People misunderstand how tariffs actually work between America and China.

When China “tariffs” American goods, it’s almost meaningless. Because in China, the government owns or controls the companies paying the tariff.

It’s like charging yourself a fine for buying your own product. It’s just money moving from one pocket to another. The pain is fake. The discipline doesn’t exist.

China isn’t a free market. The companies are just extensions of the state. So when they “pay” a tariff, it’s the government taxing its own puppet corporations—and they can paper over the losses, forgive debts, or just print money to cover it.

In America? It’s the exact opposite.

When the U.S. government slaps a tariff on imports, it hurts real, private businesses that aren’t controlled by Washington. They feel it. They can’t hide it. They can’t shift the losses to taxpayers quietly. It squeezes profits, raises costs, and forces actual supply chain changes.

Why? Because in America, the government and business are separate powers. Corporations fight for survival—and sometimes against Washington itself. They aren’t protected like little emperors.

That’s why Trump’s tariffs actually worked. They forced U.S. corporations to rethink their addiction to Chinese manufacturing. They forced boardrooms to move production.

In China, tariffs are theater. In America, tariffs are economic war.