Tax cuts, deregulation, and tariff diplomacy go hand in hand.

Whatever President Trump finally decides on this trade policy, a key fact is that his tax cut and deregulation policies go hand in hand with his tariff diplomacy.

We know the world trading system has been broken for decades.

And we know that America has been a victim of unfair trading practices, basically getting the short end of the stick.

It’s time to fight back.

We know that Mr. Trump is trying to promote reshoring and stop offshoring.

We also know he wants to build up the American manufacturing system, which itself has probably been the biggest victim of worldwide unfair trading practices aimed at the United States.

So, think of this: an investor or chief executive considering building an American factory would, under Trump tax policies, get the ability to immediately write off 100 percent of the cost of the factory. Not only that, it would be retroactive, to January 20, 2025.

Or, perhaps, the foreign car company already domiciled in America might wish to upgrade its factory with the purchase of new machinery and equipment. Well, they too may get 100 percent bonus depreciation to write off the investment in Year 1, also retroactive.

Pretty spiffy — don’t you think? Advantage, America.

Plus, “Made in America” companies that move from offshore to onshore — well, they will get a 15 percent corporate tax rate, among the lowest in the world. Another advantage.

And then think about Mr. Trump’s huge reduction in regulatory compliance costs. For every one new regulation, he’s saying he would end ten others.

He’s already issued 107 executive orders in 67 days, more than any other president in history, and many of these orders have deregulated the economy.

Environmental policies, power plants, fossil fuels, banking, the Securities and Exchange Commission, construction, and on and on.

In so many high tariff countries around the world, their governments are authoritarian, if not downright statist. This is especially the case in Communist China and Asia. But how about the European Union?

Well, Come to America, and the Trump Administration is giving you more business freedom to act, removing economic and cultural regulations that have hobbled businesses for so long.

Pretty good deal, wouldn’t you say? Lower taxes, and far fewer regulations.

Under the fullness of Mr. Trump’s economic plan, America will become a very big growth machine.

According to the president, he’s already attracted roughly $4 trillion of new foreign investments, and that’s just in a couple of months.

You might say — free-market capitalism.

Oh, and by the way, if you build in America — you don’t have to worry about tariffs.

From Mr. Kudlow’s broadcast on Fox Business Network.