For decades, failed leadership and career politicians have allowed our manufacturing base to drift overseas. While Americans lost jobs, China seized on the globalist and America Last politicians in Washington.
President Trump corrected the course. While he began it in his first term, he is instituting a long overdue correction through America First trade policies that encourage domestic production, incentivize companies to invest in American workers, and reduce our dependence on foreign supply chains. Since implementation, 2025 marked the lowest trade deficit between the two countries since 2009. Promises made, promises kept.
But for America First trade, particularly tariffs, to fully achieve their intended purpose, policymakers must recognize reality. While many American companies are trying to do the right thing, bringing factories back home, China continues to manipulate the economy through state advantages and loopholes.
The goal of tariffs is to weaken China’s grip on global manufacturing while rebuilding America’s own industrial strength, and to support this objective, the United States government should consider a temporary “China Exit Incentive Program” that helps U.S. companies in doing the right thing: demonstrate a measurable reduction in China dependence and a commitment toward investing in the U.S. and creating new American jobs. That’s how we supercharge America First trade.
This isn’t to ignore what tariffs have done for our economy already. Trump is delivering on a promise, and the results speak for themselves. They’ve helped level the playing field against countries that have long relied on unfair trade practices. China, in particular, has spent decades building a manufacturing advantage through heavy state subsidies, artificially cheap financing, currency manipulation, and government-directed industrial policy. But while we play fair under the free market, Chinese companies operate by different rules.
Because of this, the global supply chain tilts heavily in China’s favor. Tariffs are designed to counteract that imbalance and restore competitive fairness. By raising the cost of imports from adversarial economies, they encourage investment in domestic production and regional supply chains.
Yet, China has proven itself at gaming the system. Americans play fair, while China cheats.
Chinese exporters have been caught rerouting goods through Southeast Asian countries to disguise their origin and avoid tariffs. This practice, often referred to as transshipment, allows Chinese manufacturers to continue accessing the American market while sidestepping the very trade policies we designed to hold them accountable. When combined with customs fraud, it’s no wonder they have the advantage.
At the same time, American companies attempting to relocate their supply chains away from China face a different set of hurdles. Many industries still rely on specialized components that are difficult to source domestically in the short term. While these companies invest in new American facilities and workforce development, they may still need to import intermediate goods as we rebuild the global supply chain. They shouldn't be punished for what’s outside their control, provided they can still continue to trend of leaving China or at least depending less on Chinese producers.
That is where a China Exit Incentive Program comes into play. Better yet, let’s call it the China Dominance Program.
This program would provide temporary tariff flexibility or relief for American companies that demonstrate measurable progress toward reshoring production or shifting supply chains away from China. This isn’t to weaken tariffs or abandon the pressure they place on Chinese manufacturers. Instead, they ensure American companies moving in the right direction are supported during such a difficult transition. The companies would be required to provide evidence of domestic job creation, new factory investment, or verified reductions in Chinese sourcing.
Closing loopholes and stopping cheaters must remain a priority as well. Customs authorities should aggressively investigate suspected tariff evasion and ensure that Chinese companies cannot exploit gaps in enforcement. Trade rules only work if they’re applied across-the-board.
By doing so, tariffs become a lever not just against China, but in favor of Americans. That is truly America First, and what this Trump second-term is all about.
If the United States is serious about rebuilding its industrial base, creating jobs for American citizens, then our trade policy needs to encourage our companies that are finding their way home.