If a country wanted to reduce taxes (say for some income bracket) but wanted to keep a balanced budget, would targeted tariffs not be a good way to do this? Would tariffs on goods that everyone (rich and poor) buys essentially be a regressive tax?
The obvious reason to not do this is retaliation, but if two governments coordinated their tariffs to be balanced, and on targeted goods, they could both blame each other for what is simply a "hidden" tax on their citizens. I say hidden here because most people do not understand tariffs in the same way the understand say a tax on gas prices. People seem to get angry when their government cuts taxes for the wealthy and taxes unavoidable resources like gasoline. With tariffs, politicians can say they are protecting domestic business or punishing bad actors and blame those countries.
This question may be very naive, so I am looking for reasons why countries may not do this. The most obvious to me is a negative influence on either or both countries GDP as a result of decreased beneficial trade. I imagine this could be intelligently mitigated if both countries coordinated the tariffs. There may also be some market manipulation benefits to such coordination.
I think this post belongs here rather than money/business, and I could not find similar questions.