CANADA/CHINA/MEXICO/TARIFFS/TRADE DEALS/TRUMP AS PRESIDENT: “As President Donald Trump considers new tariffs on imported vehicles and pursues a deal with China to avoid a trade war, economists and business leaders see a pattern emerging in the White House’s efforts to renegotiate many trade relationships: Open aggressively, then settle for incremental concessions. The Trump administration has accused U.S. trading partners of taking advantage of an open U.S. economy. Mr. Trump has demanded partners—China, Mexico, Canada, the EU and others—rewrite trade relationships in ways that are more equitable to the U.S. His opening gambits are strong, calling existing deals ‘terrible’ or a ‘rape of our country’ and threatening dire consequences should trading partners fail to respond. Then the administration often settles for much less. It might be a negotiating tactic—make strong demands to win future concessions—or else the administration lacks plans to follow through. Either way, the development has become clear to a growing number of observers…With the administration considering imposing 25% tariffs on global car imports from around the world, observers are watching to see if the pattern continues, resulting in less-stringent duties.”
-Josh Zumbrun, “As Trump Talks Tough on Trade, Worries Mount Over Lack of Action,” The Wall Street Journal, May 28, 2018 9:11 pm