Federal policy on trade, 2017-2018

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See also: 115th Congress on trade, 2017-2018

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President Donald Trump came closer to executing his campaign promise to renegotiate the North American Free Trade Agreement (NAFTA) when he, Canada's Prime Minister Justin Trudeau, and Mexico's President Enrique Peña Nieto signed the U.S.-Mexico-Canada Agreement (USMCA) on November 30, 2018. The updated version of NAFTA must be ratified by all three countries before it can take effect. The USMCA is expected to be approved by the Canadian and Mexican legislatures, but it is unclear if the Democrat-controlled U.S. House of Representatives in the 116th Congress would approve the new trade agreement, according to The Wall Street Journal. The Republican-controlled Senate was expected to approve the deal.

WhiteHouse.gov, "President Trump Participates in the USMCA Signing Ceremony," November 30, 2018

As a presidential candidate, Trump called NAFTA a disaster and said his administration would renegotiate the deal or end it. After announcing the renegotiated deal, Trump said in a statement, "USMCA is a great deal for all three countries, solves the many deficiencies and mistakes in NAFTA, greatly opens markets to our farmers and manufacturers, reduces trade barriers to the U.S. and will bring all three Great Nations together in competition with the rest of the world."[1]

This page tracked major events and policy positions of the Trump administration and the 115th United States Congress on trade from 2017 and 2018. This page was updated through 2018. Think something is missing? Please email us at [email protected].

Click on the timeline below to learn more about each headline.

What is trade policy in the United States? Trade policy determines the rules and regulations that govern international trade. Trade policy in the United States affects how American businesses act on the international market, where they can send their goods, and how international companies interact.

Policy highlight: NAFTA renegotiation

November 30, 2018: Trump, Trudeau, and Nieto sign USMCA

On November 30, 2018, President Donald Trump, Canada's Prime Minister Justin Trudeau, and Mexico's President Enrique Peña Nieto signed the U.S. Mexico Canada Agreement (USMCA) in Buenos Aires, Argentina, on the sidelines of the Group of 20 summit. The updated version of the North American Free Trade Agreement (NAFTA) must be ratified by all three countries before it can take effect. The USMCA is expected to be approved by the Canadian and Mexican legislatures, but it was unclear if the Democrat-controlled U.S. House of Representatives in the 116th Congress would approve the new trade agreement, according to The Wall Street Journal. The Republican-controlled Senate was expected to approve the deal.[2]

Speaking about the trade agreement, Trump said, “The USMCA is the largest, most significant, modern, and balanced trade agreement in history. All of our countries will benefit greatly. It is probably the largest trade deal ever made, also. In the United States, the new trade pact will support high-paying manufacturing jobs and promote greater access for American exports across the range of sectors, including our farming, manufacturing, and service industries.”[3]

Trudeau said that the USMCA would help maintain economic stability in Canada. He said, “The new North American Free Trade Agreement maintains stability for Canada’s entire economy — stability that’s essential for the millions of jobs and middle-class families across the country that rely on strong, reliable trading relationships with our closest neighbors. … There’s much more work to do in lowering trade barriers and in fostering growth that benefits everyone. But reaching a new free trade agreement with the United States and Mexico is a major step for our economy.”[3]

Nieto said the agreement would create a modern foundation for trade between the three nations. He said, “The agreement that we will sign today expresses the shared will by our three nations to work together towards the wellbeing and prosperity of each one of our societies. This day is the culmination of a long process based on dialogue and negotiations that allow us to overcome differences and to conciliate our visions. Once signed, the agreement will be sent to our congresses for its ratification. It will be then when this innovative instrument bears fruit by offering a more inclusive, firm, and modern foundation for our future exchanges.”[3]

Some of the provisions in the revised deal appear below:

  • Automobiles: Seventy-five percent of the value of a vehicle would have to be produced in the United States or Mexico, an increase from 62.5 percent required by NAFTA.
  • Sunset clause: The deal would have a 16-year lifespan with a review every six years.
  • Labor provisions: Members would have to follow the International Labor Organization labor rights standards. Among other provisions, the deal would require that 40 percent to 45 percent of automobile parts be made by workers earning at least $16 an hour. The deal would also protect the right to strike.
  • Exchange-rate curbs: The deal would prevent members from artificially weakening their exchange rates.
  • Dairy: The U.S. would have greater access to Canada’s dairy market.
  • Pharmaceuticals: The patent life for biologic drugs would be 10 years instead of five.
  • Dispute settlement: The investor-state dispute settlement system (ISDS) outlined in NAFTA would remain.
  • Steel and aluminum: Tariffs on steel and aluminum would remain. They would be addressed separately from the USMCA.

May 10, 2018: Ryan sets NAFTA deadline

On May 10, 2018, House Speaker Paul Ryan (R-Wis.) said that under Trade Promotion Authority (TPA) guidelines, the Trump administration had until May 17, 2018, to submit to Congress a final NAFTA deal if it wanted Congress to vote on the agreement before the end of the year. TPA, also known as fast-track authority, is a legislative procedure that requires Congress to cast a simple up or down vote without amendments on trade deals negotiated by the president. The president is required to notify Congress 90 days before signing the agreement.[4][5]

Ryan said, “As the author of TPA, we have to have the paper — not just an agreement. We have to have the paper from USTR by May 17 for us to vote on it this year, in December, in the lame duck. ... So there are a handful of unresolved issues, and I’m just not — I don’t want to make news, but we’ll see if they can get this done by May 17 and give us the paper to Congress, which then we could have this vote in December. If they can’t, then we won’t."[5]

Formal NAFTA negotiations with Canada and Mexico began on August 17, 2017.

August 17, 2017: NAFTA members begin renegotiation process

On August 17, 2017, representatives from the United States, Canada, and Mexico began talks regarding renegotiating NAFTA. The discussion started with the dispute resolution process. The United States sought to do away with the dispute-resolution panels, while Canada and Mexico called to maintain the panels.[6]

May 18, 2017: Trump notifies Congress of intent to renegotiate NAFTA

On May 18, 2017, the Trump administration sent Congress a formal notification of intent to renegotiate NAFTA. This notification stated the 90-day consultation period for the United States and set formal negotiations with Mexico and Canada to begin on August 16, 2017. According to U.S. Trade Representative Robert Lighthizer, the notification did not detail what the administration intended to change in the agreement.[7]

April 26, 2017: NAFTA members agree to begin renegotiating NAFTA

In his contract with American voters—the "100-day action plan to Make America Great Again”—President Donald Trump said that he would "announce my intention to renegotiate NAFTA or withdraw from the deal under Article 2205." Article 2205 of the North American Free Trade Agreement (NAFTA) allows the parties of the agreement to modify the agreement with the consent of the other members or to withdraw after giving six months notice.[8][9]

On February 1, 2017, Mexican President Enrique Peña Nieto announced that he would start trade negotiations to reform NAFTA in May, after a 90-day consultation period with Mexican businesses. Trump acknowledged this 90-day period. On April 26, 2017, during a call with Nieto and Canadian Prime Minister Justin Trudeau, Trump agreed to renegotiate, instead of terminate, NAFTA.[10][11]

December 2, 2018: Trump agrees to hold off on tariffs while trade negotiations with China continue

On December 2, 2018, President Donald Trump agreed to delay the implementation of increased tariffs on $200 billion worth of goods while trade negotiations with China continued. Tariffs had been scheduled to rise from 10 percent to 25 percent on January 1, 2019. The announcement came after Trump and Chinese President Xi Jinping met after the G-20 summit.[12]

Some elements of the agreement struck by Trump and Xi appear below.[12]

  • Xi agreed to designate Fentanyl as a controlled substance. Individuals selling Fentanyl to the United States will be subject to China’s maximum penalty under the law.
  • Trump agreed to leave the tariffs on $200 billion worth of goods at 10 percent, instead of increasing tariffs to 25 percent.
  • Xi agreed to purchase more agricultural, energy, industrial, and other product from the U.S.
  • Trump and Xi agreed to “begin negotiations on structural changes with respect to forced technology transfer, intellectual property protection, non-tariff barriers, cyber intrusions and cyber theft, services and agriculture,” according to a White House press release. These negotiations were scheduled to end in 90 days.
  • Trump and Xi agreed to work towards a nuclear-free Korean Peninsula.

