Trade Archive

President Donald Trump still just doesn’t get tariffs. On the campaign trail in Wisconsin recently, Trump again bragged—wrongly—about how China is paying for the higher taxes he slapped on imports over the past two years. He then touted the $28 billion in ad hoc payments that the federal government has doled out to farmers in that time to compensate for the hit they took when China retaliated against U.S. exports. What Trump doesn’t say is that it is American consumers and taxpayers who are footing the bill for his failed trade wars. Analysts project that American farmers will receive a […]

As the United States prepares for a full withdrawal of its troops from Afghanistan, potentially as soon as next spring, a cloud of uncertainty hangs over its efforts to promote infrastructure development in Central and South Asia. Since the U.S. invasion of Afghanistan in 2001, China has become a major player in the region, especially through the 2013 announcement of its Belt and Road Initiative, a major infrastructure program involving hundreds of billions of dollars in investments throughout Asia and beyond. The rise of Chinese spending and influence has overshadowed America’s efforts, inducing a kind of collective amnesia among many […]

Should Joe Biden win the American presidency on Nov. 3, the world will experience whiplash, as the United States performs a second about-face in its posture toward multilateralism in only four years. Although the U.S. has oscillated through cycles of internationalism and isolationism before, it has never executed such a swift and dramatic double-reverse. A Biden triumph would repudiate the “America First” platform on which Donald Trump won the White House in 2016, and the hyper-nationalist, unilateralist and sovereigntist mindset that undergirds it. Such a stunning shift in America’s global orientation would have major implications for global cooperation on everything […]

President Donald Trump likes tariffs, regardless of their target. While China gets most of the attention, he hasn’t hesitated to attack America’s friends and allies as well. His Democratic rival for the presidency, former Vice President Joe Biden, has his own concerns about Chinese trade practices and has been vague about whether he would roll back Trump’s tariffs on China, so trade tensions between Washington and Beijing are likely to remain high no matter who wins in November. The situation is different for European policymakers, since the election could determine whether an escalation in trade tensions is coming, or a […]

Over the past four years, as the United Kingdom has wrestled with the consequences of its narrow vote to leave the European Union, there has been little to no broader foreign policy debate in the country. Instead, Britons seem to have become caught between three temperaments. There are the catastrophists, who argue the U.K. has become completely irrelevant on the international stage as a result of Brexit; the nostalgics, who see a powerful Britain through the lens of a great colonial power; and the denialists, who refuse to accept that Britain must adapt to a changing global context. All are […]

The global economy is gradually healing from the economic blows dealt by the coronavirus pandemic, but the recovery remains fragile and halting. Reduced trade is more a symptom than a cause of those trends—and what governments do in terms of additional fiscal stimulus will do far more to determine the shape of the recovery in the United States and other countries. Still, trade policy could be a factor, supporting or undermining the nascent recovery. President Donald Trump’s trade wars have already complicated the direct response to COVID-19 infections—by making imports of some critical products more expensive or harder to find—and […]

“On foreign and defense policy, absolutely, there is an ambition to be more united, and that vision is shared by all of the member countries,” says Carl Bildt, former Swedish prime minister and foreign minister, about the European Union. “Then in practice, as you’ve seen, there are divergences, and they are more or less clear in different areas.” Those divergences have frustrated advocates of a more forceful EU that operates on the world stage with “strategic autonomy,” a phrase Mr. Bildt finds “confuses more than it clarifies.” But he adds, as someone who has “been watching these things for a […]

Strategic autonomy has long been a recurring refrain for advocates of a more forceful European Union on the global stage. Upon taking office in December 2019, European Commission President Ursula von der Leyen announced that hers would be a “geopolitical commission.” The sense of urgency has only grown since then. Ongoing tensions with Russia over its role in Eastern Europe and new ones with Turkey in the Eastern Mediterranean have called attention to the threats the EU faces in its own neighborhood. Managing strained ties with the United States and defining the new terms of relations with the post-Brexit United […]

Southeast Asia has always played a key role in Chinese foreign policy, but its strategic and economic importance has increased further in recent years, given the heightened economic and political tensions between Beijing and Washington. The Association of Southeast Asian Nations accounted for nearly 15 percent of China’s imports and exports during the first half of this year, more than the United States or the European Union. For Southeast Asia, too, China is a key commercial partner, second only to Japan as a source of foreign investment in the region. Yet, as Sebastian Strangio writes in his new book, “In […]

Editor’s Note: Every Wednesday, WPR contributor Lavender Au and Newsletter and Engagement Editor Benjamin Wilhelm curate the week’s top news and expert analysis on China. The world is in little danger of running out of rare earth minerals, despite their name. They are neither hard to find, nor difficult to mine. But they are in demand, since they are used in components of popular high-tech devices like smartphones, as well as electric cars, wind turbines and even military hardware. Although researchers found a huge trove of rare earth metals in Japanese waters two years ago—enough to supply the world on […]