There’s an old saying in economics… there are no solutions, just tradeoffs. Overall, tariffs are bad policy, but that doesn’t mean that there aren’t positive tradeoffs. Here’s a potential positive tradeoff

TOKYO (Reuters) -Honda is considering switching some car production from Mexico and Canada to the United States, aiming for 90% of cars sold in the country to be made locally in response to new U.S. auto tariffs, the Nikkei newspaper reported on Tuesday.

 

Japan’s second-biggest automaker by sales plans to increase U.S. vehicle production by as much as 30% over two to three years in response to U.S. President Donald Trump’s decision to put a 25% levy on imported vehicles, Nikkei said.

 

Honda declined to comment, saying the information was not announced by the company.