September 24, 2018: Trump administration announces trade agreement with South Korea

On September 24, 2018, President Donald Trump and South Korean President Moon Jae-in signed a new version of the United States-Korea Free Trade Agreement.[13]

Some of the provisions in the revised deal appear below, according to a White House press release:[14]

  • South Korea agreed to "double the annual number of American automobiles – from 25,000 to 50,000 per manufacturer per year – that can enter its market using United States safety standards without further modifications."
  • "American vehicles will be able to meet South Korean gasoline emissions standards based on compliance with United States emissions regulations, avoiding additional or duplicative testing."
  • "South Korea will recognize United States standards for auto parts necessary to service United States vehicles, and will reduce labeling burdens for auto parts."
  • "South Korea will expand the number of ‘eco-credits’ available for United States automakers to meet South Korean emissions standards."
  • "When setting fuel economy standards in the future, South Korea will take United States corporate average fuel economy regulations into account and will continue to include more lenient standards for smaller volume exporters."
  • "The phase out of the 25 percent United States tariff on trucks will be extended until 2041, well beyond the current phase out date of 2021."
  • "South Korea has agreed to change its pharmaceutical reimbursement policy for innovative drugs to give fair treatment to United States exports by the end of this year, consistent with its KORUS obligations."
  • "Steel imports from South Korea into the United States will be limited to a product-specific quota equal to 70 percent of that country’s average annual import volume from 2015 through 2017."

September 17, 2018: Trump announces new tariffs on Chinese goods

On September 17, 2018, President Donald Trump announced that his administration would impose tariffs on nearly $200 billion of goods imported from China. A 10 percent tariff took effect on September 24, 2018. It was scheduled to increase to 25 percent on January 1, 2019, though the deadline had been pushed back by Trump as of February 2019. Trump also warned China against imposing retaliatory tariffs on U.S. goods by saying that his administration would impose tariffs on $267 billion of additional Chinese imports. In a statement, Trump said that the tariffs were a response to what he called China’s “unfair policies and practices relating to United States technology and intellectual property” and its unwillingness to change its policies.[15][16]

Nearly half of Chinese imports to the U.S. were subjected to tariffs, totaling $505 billion, according to The Wall Street Journal. Fish, vegetables, fruits, nuts, grains, metals, pet products, hair care products, luggage, gas grills, household appliances, and furniture were some of the goods that were subjected to the tariffs.[17][18]

In response, China said that it would impose new tariffs on $60 billion of U.S. goods beginning on September 24, 2018.[19]

House Ways and Means Committee Chairman Kevin Brady (R-Texas) expressed concern about how the tariffs could impact Americans. He said, “Any time tariffs are imposed I worry that Americans will be forced to pay extra costs — in this case on nearly half of U.S. imports from China. I continue to emphasize that the ultimate means to create an effective outcome is for President Trump and President Xi to engage constructively to develop a long-term and profound solution that levels the playing field for American manufacturers, farmers and workers.”[20]

Commerce Secretary Wilbur Ross said that Americans would not notice the impact of the tariffs when purchasing Chinese imports. He said, “If you have a 10 percent tariff on another $200 billion, that’s $20 billion a year. Because it’s spread over thousands and thousands of products, nobody’s going to actually notice it at the end of the day.”[21]

July 25, 2018: Trump and EU President Juncker agree to work to reduce tariffs

On July 25, 2018, President Donald Trump (R) and European Union Commission President Jean-Claude Juncker announced that the United States and the EU would work to reduce the tariffs announced by the Trump administration in June and those announced by the EU in response. Trump said, "We agreed today first of all to work together towards zero tariffs, zero non-tariff barriers and zero subsidies for the non-auto industrial goods. We're starting the negotiation right now, but we know very much where it's going." Juncker said, "When I was invited by the president to the White House, I had one intention: I had the intention to make a deal today. And we made a deal today." Specifics of the plan had yet to be finalized at the time of the announcement. Trump and Juncker agreed "to work towards zero tariffs on non-auto industrial goods" and "to reduce barriers and increase trade in services, chemicals, pharmaceuticals, medical products and soybeans."[22]

July 11, 2018: Senate approves non-binding resolution calling for congressional role in implementing tariffs

On July 11, 2018, the United States Senate voted 88 to 11 to approve a resolution calling for lawmakers to include in a government funding bill language that would provide for a congressional role in implementing tariffs for national security reasons. The resolution is non-binding, meaning that lawmakers are not required to include such language in the legislation. Senate Majority Whip John Cornyn (R-Tex.) said, "I think it's significant that, as many of us have discussed with the president and his Cabinet, that there's some anxiety about ... tariffs. I think it's just a way to make that point." Sen. David Perdue (R-Ga.), who voted against the resolution, said, "I just don't understand why this body continues to try to tie the hands of this president at every turn. The president is committed to creating a more level playing field for our workers and our companies here at home to compete."[23]

July 10, 2018: Trump administration releases list of tariffs on $200 billion worth of Chinese goods

On July 10, 2018, the Office of the United States Trade Representative (USTR) called for a 10 percent tariff on $200 billion worth of goods from China. U.S. Trade Representative Robert Lighthizer said, "For over a year, the Trump Administration has patiently urged China to stop its unfair practices, open its market, and engage in true market competition. We have been very clear and detailed regarding the specific changes China should undertake. Unfortunately, China has not changed its behavior – behavior that puts the future of the U.S. economy at risk. Rather than address our legitimate concerns, China has begun to retaliate against U.S. products. There is no justification for such action." A complete list of goods subject to the proposed tariff can be accessed here.[24][25][26]

USTR laid out the following schedule for public hearings on the proposed tariffs:[24]

  • July 27, 2018: Deadline for filing requests to appear, pre-hearing submissions, and a summary of expected testimony at the public hearing
  • August 17, 2018: Deadline for filing written comments
  • August 20-23, 2018: Public hearing in the main hearing room of the U.S. International Trade Commission
  • August 30, 2018: Deadline for filing post-hearing rebuttal comments

On August 3, 2018, Chinese officials announced that the nation would impose retaliatory tariffs on approximately $60 billion of United States imports. The list of items subject to the tariffs included 5,207 goods, with tariff rates ranging from 5 percent for a variety of chemical goods to 25 percent for agricultural products such as honey, grated ginger, almonds, maple syrup, and liquified natural gas. In a statement, Chinese officials said, "The United States has deviated from the consensus of the two sides on several occasions, unilaterally escalating trade frictions, seriously violating the rules of the World Trade Organization, undermining the global industrial chain and the free trade system, substantially harming the interests of our country and the people, and will also include the United States."[27]

On September 7, 2018, Trump said that he would be willing to impose tariffs on an additional $267 billion in Chinese goods: "I hate to do this, but behind [the previously announced $200 billion in tariffs] this is another $267 billion ready to go on short notice if I want."[28]

June 15, 2018: Trump administration releases list of tariffs on $50 billion worth of Chinese goods

Citing “China’s theft of intellectual property and technology and its other unfair trade practices,” the Trump administration announced that it would place a 25 percent tariff on $50 billion worth of goods from China beginning on July 6, 2018.[29]

In a statement announcing the tariffs, on June 15, 2018, President Donald Trump said, "My great friendship with President Xi of China and our country’s relationship with China are both very important to me. Trade between our nations, however, has been very unfair, for a very long time. This situation is no longer sustainable. China has, for example, long been engaging in several unfair practices related to the acquisition of American intellectual property and technology.” Trump also said that the U.S. would impose additional sanctions if China placed retaliatory tariffs on U.S. goods and services.[29]

