that American workers, given proper policy environments and a level playing field, will continue to develop world-leading industries and their communities will thrive. The result is a safer, stronger and more secure country.
As the White House moves forward with critical national security investigations and bilateral trade negotiations, the administration should continue its strategic approach: applying tariffs where security vulnerabilities exist while creating carve-outs where American dominance must flourish.
TOMAS PHILIPSON
Former acting chairman and member
White House Council of Economic Advisers
Chicago, Illinois
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