How Service Tariffs Are Rewiring Global Trade

While everyone watches container ships and steel tariffs, a quieter shift is reshaping the global economy: the rise of digital services trade. Lucas and Luna explore how tariffs on intangible goods like software, cloud computing, and professional consulting are creating new friction in supply chains that don’t involve physical borders. Using recent data showing exports of goods and services rising to 3,752 billion dollars against imports of 4,628 billion, they dissect why the trade deficit is widening not just from widgets, but from the invisible flow of data and expertise. This episode examines the specific economic mechanics of taxing the digital handshake and what it means for companies relying on cross-border knowledge work.

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