Explanation:

Inward looking trade strategy is also known as import substitution. Its main aim is to produce goods domestically which are imported to our nation. Here, the government protects the domestically produced goods from foreign competition.

This policy protects imports in two forms, tariffs and quota. Tariffs are imposed on imported goods to make the goods more expensive which will reduce their use. Quotas provide the quantum of goods which can be imported. Hence, this policy protects the domestically produced goods from foreign competition.