Trump: 'Economic Policies won't Boost Debt'

Presidential candidate Donald Trump defended on Tuesday his trade policies and other fiscal proposals, rejecting claims that they could increase the federal debt, damage relations with allies or hurt the U.S. economy.

“We’re focused on growth, we’re bringing companies back to our country,” the former president said during an interview at the Economic Club of Chicago.

Bloomberg News editor-in-chief John Micklethwait cited financial analysts’ projections that Trump’s plans would add $7.5 trillion to the federal debt through 2035, more than double the policies favored by his Democratic rival in the Nov. 5 election, Vice President Kamala Harris.

Trump has maintained that his trade policies, which call for higher tariffs on goods not only from rivals such as China but also from allies such as the European Union, will revitalize U.S. manufacturing and generate enough revenue to ease concerns about a ballooning deficit.

Some trade experts have argued that the tariffs could hurt the U.S. economy, put jobs at risk and raise consumer prices.

“All you have to do is build your factories in the United States, and you won’t have any tariffs,” Trump said. “I agree that it will have a huge impact, a positive impact, not a negative impact.”

Trump has repeatedly said he would impose high tariffs on cars assembled in and imported from Mexico — up to 200%, he said — and has suggested he would impose tariffs on cars imported from countries like Germany to force foreign companies to make their products in the United States.

When asked that his efforts could upset allies the United States needs to compete against China, Trump responded by saying, “Our allies have taken advantage of our position more than our enemies.”