Carmakers are the rare example of tariffs as the least bad option

In the face of protectionism, the US auto industry's resilience suggests tariffs might not be as detrimental as initially thought, especially given the sector's robust profitability. While protectionist measures generally come with hidden costs, the strong financial performance of major US automakers underscores why some stakeholders continue to advocate for such policies. This dynamic highlights the complex interplay between economic protection and industry health, making it a critical area of focus for policymakers.