Not content with imposing or threatening to impose tariffs on Canada, China, Colombia, Mexico, the EU and UK, President Trump is rumoured to be considering imposing tariffs on US states that get the most federal aid from Washington.

A spokesperson explained:

Many states treat the federal government as a bank they can borrow from whenever they need to without paying it back.

Well that time is over.

Now if a state gets, say hurricane relief from the federal government, we will impose a 25% tariff on all goods produced by that state or profits generated from non-manufacturing enterprises until those relief payments are repaid. No more free lunches.

The first state to be hit with the new tariff regime will be California, after that we will consider further tariffs on a case-by-case basis.

So our advice to state legislatures: Be nice or else it's tariff time baby!