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6 a Reasons why countries use trade protection could include: to protect domestic producers against foreign competition (low-cost producers from China) to safeguard strategic industries (the US car industry is highly important to the economy) job protection (in the US tyre manufacturing industry) to raise government revenue (from taxing the imports from China). Up to 2 marks are awarded for each clearly explained reason, up to a total of 4 marks. b Possible methods of trade protection include: Tariffs these will raise the price of tyres from China, allowing US firms to compete and raise government tax revenues. However, this means US consumers pay higher prices and US firms are protected from being more efficient/cost effective. Quotas these limit the number of tyres coming into the USA from China. Whilst this allows domestic firms to compete (perhaps), it does not necessarily give them a price advantage or make them more competitive against Chinese firms. Subsidies for US producers this is highly costly for the US government, but will allow domestic firms to produce tyres at a lower cost, thus giving them a price advantage domestically and in overseas markets. Consumers may gain, but taxpayers will lose out. Administrative barriers these make it more difficult for Chinese tyres to enter the USA due to excessive paperwork and compliance laws (such as safety checks on imported tyres). Whilst this provides protection in the short term, the US could end up being flooded with tyres from China in the long run. All forms of trade barriers can spark retaliation from China. 13 marks are awarded for an answer that shows limited understanding. 46 marle are awarded for an answer that shows some understanding although