Tariffs, Counter-Measures, and What Comes Next in the US-China "Trade War"

A Veteran Trade Negotiator on How Bad This Could Get—and What Might Stop It

The escalating trade dispute between the United States and China has, in the view of my interview guest today, Wendy Cutler, unofficially crossed the threshold into a full-blown trade war. She is Vice President at the Asia Society Policy Institute and a longtime diplomat and negotiator at the Office of the U.S. Trade Representative. Her experience in trade policy in and out of government makes her an ideal guest for today’s episode about escalating trade tensions between the US and China.

We spoke on Friday, April 18, as both countries were rapidly imposing tariffs and counter-tariffs, measures and countermeasures. In our conversation, Wendy Cutler explains which of these actions may prove particularly damaging to both the U.S. and Chinese economies. She also breaks down China’s diplomatic response, including a recent trip by Xi Jinping to three Southeast Asian countries aimed at shoring up regional trade alliances. Finally, Wendy offers insight into how bad this trade war could get—and identifies potential offramps that might help prevent the worst-case scenarios.

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