The problems in Tesla and the protests against Trump's prices suggest that consumer boycotts are starting to bite

When the United States starts a trade war with your country, how do you retaliate? For individuals, an option is to carry out a personal trade war and boycott the products of the United States.

President Donald Trump said that no nation would be exempt from his prices, and this includes both Australia and New Zealand. Its prices on all steel and aluminum imports, in particular, could harm the sector in Australia, while exports of New Zealand meat and wine to the United States could also feel the effect.

So far, political leaders have responded differently. Canada, Mexico and the European Union have imposed reciprocal prices in the United States, while Australia said it would not run out.

But whether governments choose to repel or not, citizens of these countries and other countries make their own stands. This includes artists such as renowned pianist Andrs Schiff, who has canceled his next American tour.

More specifically, the collective indignation towards the American president led to a growing world boycott of Elon Musks Tesla because of his role in the Trump administration. Sales of new Tesla vehicles fell 72% in Australia and 76% in Germany. The share price has dropped by more than 50% since December 2024, with calls to Musk to resign as managing director.

Some governments even encourage consumer boycotts. The Canadian government, for example, urged citizens to fight against unjustified American prices by buying Canadian products and holidays in Canada.

Canadians clearly adopt these advice. Road trips to the United States fell by more than 20% in the last month and American alcohol brands were withdrawn from certain Canadian stores.

This increase in calls to boycott American brands and companies is not surprising in the Trump 2.0 era, where the boundaries between the government and the American companies are increasingly vague.

Political change by proxy

When people want to protest against a government policy, but have no political lever effects because they are not citizens of this country, boycotting societies or brands gives them a voice. These actions are sometimes called substitution or proxy boycotts.

This form of political consumerism, where individuals align their consumption choices with their values, is now one of the most common forms of political participation in Western liberal democracies.

When France opposed the war in Iraq in 2003, the American supporters of the war targeted boycotts on French imports. Consumers in the United States, in the United Kingdom and elsewhere have boycotted Russian goods on the invasion of Ukraine and have targeted Israel for its military action and its policies in Gaza and in the West Bank.

More famous, the protests against the apartheid regime in South Africa from the 1950s to the 1990s helped to isolate and finally change his government.

Current boycotts are not only protesting on Trumps Trade War, of course. They also concern the role of non -elected leaders in the business world, such as Musk and the leaders of large technological and social media companies, as well as their perceived interest and influence.

Trump responded with anger to consumer boycotts, calling actions against illegal Tesla, which they are not. Indeed, political leaders like Trump often maintain that consumer action, rather than government regulations, should be invoked to ensure that companies comply with social expectations.

The Ukrainians demonstrate in front of the lukoil headquarters in Belgium on European imports of Russian fossil fuels, 2022. Getty Images How to Write a Personal Trade War

Consumer boycotts create a change under certain conditions generally in the event of a contained problem that targeted society has the power to solve.

For example, consumer boycotts against Nestl in the 1970s on the false and dangerous marketing of powdered milk for infants led to changes in business marketing approaches. The boycotts of Nike products on workers' sweatshirt conditions had a direct impact on the results of the company and led to improvements.

Things may still have to improve at Nestl and Nike, but these boycotts show that consumer pressure can catalyze the business action. However, it is much more difficult but not impossible for the boycott of the campaigns to succeed when the target is a government.

Consumers boycotting American products can amplify the impact of their protest by also putting pressure on retailers. For example, if enough consumers stop buying a bottle of soft drinks in the United States, large supermarkets like Woolworths and Food Sutuffs will stop buying thousands of bottles.

There are also other ways to vote with your wallet. People can get involved in the political investor using their power as actionary, banking customer or member of the pension to express their political opinions.

After the invasion of Russia in Ukraine, for example, investors sought to depart from Russian companies, and retirement funds were pressed by their members to do the same.

As consumers and investors, individuals can carry out a personal trade war, sending a clear message. Trump may not be willing to listen to the leaders of the Allied nations, but if the pressure of consumers and investors is supported and spreads on a global scale, he can still hear the voice of American companies.

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