> 3. Time passes
Correct, protectionism still saved the industry for years, it did its job perfectly.
Look at the car makers in Europe, they had decades to produce affordable electric cars, even lawmakers pushed their own population to buy electric cars with timelines and incentives, and they still failed miserably. How?
Tariffs are a last-ditch effort to buy more time. If you fail to use this time effectively, you will close shop. If you don't have tariffs, you close shop today.
Europe sells gasoline shitboxes for €30K when China could easily sell EVs for €20K, Europe (and the US) already lost.