The Office of the United States Trade Representative (USTR) released a list of 1,102 products that are “from industrial sectors that contribute to or benefit from the 'Made in China 2025' industrial policy, which include industries such as aerospace, information and communications technology, robotics, industrial machinery, new materials, and automobiles” that will be subject to a 25 percent tariff. It did not include cellular telephones or televisions. On July 6, 2018, the first round of tariffs on 818 products went into effect.[30]

In a statement regarding the administration’s decision to impose tariffs on China, U.S. Trade Representative Robert Lighthizer said, “We must take strong defensive actions to protect America’s leadership in technology and innovation against the unprecedented threat posed by China’s theft of our intellectual property, the forced transfer of American technology, and its cyber attacks on our computer networks. China’s government is aggressively working to undermine America’s high-tech industries and our economic leadership through unfair trade practices and industrial policies like ‘Made in China 2025.’ Technology and innovation are America’s greatest economic assets and President Trump rightfully recognizes that if we want our country to have a prosperous future, we must take a stand now to uphold fair trade and protect American competitiveness.”[30]

In response, China's Commerce Ministry accused the Trump administration of “provoking a trade war.” The statement said, "This move is not only damaging bilateral interests but also undermining the world trade order.” China also said it that would "immediately introduce taxation measures of the same scale and strength."[31]

Senate Finance Committee Chairman Orrin Hatch (R-Utah) opposed the decision to impose tariffs, saying, “Tariffs will harm American and Chinese businesses and consumers, and will put economic growth in both countries at risk. Ill-conceived trade actions that weaken the American economy, alienate allies, and invite retaliation against American businesses, farmers and ranchers, undermine our nation’s ability to successfully confront China’s unfair trade policies."[32]

Senate Minority Leader Chuck Schumer (D-N.Y.) praised the decision to impose tariffs, saying, "The president’s actions on China are on the money. China is our real trade enemy, and their theft of intellectual property and their refusal to let our companies compete fairly threatens millions of future American jobs."[31]

June 12, 2018: Inhofe blocks Corker amendment to reign in Trump on tariffs

On June 12, 2018, Sen. James Inhofe (R-Okla.) blocked legislation that proposed requiring President Donald Trump to get congressional approval to enact tariffs under Section 232 of the Trade Expansion Act of 1962, which allows the president to impose tariffs that could harm national security, from getting a vote. The legislation was introduced by Sen. Bob Corker (R-Tenn.). Corker wanted the amendment to be added to the National Defense Authorization Act (NDAA).[33]

Speaking about his decision to block the amendment from being attached to the NDAA, Inhofe said, "I will do all I [can] to help him to get that on as an amendment, but not to the defense authorization bill. I think this would cause a lot of damage. The House agrees with this." Inhofe said that members of the House opposed the amendment. The administration also said that Trump would not sign the NDAA with the amendment included.[33]

Corker criticized his colleagues for not wanting to challenge Trump’s authority on tariffs. He said, "'Gosh, we might poke the bear,' that is the language I've been hearing in the hallways. 'We might poke the bear.'" He added that the Senate was "becoming a body where, well, we'll do what we can do, but my gosh, if the president gets upset with us, then we might not be in the majority, and so let's don't do anything that might upset the president."[33][34]

June 1, 2018: Trump administration imposes steel and aluminum tariffs on EU, Canada, and Mexico

On May 31, 2018, President Donald Trump announced that his administration would impose tariffs of 25 percent on steel and 10 percent on aluminum from the European Union (EU), Canada, and Mexico beginning June 1, 2018. The Trump administration initially announced the tariffs on March 8, 2018, but delayed their implementation in order to give negotiators time to work out agreements to permanently exempt the countries from the tariffs. The U.S. reached exemption agreements with Australia, Argentina, Brazil, and South Korea, but was unable to do so with Canada, Mexico, and the EU. In response, the EU, Canada, and Mexico said that they would impose retaliatory tariffs on U.S. goods.[35][36][37]

Jean-Claude Juncker, president of the European Commission, said, “The U.S. leaves us no choice but to proceed with a [World Trade Organization] dispute settlement case and the imposition of additional duties on a number of U.S. imports. This is protectionism, pure and simple.” The EU released a list of possible goods that could be subject to $3.3 billion in tariffs, including Kentucky bourbon, jeans, and Harley-Davidson motorcycles.[37]

Canada’s Minister of Foreign Affairs Chrystia Freeland said that Canada would impose $12.6 billion in tariffs starting on July 1, 2018, including a 25 percent tariff on U.S. steel, a 10 percent tariff on U.S. aluminum, and a 10 percent tariff on other U.S. goods, including toilet paper, whiskey, and orange juice.[37][38]

In a statement, the Mexican government said, "Mexico deeply regrets and condemns the decision of the United States to impose these tariffs on imports of steel and aluminum from Mexico from June 1, at the discretion of national security. Mexico has indicated repeatedly that such measures under the criteria of national security are not adequate nor justified.” Mexico said that it would impose tariffs on U.S. steel, lamps, pork, sausages, apples, grapes, blueberries, and various cheeses, among other goods.[37]

In 2017, nearly 50 percent of U.S. steel and aluminum imports came from the EU, Canada, and Mexico, according to The Hill.[37]

G7 issues statement condemning tariffs

In a summary of a meeting held by the Group of Seven (G7) finance leaders—a group of seven of the world’s advanced economies consisting of Canada, France, Germany, Italy, Japan, the United Kingdom, and the United States—six of the G7 nations raised concerns about the U.S.’ imposition of tariffs on aluminum and steel. The summary stated, “Concerns were expressed that the tariffs imposed by the United States on its friends and allies, on the grounds of national security, undermine open trade and confidence in the global economy. Finance Ministers and Central Bank Governors requested that the United States Secretary of the Treasury communicate their unanimous concern and disappointment.”[39]

Japanese Finance Minister Taro Aso commented on the statement, saying, “I’ve been to these meetings for a long time. But this is a very rare case where opposition against the United States was unanimous.”[40]

May 29, 2018: U.S. to place tariffs on China

April 30, 2018: Trump postpones steel and aluminum tariffs on EU, Canada, Mexico, and others

On April 30, 2018, President Donald Trump issued two presidential proclamations that delayed the implementation of steel and aluminum tariffs on imports from the European Union (EU), Canada, Mexico, Argentina, Brazil, Australia, and South Korea in order to give negotiators more time to work out agreements to permanently exempt the countries from the tariffs. Tariffs of 25 percent on steel and 10 percent on aluminum were scheduled to take effect for these countries on May 1, 2018. The administration extended negotiations on permanent exemptions with Canada, Mexico, and the EU until June 1, 2018. The administration said that it completed a deal with South Korea for a permanent exemption and also said that it had agreements in principle with Argentina, Brazil, and Australia.[41][42]

In a press release, the Trump administration said, “In all of these negotiations, the Administration is focused on quotas that will restrain imports, prevent transshipment, and protect the national security. These agreements underscore the Trump Administration’s successful strategy to reach fair outcomes with allies to protect our national security and address global challenges to the steel and aluminum industries.”[43]

On March 8, 2018, Trump signed paperwork to put the tariffs in place under Section 232 of the Trade Expansion Act of 1962, which "provides the President with authority to adjust imports being brought into the United States in quantities or under circumstances that threaten to impair national security.” Based on reports from the U.S. Department of Commerce, the administration concluded that foreign imports of aluminum and steel were weakening the domestic production of these materials and could result in the U.S. not being able to support infrastructure projects or produce weapons, tanks, and aircraft that ensure national security.[44]

In 2017, the U.S. imported $29.1 billion worth of steel. Of that total, $6.2 billion came from the EU, $2.9 billion came from other European countries, about $5.1 billion came from Canada, $2.8 billion from South Korea, $2.5 billion from Mexico, $1.6 billion from Japan, $1.4 billion from Russia, and $976 million from China, according to Politico.[45]

Trade negotiations with Brazil stall

On May 2, 2018, Brazil’s foreign and trade ministries said that the U.S. ceased trade talks after giving Brazil the option of picking between tariffs or quotas for steel and aluminum imports. According to Reuters, "Brazil’s aluminum industry opted for 10 percent import tariffs, while the steel industry opted for an imports quota system."[46]

