China is well positioned to weather Trump’s trade war
Beijing has a demand problem it can solve with better macro policy. The US faces a supply shock and possible stagflation, which can only be solved by regime change.
A week of tariff trauma has left the world economy not much worse off than it was on President Donald Trump’s “liberation day”.
Trump climbed down from his most extreme reciprocal tariff threats, but we are still left with a 10 per cent minimum levy on almost all US imports, 25 per cent duties on steel, aluminium and cars, and an outlandish 145 per cent tariff on China.
