One of the first principles of a free market is the freedom to exchange goods with anyone, anywhere so long as you both mutually agree to the transaction. When two parties come to an agreement acceptable to both, each leaves with something they value more highly than what they gave. In this way, when one person is efficient in producing one resource, they can sell it more cheaply to whoever wants it, no permission required.
Unfortunately, anti-market government practices make their way into the culture with phrases like "Buy American." Though it may sound admirable, ultimately this hurts consumers by forcing everyone to purchase at a higher price artificially, raising costs on everyone from producers to consumers, hurting low-income people the most. Even as the government institutes this practice, the negative effects end up hurting its own projects too.
While many in federal and local governments are trying to push modern transit solutions, project after project has ended up going over budget or being rejected altogether because of high costs to taxpayers. The requirements from "Buy American" protectionism end up causing modernizations to public transit to be too costly, inefficient, and unachievable, all in the name of helping Americans. How ironic.
As Market Urbanist puts it:
Protectionism adds inefficiencies no matter the industry or jurisdiction involved. If it benefits the New York MTA or its riders to use only American-made rolling stock, why not take that thinking further? Wouldn’t the city benefit from sourcing railcars inside the city, or from a single depressed neighborhood? It wouldn’t, because the benefits don’t outweigh the costs of shutting out the world.
