Lutnick: Why the Trump administration is going to Davos

Every year in January, leaders gather in Davos, Switzerland, for the World Economic Forum to discuss the global economy. This year, some people have asked a great question: Why is the Trump administration going to Davos at all? Why show up and participate when we’ve been so clear that the old globalist line of thinking has been a disaster for America?

The answer is simple: we’re not going to Davos to uphold the status quo. We’re going to confront it head-on.

For far too long, the fate of the global economy has been decided by an international establishment who took America’s economic power and gave it to the rest of the world. Some of our past leaders believed the lies that offshoring was necessary, borders were not, and our national interest needed to submit to global lower cost of labour for the common good. That approach failed the US, crushed American workers and ripped apart most of the rest of the world as well. It destroyed industries, weakened supply chains and left working people in most western countries behind.

Under President Donald Trump’s leadership, we are going in a new direction. This administration is putting America first. We’re aggressively rebuilding domestic manufacturing, unleashing American energy, demanding fair trade with our partners, and restoring the idea that our economic policy should serve American citizens, not the other way around.

One year in and the results have been historic. Our exports are up, our imports down, our trade deficit is down by 35 per cent and our budget deficit dramatically lower. Our GDP growth is driven by record investment in the US economy. Our strong 4.3 per cent GDP numbers didn’t appear by coincidence. They are the direct result of America First policies that prioritise US production, resilience and workers.

Contrary to the warnings of establishment politicians, these policies haven’t hurt the world, they’ve helped it. Even as the US has used tariffs strategically to defend our workers, global markets have grown stronger. Stock markets in Japan, the UK, Europe and South Korea are all up, way up. This is because the message is clear: when America shines brightly, the world shines. Global investors understand that capitalism and their success is protected when America is strong, and the world respects our military. When we win, the world wins.

We are here at Davos to make one thing crystal clear: With President Trump, capitalism has a new sheriff in town. For decades, countries were told there was only one acceptable model. They were forced to depend on global supply chains and foolishly trust that global institutions would have their backs. That model put America dead last, and left countless others weaker as well.

The Trump administration is unapologetically taking on that failed set-up. We believe nations have both the right and the responsibility to put their people at the centre of economic decision-making. We believe strong domestic industries are an asset, not a flaw. We are in Davos to herald a better way — a way that America is successfully demonstrating. By rejecting a one-size-fits-all globalism and embracing national strength, we’ve shown that prosperity starts at home. And there is no reason other countries cannot do the same.

The US will no longer accept deals that betray American workers or undermine our industrial base. If foreign countries want access to our market, that’s going to come with expectations of fairness, reciprocity and respect for national sovereignty. We are going to negotiate confidently and invest boldly in our own future.

But it’s important to note that America First does not mean America alone. We believe the global economy is at its strongest when nations are strong individually. Countries that invest in their own people make better trading partners, while those that rely on globalist fantasies and shirk responsibility create instability.

Over the next few days, we will make clear that this moment represents an extraordinary opportunity for the global economy. One path clings desperately to a failed status quo that protects institutions and out-of-touch principles instead of people. The other embraces an approach that respects sovereignty, rewards productivity and restores trust between governments and citizens.

America, under President Trump, has boldly chosen the correct path. By putting our people back at the centre of our economy, we’re rebuilding the foundations of lasting prosperity. We aren’t going to Davos to blend in. We’re not asking permission or seeking approval. We are here to declare that the era of America Last has come to an end.

By: Sec. of Commerce Howard Lutnik