The Donald Trump administration delivered the blueprint for its global economic strategy to Congress on Monday – a day before its threatened 25 per cent tariffs on Canada and Mexico and a further 10 per cent on China were due to take effect.
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The 2025 Trade Policy Agenda, which labelled China a “unique economic challenge”, outlines a litany of what the administration considers to be past US mistakes, including squandering leverage and allowing free access to its “valuable market” without gaining much in return.
“The United States faces unprecedented economic and national security challenges. President Trump has set out a plan to tackle those challenges in his America First trade policy … memorandum,” said US Trade Representative Jamieson Greer in a statement. “The current moment demands action.”
The document also suggests the administration will take up where it left off in Trump’s first term, framing the “historic and enforceable” phase-one trade agreement as a promising approach that was not followed through, adding that “China has not lived up to its commitments”.
Not surprisingly, it also justifies the use of tariffs – a bedrock of the new administration’s policy – as effective, with their costs borne by foreign trading partners rather than American consumers.
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“These past successes on trade demonstrate the wisdom and efficacy of President Trump’s America First approach,” the report said. “By taking a strategic yet vigorous approach, the United States can finally address the structural challenges distorting the global trading system.”
The administration also used the report to slam the World Trade Organization, saying it was “mired in a development agenda” and degraded national sovereignty.