On China, Trump picked the right battle but the wrong strategy
Key takeaways
- Composite: The Guardian/Getty Images View image in fullscreen Composite: The Guardian/Getty Images US economy Analysis On China, Trump picked the right battle but the wrong strategy Eduardo Porter.
- The European Union hurried to sign a trade agreement with South America’s Mercosur bloc that had been sitting on ice for years.
- Hopes of rebuilding the open trade architecture are probably futile.
Why this matters: a developing story that could shape the day's news cycle.
Composite: The Guardian/Getty Images View image in fullscreen Composite: The Guardian/Getty Images US economy Analysis On China, Trump picked the right battle but the wrong strategy Eduardo Porter. A long trade war looms. Trump’s scattershot protectionism, chaotic tariffs and belligerence against our natural allies guarantees that US trade policy will remain a hot mess
In the months since “Liberation Day” last year, when Donald Trump let loose a volley of tariffs against imports from everywhere, countries have rushed to build new relationships in the hope of maybe circumventing the US to protect the global trading system.
The European Union hurried to sign a trade agreement with South America’s Mercosur bloc that had been sitting on ice for years. China and south-east Asian nations deepened their trade agreement. The Canadian prime minister, Mark Carney, travelled to Beijing hoping to build closer ties.