Why would a huge steel production company build a plant in Texas?
First, Texas has no labor unions to speak of.
Second, America has cheap natural gas. With energy cheap, the USA has an advantage.
To take advantage of this, America needs free trade. So does Austria.
Will free traders in America pressure the federal government to impose an export tax on this Texas-made steel? No. Why not? An export tax has the same effect as an import tax. It reduces trade. It makes customers pay more taxes to Uncle Sam. So, why shouldn’t opponents of free trade call for export taxes? But they never do.
Anti-trade Americans never say this publicly: “We want a bigger federal government. Bigger government and higher sales taxes will make us richer.” Yet that is the logic of their position.
Most labor unions are anti-free trade. But so are millions of people who call themselves conservatives. I don’t know why. Tariffs are sales taxes. Why do we need more sales taxes?
How about Internet sales taxes on all purchases of digits stored on servers outside the USA? Would that be a good idea? “Tax off-shore PDFs! Save American jobs!”
If this makes no sense to you, you may be a latent free trader. Don’t worry. It’s not biological. There is no free trade gene.