White House spokeswoman Lindsay Walters discussed the stalled talks, saying in a statement, "The United States and Brazil reached an agreement in principle on satisfactory alternative means to address the threatened impairment to our national security from steel and aluminum imports. The details of this agreement in principle have not been finalized. Further, if the alternative means are not finalized shortly, the president will consider re-imposing the tariffs."[46]

U.S. and Argentina agree to steel and aluminum trade deal

Argentina agreed "to cap the amount of steel it sends to the U.S. — at a level more than one-third higher than its average export volume of the last three years. The 135 percent quota will allow Argentina to avoid the steel tariff altogether. For aluminum, the two countries agreed on a 100 percent quota, meaning Argentina can send as much as its average export volume it has sent over the past three years before paying a tariff," according to Politico.[47]

"We are very satisfied with this negotiation," Argentine Foreign Minister Jorge Faurie said in a statement.[47]

April 12, 2018: Trump tells economic advisers to consider re-entering TPP

On April 12, 2018, Trump told National Economic Council Director Larry Kudlow and U.S. Trade Representative Robert Lighthizer to explore re-entering the Trans-Pacific Partnership trade deal (TPP).[48]

After a meeting on trade, Sen. Ben Sasse (R-Neb.) said, “The president multiple times reaffirmed in general to all of us and looked right at Larry Kudlow and said, ‘Larry, go get it done.'"[48]

On April 17, 2018, Trump criticized the TPP, writing in a tweet, "While Japan and South Korea would like us to go back into TPP, I don’t like the deal for the United States. Too many contingencies and no way to get out if it doesn’t work. Bilateral deals are far more efficient, profitable and better for OUR workers. Look how bad WTO is to U.S."[49]

On April 17, 2018, White House economic adviser Larry Kudlow said that rejoining the TPP was "more of a thought than a policy.” He added that there “are discussions and considerations” about re-entering the TPP talks, but he said that “there is nothing at all concrete.” He also said, “[I]t has to be in U.S. interest for us to take another look and actually go into it” and that “the president believes it is not presently in U.S. interest to sign it.”[50]

On January 23, 2017, Trump signed a memorandum withdrawing the United States from negotiations involving the TPP. In March 2018, 11 nations—Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, and Vietnam—signed the deal, which was renamed the Comprehensive and Progressive Trans-Pacific Partnership.[48]

April 3, 2018: Trump administration releases list of Chinese imports that could be subject to a 25 percent tariff

On April 3, 2018, the Trump administration released a list of Chinese imports that the Office of the United States Trade Representative (USTR) was considering subjecting to a 25 percent tariff. The list targeted $50 billion in Chinese imports across 1,300 categories of products, including medicines, medical equipment, machine tools, chemicals, dishwashers, televisions, automobile parts, aircraft engines, industrial robots, some semiconductor production equipment, and electric vehicles, among other goods. The list did not include shoes, clothing, mobile phones, personal computers, laptops, or furniture.[51][52]

The list was published “[a]s part of the U.S. response to China’s unfair trade practices related to the forced transfer of U.S. technology and intellectual property. … Following USTR’s Section 301 investigation, President Trump announced in March that the United States will impose tariffs on approximately $50 billion worth of Chinese imports and take other actions in response to China’s policies that coerce American companies into transferring their technology and intellectual property to domestic Chinese enterprises,” according to the USTR.[52]

Earlier in the day, President Donald Trump told reporters, “We intend to get along with China, but we have to do something very substantial about the trade deficit. I campaigned on that, I talked about that.”[51]

According to the USTR, “The total value of imports subject to the tariff increase is commensurate with an economic analysis of the harm caused by China’s unreasonable technology transfer policies to the U.S. economy, as covered by USTR’s Section 301 investigation.”[52]

The tariffs did not go into effect immediately. The items on the list had to undergo a public notice and comment process before the USTR made a final decision about whether to impose the tariffs. A public hearing on the proposed tariffs was held on May 15, 2018, at the International Trade Commission. Businesses then had until May 22, 2018, to state their objections to the proposed tariffs. After that, the USTR had 180 days to decide whether to impose the tariffs. On April 4, 2018, Director of the National Economic Council Larry Kudlow said, "I doubt if there'd be any concrete action for several months... Nothing concrete has actually happened. These are proposals, but the message is clear."[52][53]

Iowa Sens. Joni Ernst (R) and Chuck Grassley (R), who represents one of the largest soybean-producing states, expressed concern about the Trump administration's long-term trade plan with China. Ernst said, “Every town hall I go to, trade or tariffs is one of the big questions. That’s what’s on their mind. They are starting to question the president and where we’re going with this. I need for him [Trump] to understand that we’re hurting in the Midwest and this is not helping.”[54]

Grassley said, “If the federal government takes action on trade that directly results in economic hardship for certain Americans, it has a responsibility to help those Americans and mitigate the damage it caused.”[54]

In a speech to farmers and business owners in Kentucky, Senate Majority Leader Mitch McConnell (R-Ky.) said, "Many of you are in agriculture. We are a great exporter of an agricultural product. I am nervous about getting into trade wars and I hope this doesn't go too far. ... I'm not a fan of tariffs, and I am nervous about what appears to be a growing trend in the administration to levy tariffs. This is a slippery slope, so my hope is that this will stop before it gets into a broader tit-for-tat that can't be good for our country."[55]

April 4, 2018: China responds by threatening to impose tariffs on U.S. imports

On April 4, 2018, China’s State Council responded to the U.S.’ list of proposed tariffs saying that it would impose tariffs on 106 types of U.S. goods, including soybeans, beef, sorghum, some commercial passenger planes, and sport-utility vehicles, among other goods.[56]

According to The Wall Street Journal, “Chinese government officials described China’s response as defensive and forced upon Beijing in hopes of compelling the U.S. into talks to ease the countries’ trade frictions.”[56]

Vice Finance Minister Zhu Guangyao called for negotiations between China and the U.S., saying, “Both sides have put their lists on the table. Now it’s time for negotiations.”[56]

Trump commented on the trade announcements in a tweet, writing, “We are not in a trade war with China, that war was lost many years ago by the foolish, or incompetent, people who represented the U.S. Now we have a Trade Deficit of $500 Billion a year, with Intellectual Property Theft of another $300 Billion. We cannot let this continue!”[57]

April 5, 2018: Trump calls China’s response unfair; directs USTR to consider tariffs on $100 billion in imports from China

On April 5, 2018, President Donald Trump said that China’s decision to release a list of proposed tariffs on 106 types of U.S. goods was unfair. In response, he directed U.S. Trade Representative Robert Lighthizer to consider imposing tariffs on an additional $100 billion in imports from China.[58]

Trump said in a statement, “Rather than remedy its misconduct, China has chosen to harm our farmers and manufacturers. In light of China’s unfair retaliation, I have instructed the USTR to consider whether $100 billion of additional tariffs would be appropriate under section 301 and, if so, to identify the products upon which to impose such tariffs. I have also instructed the Secretary of Agriculture, with the support of other members of my Cabinet, to use his broad authority to implement a plan to protect our farmers and agricultural interests. Notwithstanding these actions, the United States is still prepared to have discussions in further support of our commitment to achieving free, fair, and reciprocal trade and to protect the technology and intellectual property of American companies and American people. Trade barriers must be taken down to enhance economic growth in America and around the world. I am committed to enabling American companies and workers to compete on a level playing field around the world, and I will never allow unfair trade practices to undermine American interests.”[58]

China’s Commerce Ministry responded to the announcement, saying, “The Chinese side will follow suit to the end, not hesitate to pay any price, resolutely counterattack and take new comprehensive measures in response. … We will listen to its [the Trump administration’s] words and watch its actions.”[59]

Sen. Ben Sasse (R-Neb.) commented on the announcement, saying, “Hopefully, the president is just blowing off steam again. But, if he’s even half-serious, this is nuts.”[59]

