r/bayarea 1d ago

Politics & Local Crime California to Negotiate Trade With Other Countries to Bypass Trump Tariffs

https://www.newsweek.com/california-newsom-trade-trump-tariffs-2055414
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u/MD_Yoro 1d ago

How is this possible as a state of USA.

I thought legally, no state can enter trade negotiations with any foreign country. Only the federal government has that authority.

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u/Xezshibole 1d ago edited 1d ago

There are constitutional methods. They're known as Memorandum of Understanding. MoUs.

State regulations, licenses, university admissions, can all be changed to coincidentally accept more of the other country.

The state for example could direct its famed UC to accept more foreign students of a certain country. Wouldn't be "fair" to an aspiring CA student, certainly, but between that and getting slapped with retaliatory tariffs, making his/her financial situation and entire life harder, that's a pretty good deal.

State could change its license standards, or more likely just outright recognize another country's standards as equivalent to its own.

Say, recognizing that Danish engineering license is equivalent and thereby valid in California. Allows Danish engineering firms the opportunity to bid for work in California without as pressing a need to acquire Californian licenses.

Recognizing French businesses as "Californian" in contract bids, providing preferential treatment to their businesses over out of state options say from, Florida.

Considering the state has a lot of projects with substantial funding behind them, this may actually be enough leverage to redirect this retaliatory tariff elsewhere and away from CA.

These are all state regulations, state contract bidding, state licensing, etc. All state decisionmaking that can be changed to coincidentally provide business opportunities.

This is of course entirely voluntary and coincidental. MoUs do not have a legal framework to enforce the terms on the other. Both parties coincidentally and voluntarily choose to change their standards that just so happen to fit the other's, choose to mark certain licenses as equivalent to their own, choose to target other areas of the US instead of CA for retaliatory tariffs.

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u/runsongas 1d ago

and then federal money gets cut from CA, what's the plan then? secede and lose the 2nd American Civil War?

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u/MD_Yoro 1d ago

California is a net contributor to the federal tax revenue.

We put out more money than we receive.

We can 100% just run on state and local taxes assuming we can stop paying federal taxes.

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u/runsongas 1d ago

which would be in a secession situation, but good luck with the state coming out of that unscathed

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u/MD_Yoro 1d ago

Wouldn’t it be secession to be making deals with foreign countries as a state too?

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u/PvesCjhgjNjWsO4vwOOS 1d ago

Secession is secession. Making deals with foreign nations (or imposing tariffs on other states, as some have mentioned here) without the consent of Congress is a violation of Article I, Section 10 of the US Constitution.

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u/runsongas 1d ago

probably just some Arrested Development style light treason, better check with Barry Zuckerkorn first