Comment by wrp
2 days ago
Japan used that strategy very successfully for at least a century. The high cost of imported goods encouraged consumers to buy domestic at prices that were also high, which subsidized exports at competitive prices. The Japanese public is less docile now, but this is one example where import restrictions worked well. I believe you can find other examples from the 20th century, but I'm not sure whether they would work well in the current global environment.
Import substitution can only work when you have a government that is investing in labor and industrial infrastructure, while keeping the local currency cheap. This is not a combination of factors you don't have in the US.
They also became experts at automation and at producing high quality goods.