On April 6, 2018, Trump wrote in a tweet, “Despite the Aluminum Tariffs, Aluminum prices are DOWN 4%. People are surprised, I’m not! Lots of money coming into U.S. coffers and Jobs, Jobs, Jobs!” Shortly after his first tweet, Trump wrote, “We are not in a trade war with China, that war was lost many years ago by the foolish, or incompetent, people who represented the U.S. Now we have a Trade Deficit of $500 Billion a year, with Intellectual Property Theft of another $300 Billion. We cannot let this continue!”[60][61]

March 27, 2018: Trump administration announces changes to trade agreement with the Republic of Korea

On March 27, 2018, the Trump administration announced changes to the Korea Free Trade Agreement (KORUS). It was the first renegotiation of an existing trade deal by the Trump administration. Under the agreement, the Republic of Korea (ROK) was given a permanent exemption from the 25 percent steel tariffs Trump put in place on March 23, 2018. In return, the ROK agreed to the following:[62][63][64]

  • Keeping the 25 percent tariff on pickup trucks for 20 years, which had been set to expire in 2021.
  • Doubling “the number of U.S. automobile exports, to 50,000 cars per manufacturer per year, that can meet U.S. safety standards (in lieu of Korean standards) and enter the Korean market without further modification.”
  • Amending “its Premium Pricing Policy for Global Innovative Drugs to make it consistent with Korea’s commitments under KORUS to ensure non-discriminatory and fair treatment for U.S. pharmaceutical exports.”
  • Limiting the amount of steel it can export to the U.S. It “will be subject to a product-specific quota equivalent to 70% of the average annual import volume of such products during the period of 2015-17.”

U.S. Trade Representative Robert Lighthizer said of the updated agreement, “The improved KORUS agreement reflects the President’s leadership in delivering more reciprocal trade outcomes benefiting U.S. workers, exporters, and businesses. The United States and Korea have strengthened an important economic relationship by agreeing to substantial improvements to KORUS that will help rebalance our trade, reduce our trade deficit, and expand U.S. export opportunities.”[62]

Ahn Duk-geun, a Seoul National University professor of international studies, said that the concessions the ROK made were modest. He added, “It’s almost too good to be true.”[63]

On March 30, 2018, Trump said that he was considering waiting to complete trade negotiations with the ROK to pressure the country into helping the U.S. denuclearize North Korea. He said, “I may hold it up until after a deal is made with North Korea.…You know why? Because it’s a very strong card.”[65]

South Korean Minister of Trade, Industry, and Energy Paik Un-gyu responded to Trump's comments, saying, “We’re trying to grasp the genuine intent behind President Trump’s remarks. We regard the renegotiation of the free-trade agreement as having already been completed smoothly.”[65]

KORUS went into effect in 2012. According to the Office of the U.S. Trade Representative, since KORUS took effect, “The U.S. trade deficit in goods with Korea increased by over 73 percent from $13.2 billion to $22.9 billion (2017), while the overall deficit increased by 70 percent from $6.3 billion to $10.7 billion (2017).” At the direction of President Donald Trump, Lighthizer initiated trade renegotiation discussions with the ROK to try to address the trade deficit in July 2017.[62]

March 22, 2018: Trump signs memorandum directing USTR to recommend actions to take against China for unfair trade practices

On March 22, 2018, President Donald Trump signed a memorandum directing U.S. Trade Representative (USTR) Robert Lighthizer to recommend actions to take against China for unfair trade practices. The memorandum followed up on a probe launched by Lighthizer on August 18, 2017, under section 301 of the Trade Act of 1974. Lighthizer investigated “China’s laws, policies, practices, or actions that may be unreasonable or discriminatory and that may be harming American intellectual property rights, innovation, or technology development,” in response to Trump’s August 14, 2017, memorandum. One of the specific trade practices that Lighthizer looked into was China's practice of illegally acquiring "U.S. technologies, sometimes through requirements imposed on U.S. companies that want to sell their products in China," according to The Hill.[66][67]

According to the memorandum, the investigation revealed the following:

  • "China uses foreign ownership restrictions, including joint venture requirements, equity limitations, and other investment restrictions, to require or pressure technology transfer from U.S. companies to Chinese entities. China also uses administrative review and licensing procedures to require or pressure technology transfer, which, inter alia, undermines the value of U.S. investments and technology and weakens the global competitiveness of U.S. firms."[66]
  • "China imposes substantial restrictions on, and intervenes in, U.S. firms’ investments and activities, including through restrictions on technology licensing terms. These restrictions deprive U.S. technology owners of the ability to bargain and set market-based terms for technology transfer. As a result, U.S. companies seeking to license technologies must do so on terms that unfairly favor Chinese recipients."[66]
  • "China directs and facilitates the systematic investment in, and acquisition of, U.S. companies and assets by Chinese companies to obtain cutting-edge technologies and intellectual property and to generate large-scale technology transfer in industries deemed important by Chinese government industrial plans."[66]
  • ”China conducts and supports unauthorized intrusions into, and theft from, the computer networks of U.S. companies. These actions provide the Chinese government with unauthorized access to intellectual property, trade secrets, or confidential business information, including technical data, negotiating positions, and sensitive and proprietary internal business communications, and they also support China’s strategic development goals, including its science and technology advancement, military modernization, and economic development."[66]

As a result of the investigation, Trump directed Lighthizer to consider increasing tariffs on goods from China and directed him to present a list of recommendations by April 6, 2018, for public comment. Lighthizer was also directed to "pursue dispute settlement in the World Trade Organization (WTO) to address China’s discriminatory licensing practices,” according to the memorandum.[66]

While signing the memorandum, Trump said, “I’ve been speaking with the highest Chinese representatives, including the President, and I’ve asked them to reduce the trade deficit immediately by $100 billion. It’s a lot. So that would be anywhere from 25 percent, depending on the way you figure, to maybe something even more than that. But we have to do that. The word that I want to use is 'reciprocal.' When they charge 25 percent for a car to go in, and we charge 2 percent for their car to come into the United States, that’s not good. That’s how China rebuilt itself. The tremendous money that we’ve paid since the founding of the World Trade Organization — which has actually been a disaster for us. It’s been very unfair to us. The arbitrations are very unfair. The judging has been very unfair. And knowingly, we always have a minority and it’s not fair.”[68]

According to The Wall Street Journal, "The White House is putting together a package of 25% tariffs on Chinese imports, and Mr. Trump’s advisers said they had targeted 1,300 product categories. The president said that action could affect imports of 'about $60 billion,' but his advisers, speaking earlier, said that it was more likely to be $50 billion, or roughly 10% of the more than $500 billion the U.S. imported from China last year."[69]

Senate Minority Leader Chuck Schumer (D-N.Y.) praised the announcement, saying, “I don’t agree with President Trump on a whole lot, but today I want to give him a big pat on the back. He is doing the right thing when it comes to China.”[69]

The announcement was also praised by Lockheed Martin Corp. CEO Marillyn Hewson. She said, "I would just say that this is a very important moment for our country, in that we are addressing what is a critical area for the aerospace and defense industry, and that is protecting our intellectual property. As has been expressed, that is a threat to us if we have that stolen from our companies, because that is the lifeblood of our companies. And so, we very much welcome this action on the part of the Trump administration and the President of the United States.”[68]

Ambassador Cui Tiankai, the Chinese ambassador to the United States, commented on the proposed tariffs, saying, "We don’t want a trade war with the United States, or with anybody else. But we are not afraid of it. If somebody tries to impose a trade war on us, we will fight. … Let me assure those people who intend to fight a trade war: We will certainly fight back. We will retaliate. If people want to play tough, we will play tough with them and see who will last longer.”[70]

Cinnamon Rogers, a senior vice president of the Telecommunications Industry Association, also criticized the announcement. She said that tariffs on communications products, “would make it more expensive to expand and upgrade American communication networks."[69]

March 22, 2018: Trump suspends aluminum and steel tariffs for some countries

On March 22, 2018, President Donald Trump announced that tariffs on steel and aluminum imports from certain countries would be suspended until May 1, 2018. The countries not subject to the tariffs were Argentina, Australia, Brazil, Canada, Mexico, the member countries of the European Union, and South Korea. According to the White House, "These suspensions are based on factors including ongoing discussions regarding measures to reduce global excess capacity in steel and aluminum production by addressing its root causes."[71][72] For more on the aluminum and steel tariffs, see the headline below.

