Trump Administration Tariffs on Chinese Products.docx -...

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Trump Administration Tariffs on Chinese ProductsPrinciples of Economics
Trump Administration Tariffs on Chinese ProductsIn early 2018, the Trump administration in the United States of Americaannounced that it would impose tariffs on a number of goods in order tomake its local industries more competitive. The primary target of these tariffswas aimed at Chinese goods, which the administration saw as a threat. Itbegan with the imposition of tariffs on steel and aluminum, and subsequentlytechnology, machinery, chemicals, apparel, food, and many more.Comparisons on the effects of this protectionism policy on the industry andcompanies will be conducted to see the outcomes before and after itsenactment. Analyses of microeconomic principles and applications will beconducted on the basis of the research.Trade PolicyIn early 2018, current US President, Donald J. Trump, announced thattariffs will be imposed on imports of specific products most of which arefocused on Chinese imports. In March 2018, President Trump announced thatstiff tariffs would be imposed on steel and aluminum imports in order torevive the American steel industry and create more jobs for Americans(Swanson, 2018). In subsequent months it was further announced that thetariffs will extend to numerous other products from raw materials tointermediate and finished goods. Though the tariffs were predominantlyaimed at Chinese products, other countries were also included in the blanketwide tariff imposition, some countries were later excluded from this policysuch as Canada and Mexico (York, 2019).2
Trump Administration Tariffs on Chinese ProductsPresident Trump has noted that China has been using unfair tradepractices and infringing on intellectual property rights to its advantage.Chinese sponsored companies are dumping cheap steel into the UnitedStates (US), undercutting US steel companies and leaving them unable tocompete (Swanson, 2018). China does not offer the same level of ease ofconducting business to American companies operating in China; the Chinesegovernment requires US companies to partner with Chinese companies anddivulge intellectual property and trade secrets which gives them acompetitive advantage (Swanson, 2018).The five (5) American industries and/or businesses that were hithardest by the Trump tariffs include: the retail industry, food andagribusiness, manufacturing and suppliers, tech and telecom, and clothingand footwear (Layne, 2019). Steel and aluminum products were the first ofmany products that the Trump administration was to impose tariffs upon.Other products included solar panels, washing machines, bulldozers, tractorsand other agricultural heavy machinery, meat, fish and seafood, non-meatproduct, tobacco, and electronic, to name a few (Heeb & Bryan, 2019).

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Term
Fall
Professor
Nikhilesh Sinha
Tags
Supply And Demand, Donald J Trump, Trump administration tariffs

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