Trump’s Tariffs Are Meant to Hurt the Chinese, Not to Help Americans
If the goal of this trade war is to contain China, the White House may warm to free trade with Japan, Mexico and others.
Economists say free trade is a win-win. But the Trump administration is not looking for a win-win.
Photographer: Qilai Shen/Bloomberg
The recent escalation in the U.S.-China trade war hints that the ultimate goal of American trade policy is not to help Americans, but to hurt the Chinese. Trade now looks like part of a larger effort to contain Chinese geopolitical power.
In theory, it would be no big deal if the Chinese economy were 50% bigger than the American economy. China could buy 50% more avocados than Americans do, or 50% more cases of Coca-Cola, or 50% more iPhones, and life would go on. In reality, it’s more complicated.