March 8, 2018: Trump announces a 25 percent tariff on steel imports and a 10 percent tariff on aluminum imports

On March 8, 2018, President Donald Trump signed paperwork to put in place a 25 percent tariff on steel imports and a 10 percent tariff on aluminum imports under Section 232 of the Trade Expansion Act of 1962, which "provides the President with authority to adjust imports being brought into the United States in quantities or under circumstances that threaten to impair national security.” Based on reports from the U.S. Department of Commerce, the administration concluded that foreign imports of aluminum and steel were weakening the domestic production of these materials and could result in the U.S. not being able to support infrastructure projects or produce weapons, tanks, and aircraft that ensure national security.[44]

The administration said that Canada and Mexico were excluded from the tariffs and that discussions about steel and aluminum would continue as North American Free Trade Agreement (NAFTA) renegotiation talks continue. The administration also said that the tariffs could be modified or removed on a country-by-country basis.[44]

While signing the paperwork, Trump said, "Today, I am defending America’s national security by placing tariffs on foreign imports of steel and aluminum. … This has been an assault on our country.”[73]

The tariffs took effect on March 23, 2018.[74]

On April 10, 2018, China filed a trade case at the World Trade Organization (WTO) over the tariffs. According to The Hill, "China, which has requested 60 days of consultations with the United States, argues that the tariffs are inconsistent with WTO rules and has said that the United States imposed the duties as a safeguard measure that countries use to counter export restrictions by other nations. China’s complaint argues that the United States hasn’t shown that steel and aluminum imports hurt domestic producers and it hasn’t followed the proper procedures in pursuing the tariffs."[75]

Background: Trump announces plan to impose steel and aluminum tariffs

On March 1, 2018, during a listening session at the White House with representatives from the steel and aluminum industries, President Donald Trump said that his administration would announce tariffs of 25 percent on imported steel and 10 percent on imported aluminum in an attempt to support U.S. steel and aluminum industries.[76]

Speaking about the U.S. steel and aluminum industries, Trump said, “People have no idea how badly our country has been treated by other countries, by people representing us that didn’t have a clue. Or if they did, then they should be ashamed of themselves because they’ve destroyed the steel industry, they’ve destroyed the aluminum industry, and other industries, frankly, when you look at all the plants, the car plants, automobile plants that moved down to Mexico for no reason whatsoever, except we didn’t know what we were doing. So we’re bringing it all back.”[76]

The administration's decision to impose tariffs was based on reports from the U.S. Department of Commerce "that determined imports of steel and aluminum are eating away at domestic production capacity in those two sectors and pose a threat to U.S. national security interests," according to Politico. The Commerce Department found that having to import metal hurt that military's ability to make weapons, tanks, and aircraft.[77]

Trump spoke about the potential threat to national security, saying, “And when it comes to a time when our country can’t make aluminum and steel — and somebody said it before, and I will tell you, you almost don’t have much of a country. Because without steel and aluminum, your country is not the same. And we need it. We need it even for defense, if you think. I mean, we need it for defense. We need great steelmakers, great aluminum makers for defense. So we’ll probably see you sometime next week. We’ll be signing it in. And you will have protection for the first time in a long while, and you’re going to regrow your industries. That’s all I’m asking. You have to regrow your industries.”[76]

Although Congress controls international trade, the administration "is using a Cold War-era law that allows an administration to unilaterally impose restrictions such as Mr. Trump’s metals tariffs on national-security grounds. Congress gave the president that power through Section 232 of the Trade Expansion Act of 1962," according to The Wall Street Journal.[78]

January 22, 2018: Trump administration places tariffs on washing machines and solar panel technology

On January 22, 2018, the Trump administration imposed a 20 percent tariff on imported residential washing machines and a 30 percent tariff on imported solar panel cells and modules. The tariffs were issued in response to an investigation by the U.S. International Trade Commission (ITC) that found "increased foreign imports of washers and solar cells and modules are a substantial cause of serious injury to domestic manufacturers," according to a press release from the Office of the United States Trade Representative.[79]

U.S. Trade Representative Robert Lighthizer said, “These cases were filed by American businesses and thoroughly litigated at the International Trade Commission over a period of several months. The ITC found that U.S. producers had been seriously injured by imports and made several recommendations to the President. Upon receiving these recommendations, my staff and I conducted an exhaustive process which included opportunities to brief in person and through public comments, public hearings, and meetings with senior representatives. Based on this information, the Trade Policy Committee developed recommendations, which the President has accepted. The President’s action makes clear again that the Trump Administration will always defend American workers, farmers, ranchers, and businesses in this regard.”[79]

Tariffs on washing machines
Year First 1.2 million units Subsequent units
First 20% 50%
Second 18% 45%
Third 16% 40%

Sen. Sherrod Brown (D-Ohio) called the tariffs “welcome news for the thousands of Whirlpool workers in Clyde, Ohio, whose jobs have been threatened by a surge of cheap washers. These tariffs will help level the playing field, and show anyone who tries to cheat our trade laws that they won’t get away with it."[80]

Whirlpool board chairman Jeff Fettig also praised the decision, saying, “This announcement caps nearly a decade of litigation and will result in new manufacturing jobs in Ohio, Kentucky, South Carolina and Tennessee. This is a victory for American workers and consumers alike."[80]

A Samsung spokesperson criticized the decision, saying it was "a great loss for American consumers and workers. This tariff is a tax on every consumer who wants to buy a washing machine. Everyone will pay more, with fewer choices." [80]

The administration said that a 30 percent tariff would be imposed on solar cells and module in the first year, 25 percent in the second year, 20 percent in the third year, and 15 percent in the fourth year.[79]

Suniva, a producer of solar cells and modules and one of the companies that requested the tariffs, said the decision would hold “China and its proxies accountable. Over the last five years, nearly 30 American solar manufacturers collapsed. Today the president is sending a message that American innovation and manufacturing will not be bullied out of existence without a fight. This is a step forward for this high-tech solar manufacturing industry we pioneered right here in America."[80]

Alliance for American Manufacturing President Scott Paul also praised the move saying, "These workers and manufacturers make some of the best products in the world and have been innovation leaders. But they cannot compete against surging unfair imports from countries like China, which are dumping product into the United States in an attempt to put American companies out of business and control the global marketplace."[80]

The tariffs were imposed under Section 201 of the Trade Act of 1974. According to The Hill, "Presidents have rarely levied tariffs under the Section 201 law mostly over concerns that prices will increase for consumers, that the penalties will hurt the economy and that trading partners will retaliate with their own tariffs or through the World Trade Organization. Between 1974 and 2016, presidents imposed trade barriers in only 19 of the 40 cases, according to an October report by the Peterson Institute of International Economics."[80]

August 14, 2017: Probe launched into Chinese trade practices

On August 14, 2017, President Donald Trump signed a memorandum requesting that U.S. Trade Representative Robert Lighthizer review allegations that China had engaged in trade practices that violated its trade agreements with the U.S., including forcing companies to reveal commercial secrets in exchange for access to the Chinese market.[81]

While signing the memorandum, Trump said, “We will safeguard the copyrights, patents, trademarks, trade secrets and other intellectual property that is so vital to our security and to our prosperity. It’s a very big move. ... This is just the beginning, I want to tell you that. This is just the beginning.”[82]

On August 18, 2017, Lighthizer initiated an investigation into China's practices under section 301 of the Trade Act of 1974.[66]

May 12, 2017: U.S. and China agree to first trade deal

On May 12, 2017, the U.S. and China agreed to enact their first trade deal under President Donald Trump by mid-July 2017. Reuters reported that the deal aimed to solidify agreements concerning the importing of American beef to China and the importing of cooked poultry from China to the U.S.[83] According to Forbes, the deal primarily set dates for already-pending actions. The deal also announced U.S. participation in China's One Belt One Road program, which was intended to promote China's position in the global economy.[84]

April 18, 2017: Trump issues Buy American, Hire American executive order

On April 18, 2017, President Donald Trump issued an executive order prioritizing federal use of American goods and services, and directing changes in the process for issuing H-1B visas, which are visas for skilled foreign workers.

