Trump’s looming tariffs could open a Pandora’s box of complications
The White House’s anti-WTO stance is a break with the organisation’s inclusive regulation of worldwide trade
US President Donald Trump’s 25% tariff on steel imports and 10% on aluminium will take effect this week. He justifies his measure as necessary to protect US security interests, but his own party is now up in arms. The Republicans argue that the tariffs will not achieve their major objective: to curtail China’s overcapacity of steel. US jobs will be lost, the economy will be damaged and national defence will be hurt. The US already has more than 160 duties targeted at specific Chinese steel products, but a glut of global steel has caused prices to drop, hurting US producers. The announcement seems to be primarily about what Trump promised in his election campaign. He said he would defend US workers from the "carnage" of "bad trade deals" and would "put America first". He specifically promised protection to Rust Belt workers. One of his first actions as president was to pull the US out of the Trans Pacific Partnership negotiations, which many say will weaken US trade and geopolitical ...