USA Tariffs - Part.1

The U.S. trade policy landscape shifted significantly with the election of President Donald Trump in 2016. Prior to his administration, the U.S. generally pursued free trade policies and multilateral agreements under both Republican and Democratic presidents, including Barack Obama. Trump, however, took a more protectionist stance, arguing that long-standing trade deals disadvantaged American workers and industries. Upon taking office in 2017, Trump began reversing course on global trade agreements, including pulling the U.S. out of the Trans-Pacific Partnership (TPP) and initiating a series of unilateral tariff actions.

The Trump administration’s most prominent trade conflict was with China. In 2018, the U.S. imposed sweeping tariffs on billions of dollars' worth of Chinese goods, citing unfair trade practices, intellectual property theft, and a growing trade imbalance. China responded with retaliatory tariffs on U.S. exports, escalating into a full-blown trade war. Trump also levied tariffs on steel and aluminum imports from several countries, including allies, under the rationale of national security. These measures strained international relations and disrupted global supply chains, though they were popular among some domestic industries and voters.

When Joe Biden took office in 2021, he maintained many of Trump’s tariffs, especially those on China, but adopted a more strategic and multilateral approach. The Biden administration emphasized rebuilding alliances, focusing on supply chain resilience, and addressing concerns like forced labor and climate standards in trade. While the aggressive tone of the Trump era softened, Biden did not immediately roll back tariffs, instead using them as leverage in broader economic negotiations. Thus, the transition marked a shift in tone and method, but not a complete reversal of protectionist measures initiated under Trump.