The order directed federal agencies to comply with laws that require prioritizing American firms and goods when contracting for projects, referred to in the order as Buy American Laws. Under the order, federal agencies should limit the use of waivers from Buy American Laws when possible to "ensure the maximum utilization of goods, products, and materials produced in the United States." The secretary of commerce and the U.S. trade representative were also directed to assess how free trade agreements and the World Trade Organization Agreement impact compliance with Buy American Laws. The order also included directives related to immigration and H-1B visas.[85][86][87]

January 23, 2017: Trump withdraws from TPP

In his contract with American voters—the ”100-day action plan to Make America Great Again”—Trump said that he would "announce our withdrawal from the Trans-Pacific Partnership" during his first 100 days in office. Calling the TPP "a potential disaster for our country," Trump reiterated his promise to withdraw from the TPP in a video released on November 21, 2016. He added, "Instead, we will negotiate fair, bilateral trade deals that bring jobs and industry back on to American shores."[88]

On January 23, 2017, Trump signed a memorandum that withdrew the United States from negotiations involving the Trans-Pacific Partnership trade deal (TPP). The action ended U.S. involvement in the multilateral trade deal, which had not been ratified by Congress.[89]

The First 100 Days

In the first 100 days of the Trump administration, trade policy was changed through the following executive and legislative actions:

  • President Trump announced that the United States would not be leaving NAFTA, instead opting to renegotiate the deal with the leaders of Canada and Mexico.
  • President Trump withdrew the United States from the TPP negotiations.

Major trade deals in the United States

What is the North American Free Trade Agreement (NAFTA)?

See also: North American Free Trade Agreement

The North American Free Trade Agreement, or NAFTA, is an agreement between Canada, Mexico, and the United States to eliminate trade barriers and promote trade competition between the three nations. Provisions of the agreement include the elimination of trade duties on many goods, reductions in tariffs, intellectual property enforcement, and agreements for favorable treatment of investors from these three nations. NAFTA came into effect on January 1, 1994, and superseded a prior trade agreement between the United States and Canada, the Canada–United States Free Trade Agreement. In addition to this agreement, two side agreements were passed to address other concerns: the North American Agreement on Environmental Cooperation and the North American Agreement on Labor Cooperation.[90]

What is the Trans-Pacific Partnership (TPP) trade deal?

See also: The Trans-Pacific Partnership trade deal: An overview

The Trans-Pacific Partnership (TPP) is a trade deal that was negotiated by the United States and 11 Asia-Pacific countries: Australia, Brunei Darussalam, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, and Vietnam. The goals of the trade deal were to promote trade and strengthen the relationships between the 12 nations by reducing and eliminating tariffs, fostering competition, and creating greater opportunities for businesses. The countries also agreed to promote environmental protection practices and enforce laws protecting workers.[91][92]

What impact did the Trump administration have on TPP?

Because the TPP was not ratified by Congress, Trump was able to withdraw from the TPP by simply saying that the United States was no longer interested in the trade deal.[93] He did so on January 23, 2017.[89]

