Fox News' Chris Wallace challenges the idea that China is paying for Trump's tariffs
White House economic adviser Larry Kudlow on Sunday acknowledged to Fox News' Chris Wallace during an appearance on Fox News Sunday that the recently implemented tariffs on goods imported into the U.S. from China will have ramifications for U.S. companies and consumers, alike.
Wallace, The Hill writes, repeatedly pressed Kudlow on the subject, eventually leading the director of the National Economic Council to admit that both countries could feel adverse economic effects as a result of the policy. Wallace was trying to challenge the idea that China foots the bill for the tariffs, as espoused by President Trump.
In fact, tariffs are paid for by the importer, not the exporter. The buyer will then often pass that extra fee on to the consumer by raising prices, The Associated Press reports. Of course, the importer could always cease purchasing goods from the exporter because of the increased cost. If U.S. companies decide to take that route going forward, China's economy would likely be hurt, especially in terms of GDP loss, as Kudlow pointed out to Wallace.
The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.
Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
-
The most anticipated movies of 2026The Week Recommends If the trailers are anything to go by, film buffs are in for a treat
-
The biggest viral moments of 2025In the Spotlight From the Coldplay concert kiss cam to a celebrity space mission, these are some of the craziest, and most unexpected, things to happen this year
-
Environment breakthroughs of 2025In Depth Progress was made this year on carbon dioxide tracking, food waste upcycling, sodium batteries, microplastic monitoring and green concrete
-
TikTok secures deal to remain in USSpeed Read ByteDance will form a US version of the popular video-sharing platform
-
Unemployment rate ticks up amid fall job lossesSpeed Read Data released by the Commerce Department indicates ‘one of the weakest American labor markets in years’
-
US mints final penny after 232-year runSpeed Read Production of the one-cent coin has ended
-
Warner Bros. explores sale amid Paramount bidsSpeed Read The media giant, home to HBO and DC Studios, has received interest from multiple buying parties
-
Gold tops $4K per ounce, signaling financial uneaseSpeed Read Investors are worried about President Donald Trump’s trade war
-
Electronic Arts to go private in record $55B dealspeed read The video game giant is behind ‘The Sims’ and ‘Madden NFL’
-
Rupert Murdoch's conservative son wins succession battleSpeed Read Lachlan Murdoch will get control over the media empire that includes Fox News and The Wall Street Journal following his father's death, while his siblings will receive payouts
-
New York court tosses Trump's $500M fraud fineSpeed Read A divided appeals court threw out a hefty penalty against President Trump for fraudulently inflating his wealth
