U.S. Doubles Down on Trump-Era Tariffs—No Quick Relief for Allies in Sight

Washington plays hardball—tariffs stay, allies sweat.

No exceptions, no apologies: The Biden administration just signaled it’s keeping Trump’s trade war playbook intact. Allies hoping for a break? Keep waiting.

Global supply chains brace for more turbulence as the U.S. refuses to fold. Meanwhile, Wall Street shrugs—because nothing says 'risk management' like betting on political volatility.

White House shifts from flexible tariff deals

The WHITE House was more flexible in the earlier rounds of trade talks this year. For example, while negotiating with the European Union, the administration agreed to cut tariffs in half on steel and agricultural imports from Europe in return for reductions in some of the proposed tariffs. Greer said that the current tariff height should not be perceived similarly.

Greer said that the current situation was not akin to past talks, noting a formal European Union deal on the table. According to him, reasons like trade imbalances and national economic priorities led the US to start anew with tariffs. It is something that he acknowledged, the last team did, and rubbed it in, saying the previous approach WOULD not work this time.

Trade analysts said the current policy represents a more disciplined posture in Trump’s second term. The administration has been more deliberate in advancing “America First” economic strategies, designed to bring foreign governments to heel by offering concessions or enduring perpetual tariff escalation.

Several of its trading partners, including Canada and India, have threatened to retaliate. However, Greer muted the possibility of a trade war on a worrying level, saying that the US is open to talks, not striving to give up its stance.

US deepens engagement with China on rare earths

While the tariffs remain locked in place for several countries, Greer expressed Optimism about the direction of US-China trade relations—particularly in the critical area of rare earth materials.

He said the United States had engaged positively with China and emphasized that the focus was on maintaining a steady FLOW of rare earth magnets and minerals from China. He noted that this supply chain was critical for the country’s technology and defense industries.

Rare earth magnets are used in everything from smartphones to electric vehicles and missile systems. China controls over 80% of the global supply, making stable trade in this sector a high priority for Washington.

Greer said they will be concerned that they are still halfway from returning things to the level of trade Flow during pre-tension times. He added that both the US and China have agreed to have ongoing conversations.

Trade watchers say it’s a shift in strategy to go after China. The United States has been less heavy-handed with Beijing than others. This month, it only had one set of across-the-board tariffs on commodities comparable to beef, against Ireland, the kind involved in a potentially lethal conflict.

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