Donald Trump, the 47th President of the United States, has recently made headlines with a series of announcements regarding trade policies and diplomatic relations with China. His administration’s economic conflict with China, initiated in 2018, has evolved significantly, especially as Trump prepares for his 2024 election campaign. He continues to threaten a massive 100% tariff on all Chinese exports. Moreover, he announced new export controls on specialized software critical to chip design, which are scheduled to begin on November 1. Together, they have sent shockwaves through the global community, shaking faith in the long-term stability of trade relations between the two economic powerhouses.
During his first term, Trump built up trade barriers against China. He defended them on the grounds of bad commercial practices and IP theft. Should the former president indeed return to office on January 20, 2025. Most notably, he has doubled down by promising to slap a 60% tariff on all goods from China if he’s re-elected. Without warning on social media over the weekend, Trump backed down. He added in a post on Truth Social that the US doesn’t want to hurt China, which was read by several as his plan to calm fears of rising trade conflict.
Ongoing Tariffs and Export Controls
Trump’s first moves on trade with China were classic protectionist measures with significant tariffs meant to protect American industries. Specifically in 2018, when he implemented the first of his tariffs that started a complicated and multifaceted economic war with China. He has threatened to impose even sterner tariffs and much harsher export controls. He has not taken any steps to remove the existing tariffs. He’s done so by maintaining these measures. Yet this decision should not be seen in a vacuum, as it’s a key piece of his strategy to face what he sees as predatory Chinese government practices.
Beginning November 1, new export controls will be implemented on critical software. This move carries on Trump’s national security and economic sovereignty policy. This decision once again demonstrates the administration’s concern over China’s access to sensitive technologies. Trump’s claim is that this access would pose an undue threat to US interests.
Shift in Diplomatic Tone
This latest move in Trump’s tariff diplomacy signals a complicated balancing act between escalation and concession in a time of increasingly volatile political climates. His weekend post seems to indicate an interest in lowering the temperature of hostilities and hopefully working towards a more productive relationship with China. This declaration follows on the heels of several months of growing trade and national security-related bluster.
Even with this gentler touch, Trump has been reticent actually to veto lucrative appropriations—in fact, he hasn’t been bashful about making bombastic threats. Despite his recent confrontational stance, this is not a usual threat. Should Russia fail to resolve its current situation with Ukraine, he will send the region long-range Tomahawk missiles. He wants to de-escalate the trade war with China. Simultaneously, he is uncompromising in protecting US interests abroad.
Political Implications and Future Outlook
Trump’s trade policies are not only pivotal in shaping US-China relations but play a significant role in his political strategy for the upcoming election campaign. He promises to put high tariffs on Chinese goods. This move is apparently designed to appeal to constituents who fear losing jobs and economic security due to competition from abroad.
Trump’s administration has come under intense fire for its record on domestic employment. Democrats cite the laying off of thousands of federal employees as a clear negative effect of his policies. Trump has placed blame for these layoffs squarely on Democratic leadership, framing it as a failure to support American workers adequately.