While many countries are considering retaliatory tariffs on US-made goods, such measures are unlikely to deter US President Donald Trump. To weather his trade war, governments must forge strategic alliances and apply economic pressure without directly harming domestic industries.
NEW YORK – After months of threats and speculation, US President Donald Trump has officially launched his long-anticipated trade war. He has just imposed 25% tariffs on all steel and aluminum imports. His new 10% tariff on Chinese imports will further strain the world’s second-largest economy, which is already grappling with slowing growth and unfavorable demographics. And his postponed – but not canceled – 25% tariffs on Canada and Mexico, together with threats to impose new tariffs on the European Union, India, and many more countries, put greater pressure on key US allies.
NEW YORK – After months of threats and speculation, US President Donald Trump has officially launched his long-anticipated trade war. He has just imposed 25% tariffs on all steel and aluminum imports. His new 10% tariff on Chinese imports will further strain the world’s second-largest economy, which is already grappling with slowing growth and unfavorable demographics. And his postponed – but not canceled – 25% tariffs on Canada and Mexico, together with threats to impose new tariffs on the European Union, India, and many more countries, put greater pressure on key US allies.