Summarize this content to 2000 words in 6 paragraphs Former Vice President Mike Pence came out in support of the “hawkish” tariffs President-elect Trump has vowed to hit China with, though warned in a Tuesday night address that the U.S. needs to balance its challenging relationship with Beijing. “The threats of additional tariffs on China and on other nations are not a bluff,” he said, addressing the U.S.-based China General Chamber of Commerce Tuesday night. “I believe with wise choices that look to the future, America’s relationship with China can ultimately improve – not in spite of President Trump’s tough approach to China, but because of it. “China is our rival and our economic adversary – but China must not become our enemy,” he added. TRUMP’S PROPOSED TARIFFS ON MEXICO, CANADA, CHINA WILL INCREASE INFLATION, GOLDMAN SACHS WARNSPence’s comments came just one week after Trump said one of his first moves as president will be to slap a 25% tariff on all goods coming from Mexico and Canada until they crack down on border control – a move President Biden warned could upend the 2020 U.S.-Mexico-Canada Agreement that promotes duty-free trade between the three North American countries. In addition, he said China can expect “an additional 10% tariff, above any additional tariffs” until it too cracks down on illegal fentanyl smuggling.Tariffs are taxes placed on goods crossing the U.S. border and are used as a tool to dissuade certain imports as U.S. companies pay the price for higher tariffs – a fee that gets passed along to the American consumer.According to the Tax Foundation, the Trump administration imposed some “$80 billion worth of new taxes on Americans” in 2018 and 2019 when he slapped tariffs on $380 billion worth of products.The Biden administration largely kept these tariffs in place and then enforced additional tax increases on $18 billion worth of Chinese goods. TRUMP TARIFFS WILL BRING MEXICO TO THE TABLE, TEXAS DEMOCRAT SAYSThe combined trade war policies currently in place reportedly account for $79 billion in active tariffs, which “amounts to an average annual tax increase on U.S. households of $625,” found the organization.But in an attempt to ease concerns over additional tax hikes, Pence addressed American and Chinese company owners in attendance at the gala Tuesday night, saying it is a necessary step to bring China back to the negotiating table to reverse trade abuse practices, intellectual property theft, and the Chinese government’s increasingly adversarial posture. “I’m sure that some of you are concerned that tariffs and other restrictions on China will hurt the economy, ours and China’s, or potentially even worse, lead to a trade war that damages both our nations. I understand those concerns,” Pence said.”I fervently hope his proposed tariffs will bring China back to the negotiating table as it did during our administration. I know this will be difficult and create challenges in the short-term, but it will be well worth it in the long-term,” he added. “We want better for America and China – and I believe a firm, but fair approach is the best way to get there.” Pence said that after four years of serving with Trump, he “know[s] his mind” and remains confident the president-elect can balance respectful diplomacy with hard economic policies. “The goal of tariffs is not to isolate or restrain China, but the president-elect’s goal in tariffs is to promote better relations through actions and reform to forge a better future,” he said.