See also

Footnotes

  1. ↑ WhiteHouse.gov, "President Donald J. Trump Secures A Modern, Rebalanced Trade Agreement with Canada and Mexico," October 1, 2018
  2. ↑ The Wall Street Journal, "U.S., Mexico and Canada Sign Pact to Replace Nafta," November 30, 2018
  3. ↑ 3.0 3.1 3.2 WhiteHouse.gov, "Remarks by President Trump, Prime Minister Trudeau of Canada, and President Peña Nieto of Mexico at Signing Ceremony for the United States—Mexico—Canada Agreement," November 30, 2018
  4. ↑ USTR.gov, "Trade Promotion Authority," accessed May 14, 2015
  5. ↑ 5.0 5.1 Politico, "Ryan says May 17 is deadline to assure 2018 NAFTA vote," May 10, 2018
  6. ↑ Morningstar, "Nafta Talks Open With Spat Over How to Resolve Tariff Conflicts," August 17, 2017
  7. ↑ Washington Post, "Trump administration formally launches NAFTA renegotiation," May 18, 2017
  8. ↑ Donald Trump, "Donald Trump’s Contract with the American Voter," accessed November 23, 2016
  9. ↑ Wall Street Journal, "Donald Trump Poised to Pressure Mexico on Trade," November 21, 2016
  10. ↑ CNN Money, "Trump wants to 'speed' up NAFTA talks, calls deal a 'catastrophe'," February 1, 2017
  11. ↑ NPR, "With Billions At Stake, Trump Agrees To Mend NAFTA — Not End It," April 27, 2017
  12. ↑ 12.0 12.1 WhiteHouse.gov, "Statement from the Press Secretary Regarding the President’s Working Dinner with China," December 1, 2018
  13. ↑ WhiteHouse.gov, "Joint Statement on the United States-Korea Free Trade Agreement," September 24, 2018
  14. ↑ WhiteHouse.gov, "President Donald J. Trump is Fulfilling His Promise on the United States–Korea Free Trade Agreement and on National Security," September 24, 2018
  15. ↑ WhiteHouse.gov, "Statement from the President," September 17, 2018
  16. ↑ The New York Times, "Trump Delays a Tariff Deadline, Citing Progress in China Trade Talks," February 24, 2019
  17. ↑ Politico, "Trump to slap tariffs on $200B more Chinese goods," September 17, 2018
  18. ↑ The Wall Street Journal, "Trump Announces New Tariffs on Chinese Imports," September 18, 2018
  19. ↑ Reuters, "China says Trump forces its hand, will retaliate against new U.S. tariffs," September 17, 2018
  20. ↑ The Hill, "Trump announces tariffs on $200B in Chinese goods," September 17, 2018
  21. ↑ The Hill, "Ross: 'Nobody's going to actually notice' new tariffs on China," September 18, 2018
  22. ↑ CNBC, "US-EU trade agreement lacks specifics and fails to eliminate issues with China," July 26, 2018
  23. ↑ The Hill, "Senate takes symbolic shot at Trump tariffs," July 11, 2018
  24. ↑ 24.0 24.1 Office of the United States Trade Representative, "Request for Comments Concerns Proposed Modification of Action Pursuant to Section 301: China's Acts, Policies, and Practices Related to Technology Transfer, Intellectual Property, and Innovation," July 10, 2018
  25. ↑ Office of the United States Trade Representative, "Statement By U.S. Trade Representative Robert Lighthizer on Section 301 Action," July 10, 2018
  26. ↑ Associated Press, "China vows retaliation for $200 billion US tariff threat," July 11, 2018
  27. ↑ The Hill, "China threatens tariffs on $60 billion of US imports," August 3, 2018
  28. ↑ 'Bloomberg, "Trump Shows He’s Ready to Go All-In Against China on Tariffs," September 7, 2018
  29. ↑ 29.0 29.1 WhiteHouse.gov, "Statement by the President Regarding Trade with China," June 15, 2018
  30. ↑ 30.0 30.1 USTR.gov, "USTR Issues Tariffs on Chinese Products in Response to Unfair Trade Practices," June 15, 2018
  31. ↑ 31.0 31.1 The Hill, "Trump announces tariffs on $50 billion in Chinese goods," June 15, 2018
  32. ↑ Politico, "Trump amps up China trade war with tariffs on high-tech imports," June 15, 2018
  33. ↑ 33.0 33.1 33.2 The Hill, "Corker: GOP becoming 'cult-like' on Trump," June 12, 2018
  34. ↑ The Hill, "Corker rebukes Republicans afraid to anger Trump on tariffs: 'We might poke the bear!,'" June 12, 2018
  35. ↑ WhiteHouse.gov, "Presidential Proclamation Adjusting Imports of Aluminum into the United States," May 31, 2018
  36. ↑ WhiteHouse.gov, "Presidential Proclamation Adjusting Imports of Steel into the United States," May 31, 2018
  37. ↑ 37.0 37.1 37.2 37.3 37.4 The Hill, "Trump pours kerosene on the global trade wars," May 31, 2018
  38. ↑ Bloomberg, "Canada Finalizes Moves on U.S. Goods, Vows Aid for Workers," June 29, 2018
  39. ↑ G7.GC.ca, "Chair’s Summary: G7 Finance Ministers And Central Bank Governors’ Meeting," June 2, 2018
  40. ↑ Reuters, "G7 finance chiefs kick trade dispute to leaders' summit in Quebec," June 2, 2018
  41. ↑ WhiteHouse.gov, "Presidential Proclamation Adjusting Imports of Aluminum into the United States," April 30, 2018
  42. ↑ WhiteHouse.gov, "Presidential Proclamation Adjusting Imports of Steel into the United States," April 30, 2018
  43. ↑ WhiteHouse.gov, "President Donald J. Trump Approves Section 232 Tariff Modifications," April 30, 2018
  44. ↑ 44.0 44.1 44.2 WhiteHouse.gov, "President Donald J. Trump is Addressing Unfair Trade Practices That Threaten to Harm Our National Security," March 8, 2018
  45. ↑ Politico, "Trump grants key U.S. allies an extra month of tariff relief," April 30, 2018
  46. ↑ 46.0 46.1 Reuters, "U.S. cuts off Brazil tariff talks, adopts steel import quotas," May 2, 2018
  47. ↑ 47.0 47.1 Politico, "Economists offer a Depression-era warning to Trump," May 3, 2018
  48. ↑ 48.0 48.1 48.2 The Hill, "Trump to explore entering Pacific trade pact he once called 'a disaster,'" April 12, 2018
  49. ↑ Twitter, "Donald J. Trump," April 17, 2018
  50. ↑ The Hill, "Kudlow downplays US rejoining TPP talks," April 17, 2018
  51. ↑ 51.0 51.1 The Wall Street Journal, "U.S. Announces Tariffs on $50 Billion of China Imports," April 3, 2018
  52. ↑ 52.0 52.1 52.2 52.3 USTR.gov, "Under Section 301 Action, USTR Releases Proposed Tariff List on Chinese Products," April 3, 2018
  53. ↑ Twitter, "Fox Business," April 4, 2018
  54. ↑ 54.0 54.1 The Wall Street Journal, "Tariff Showdown Shifts to Intense Negotiation Period," April 5, 2018
  55. ↑ The Hill, "McConnell ‘nervous’ Trump tariffs will hurt the country," April 4, 2018
  56. ↑ 56.0 56.1 56.2 The Wall Street Journal, "China Tariffs Threaten U.S. Cars, Planes and Soy in Response to Trump," April 4, 2018
  57. ↑ Twitter, "Donald J. Trump," April 4, 2018
  58. ↑ 58.0 58.1 WhiteHouse.gov, "Statement from President Donald J. Trump on Additional Proposed Section 301 Remedies," April 5, 2018
  59. ↑ 59.0 59.1 The Wall Street Journal, "Trump Weighs Tariffs on $100 Billion More of Chinese Goods," April 6, 2018
  60. ↑ Twitter, "Donald J. Trump," March 6, 2018
  61. ↑ Twitter, "Donald J. Trump," March 6, 2018
  62. ↑ 62.0 62.1 62.2 USTR.gov, "New U.S. Trade Policy and National Security Outcomes with the Republic of Korea," March 27, 2018
  63. ↑ 63.0 63.1 The Wall Street Journal, "U.S. Wins ‘Modest’ Trade Concessions From South Korea," March 26, 2018
  64. ↑ The Hill, "Revamped US-South Korea trade deal tackles pharma, currency issues," March 27, 2018
  65. ↑ 65.0 65.1 The Wall Street Journal, "Trump Says He Might Hold Up South Korea Trade Talks to Pressure the North," March 29, 2018
  66. ↑ 66.0 66.1 66.2 66.3 66.4 66.5 66.6 WhiteHouse.gov, "Presidential Memorandum on the Actions by the United States Related to the Section 301 Investigation," March 22, 2018
  67. ↑ The Hill, "Trump says new tariffs, penalties on China could total $60B," March 22, 2018
  68. ↑ 68.0 68.1 WhiteHouse.gov, "Remarks by President Trump at Signing of a Presidential Memorandum Targeting China’s Economic Aggression," March 22, 2018
  69. ↑ 69.0 69.1 69.2 The Wall Street Journal, "U.S. to Apply Tariffs on Chinese Imports, Restrict Tech Deals," March 22, 2018 Cite error: Invalid <ref> tag; name "wsjapply" defined multiple times with different content
  70. ↑ The Hill, "Chinese ambassador: We're 'not afraid' of a trade war," March 22, 2018
  71. ↑ WhiteHouse.gov, "President Trump Approves Section 232 Tariff Modifications," March 22, 2018
  72. ↑ WhiteHouse.gov, "Presidential Proclamation Adjusting Imports of Steel into the United States," March 22, 2018
  73. ↑ The Hill, "Defying GOP, Trump orders steel and aluminum tariffs," March 8, 2018
  74. ↑ Politico, "Trump readies tariffs with few exceptions," March 8, 2018
  75. ↑ The Hill, "China files trade case at WTO over Trump's steel and aluminum tariffs," April 10, 2018
  76. ↑ 76.0 76.1 76.2 WhiteHouse.gov, "Remarks by President Trump in Listening Session with Representatives from the Steel and Aluminum Industry," March 1, 2018
  77. ↑ Politico, "Trump blasted at home and abroad for plan to impose steel, aluminum tariffs," March 1, 2018
  78. ↑ The Wall Street Journal, "Trump’s Steel-Tariffs Plan Rattles GOP Lawmakers," March 2, 2018
  79. ↑ 79.0 79.1 79.2 USTR.gov, "President Trump Approves Relief for U.S. Washing Machine and Solar Cell Manufacturers," February 22, 2018
  80. ↑ 80.0 80.1 80.2 80.3 80.4 80.5 The Hill, "Trump slaps tariffs on imported washing machines, solar panel technology," January 22, 2018
  81. ↑ CNN, "Trump administration vs. Chinese trade: Explained," August 14, 2017
  82. ↑ The Hill, "Trump signs memo on Chinese trade practices," August 14, 2017
  83. ↑ Reuters, "U.S., China agree to first trade steps under 100-day plan," May 12, 2017
  84. ↑ Forbes, "Trump's Trade Deal 'Win' With China: Fake News?" May 14, 2017
  85. ↑ The Washington Post, "Trump signs ‘Buy American, Hire American’ executive order, promising to fight for American workers," April 18, 2017
  86. ↑ The New York Times, "Trump Signs Order That Could Lead to Curbs on Foreign Workers," April 18, 2017
  87. ↑ The White House, "Presidential Executive Order on Buy American and Hire American," April 18, 2017
  88. ↑ The Guardian, "Trump to withdraw from Trans-Pacific Partnership on first day in office," accessed November 22, 2016
  89. ↑ 89.0 89.1 WhiteHouse.gov, "Presidential Memorandum Regarding Withdrawal of the United States from the Trans-Pacific Partnership Negotiations and Agreement," accessed February 9, 2017
  90. ↑ NAFTA Secretariat, "North American Free Trade Agreement," accessed November 22, 2016
  91. ↑ Office of the United States Trade Representative, "The Trans-Pacific Partnership," accessed February 3, 2016
  92. ↑ Medium.com, "The Trans-Pacific Partnership: Preamble," accessed February 3, 2016
  93. ↑ ABC News, "Trump and Trade: How the President-Elect Could Tear Up TPP and Nix NAFTA," accessed November 20, 2016
v • e
President Donald Trump's policies
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Domestic policy
Economic affairs and regulations
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