Trump Defends Tariffs, Says Import Duties Are Making US Wealthier

US President Donald Trump has strongly defended his tariff policy, claiming import duties have helped make the United States wealthier while encouraging foreign companies to shift manufacturing operations to the country.

Speaking at a Republican rally in Myrtle Beach, South Carolina, Trump called tariffs one of his favourite policy tools and said they were generating government revenue and creating jobs for American workers.

Trump argued that tariffs give foreign manufacturers a choice between paying higher duties on goods exported to the US and setting up production facilities within the country.

Referring to foreign carmakers, the US President said companies could avoid a 25 per cent tariff by building vehicles in the United States. He claimed the policy had contributed to record manufacturing and automobile investments in South Carolina and other parts of the country.

Trump said the US had gone decades without building car factories at the current pace and claimed more plants were now under construction than ever before.

The US President put the total value of investments currently flowing into the US at $19.2 trillion.

The speech transcript did not provide details about the companies involved, the timeframe or a breakdown of the figure.

Trump linked the investment surge to rising construction jobs as factories expand nationwide. He claimed US manufacturing is growing rapidly, while the stock market has hit 80 record highs since his election.

Turning to the November midterm elections, Trump warned that Democratic victories could reverse his tax, trade and manufacturing policies. He further urged voters to back Republican Senate candidate Darlene Graham, saying GOP control of Congress would protect his economic agenda.

Tariffs are taxes on imports, paid by importing companies and potentially passed on to consumers.

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