Measured correctly and supported by good policy, they are an adaptive tool for reindustrialization.
By Peter Navarro | Wall Street Journal | December 21, 2025
OPINION:
The tariff debate remains distorted by two opposing misconceptions: that tariffs would instantly resurrect American industry, that they would immediately crash the economy and ignite runaway inflation.
The experience of 2025 has disproved both. The economy didn’t collapse, but neither did a manufacturing renaissance appear on demand. These outcomes should surprise no one who understands how industrial capacity is built.
Tariffs aren’t a press release. They’re an instrument that reshapes bargaining leverage, investment math, and supply-chain location decisions. Their success can be measured only using the right metrics and the right timeline. Capital needs time to respond. But when supported by stable policymaking, tariffs can powerfully and positively address trade deficits.