When “tariffs work,” they work at a cost

One story that drew attention last week was the sharp divergence between US aluminum prices and prices elsewhere in the world. The US premium passed $1 per pound for the first time ever, reflecting the higher costs US aluminum users now face relative to their foreign counterparts.   Some commentators characterized the development as a sign that tariffs are working, pointing to announcements that the US may see its first new aluminum smelting plant since 1980.  In fact, what is playing […]