As the 2024 presidential election takes shape, policymakers around the world are planning for the next U.S. president and the ramifications of his or her policies for each country’s future. The only presidential debate between the two candidates gave us a flavor of some of their potential economic policies—but there is one area where the current rhetoric paints a grim picture: international trade.
The first Trump presidency upended U.S. trade policy by using every potential policy lever to shift the longstanding position of the U.S. on free trade into a more nationalist and populist platform. The brain trust formed by Ambassador Robert Lighthizer and trade advisor Peter Navarro led the fight against China, introduced tariffs on key U.S. allies, and opened renegotiations on the longstanding NAFTA agreement. These policies aimed at countering the growing presence of China and creating an industrial policy to bring back U.S. industries that were seen to have been eroded by international competition.
