Severe Warning! Wells Fargo Exposes Fatal Flaws in Trump’s Tariff Policy: Is Manufacturing Repatriation Just a Fantasy?

Wells Fargo's team of economists highlights three major flaws in Trump’s tariff policy:

1) Cost Dilemma:

- Companies face soaring raw material prices

- Forced to choose between "lowering profits" and "passing on price increases"

- Both options will stifle job growth

2) Sky-high Threshold:

- Requires $2.9 trillion in capital investment to restore peak manufacturing employment

- U.S. labor costs far exceed those of developing countries

- High capital intensity requirements deter businesses

3) Demographic Crisis:

- Birth rates continue to decline

- Tightening immigration policies exacerbate the problem

- Growth of the working-age population faces a cliff

The report’s conclusion is striking: "A large-scale return of manufacturing jobs will take at least several decades, and the costs will be prohibitively high." This analysis directly challenges Trump’s core campaign promise of "Making Manufacturing Great Again."