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‘War Is Peace’: White House’s Navarro Mocked Over Claim Tariffs Are ‘Tax Cuts’

Peter Navarro, Senior Counselor to the President for Trade and Manufacturing, says the White House likes “where we’re at” with tariffs—which he insists are “tax cuts,” despite broad disagreement from economists. Navarro also says President Trump’s tariffs have brought in $100 billion in six months, but he also insists that that money is paid by foreign countries. Ultimately, tariffs are generally paid—at least in part—by consumers, as higher prices for imported goods or for domestic products that rely on imported components.
Speaking to Fox News on Thursday (videos below), Navarro said, “when we put tariffs on the foreign countries, particularly the ones that depend on us the most, they have to eat the tariffs.”
“So tariffs, they’re not tax hikes, they’re tax cuts,” Navarro insisted.
“We’ve had $100 billion so far we raised in six months. We’re gonna have trillions over the ten years, and that’s going to pay for the big, beautiful bill. Tax cuts and debt reduction by the tune of about $2 trillion.”
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“We like where we’re at,” he claimed.
Navarro also insisted that “the reason why tariffs don’t cause negative impacts like inflation is because these countries, they depend so heavily on us. Europe, China, go around the world. They just live, they feast off us with unfair trade practices.”
“When we say, ‘No, you can’t come in unless you pay this tariff,’ they got to eat the tariff,” he again insisted, neglecting to state that the importer, and, ultimately, the consumer, pays most or all of the cost of the tariffs.
FactCheck.org, analyzing some of Navarro’s claims on tariffs back in April, reported that “tariffs, also known as customs duties, are a tax increase on the U.S. importers who pay the tariffs – not foreign countries. And because those importers often pass at least some of those costs on to U.S. consumers through price hikes, tariffs are considered to be regressive taxes that affect lower-income households more than others as a percentage of income.”
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Responding to Navarro’s claim that tariffs are tax cuts, journalist Aaron Rupar, founder of Public Notice, wrote: “War is peace.”
Professor of Law Joseph Mastrosimone wrote: “Good lord this man is insanely stupid. And he is a senior White House Counselor. Right on brand.”
Joe Walsh, the former GOP congressman turned political commentator and a Democrat, called Navarro’s claim: “Utter b——-.”
Watch the videos below or at this link.
Navarro: Tariffs are not tax hikes, they are tax cuts. pic.twitter.com/EWMlN4vi5D
— Acyn (@Acyn) July 17, 2025
Navarro: The reason why tariffs do not cause negative impacts like inflation is because these countries depend so heavily on us. When we say you cannot come in unless you pay a tariff, they have to eat the tariff pic.twitter.com/2r8dZgTkqy
— Acyn (@Acyn) July 17, 2025
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Image via Reuters
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