In the March 25 Numbers that Matter Live, Bill Wood discussed the growing U.S. trade deficit in goods — which jumped from $100 billion to over $150 billion in just one month — and its implications for the plastics industry. Recording below.
Wood questioned the effectiveness of tariffs, including on key end markets for plastics including automotive, construction, packaging and appliances.
“I don't see the economic argument for doing it this way. [But] I do strongly believe in the economic argument that something has to be done to lower the trade deficit, lower the budget deficit, lower the national debt,” Wood said.
“And all of those choices are going to be hard, and they are all going to require a period of transition, because we are so — the word addicted is overused, I don't want to use that — but we buy so much foreign stuff because it's cheap. We borrow so much money because as a government, because we can, and we spend so much money as a government because people are just used to it. We have to stop that. This is an attempt to stop that. Is it going to work? Well, we have to wait and see,” Wood said.
The conversation also covered broader economic issues including the likelihood of a recession in 2025, as well as ongoing issues with inventory management and skilled labor shortages.
The next Numbers That Matter editorial livestream is scheduled for Tuesday, April 22. Plastics News subscribers can tune in and ask questions live.