Economists: Situation could change quickly as Pres. Trump doubles down on trade with China

President Trump is doubling down on his efforts to level the playing field on trade, including doubling the tariff rate on China.

Arlan Suderman with StoneX says China is a unique trade partner but notes the President has no time to waste.

“The thing to understand about China is they value relationship negotiations. You may have different values than I do, but if we have a relationship of respect, we can do business. So, President Trump focused on that during his first term, speaking very respectfully on Xi Jinping, and so, as a part of that Chinese culture, they like to negotiate face to face. But they kept dragging things out, and they forced Trump into 13 face-to-face negotiations, Trump and his team, and that drug it out for several years and bought time for China, and Trump’s saying, ‘This time, I don’t have that kind of time.’”

Suderman says Trump might also feel like he has the momentum right now. China’s economy is struggling far worse than it was in Trump’s first term, leaving them particularly vulnerable. Trump doubled their tariff rate to 20 percent this week after a previous 10 percent last month.

Related Stories
While the U.S.-China framework for soybean trade is in place, Ohio farmer Chris Gibbs tells us he will believe it when he sees it.
The Court may limit emergency tariff powers, complicating a key bargaining tool; ag could see shifts in input costs and export dynamics as China, Brazil, and India talks evolve.
U.S. sugar producers and processors should brace for price pressure and challenging export logistics with global sugar supply ramping up — driven by Brazil, India, and Thailand — especially at the raw processing level.
Host of RealAg Radio Shaun Haney discusses how the proposed reductions to agriculture programs in Canada’s new budget could affect research and support programs that farmers need.
The Farm Bureau urges trade enforcement, biofuel growth, fair input pricing, and pro-farmer policy reforms to restore long-term certainty.
A SCOTUS ruling on Trump’s tariffs could have long-term implications on the authority of future administrations to control U.S. trade policy, according to RFD-TV legal expert Roger McEowen.

LATEST STORIES BY THIS AUTHOR:

In a post to social media, Trump said Venezuela will buy American agriculture products and will use the money from oil sales to make it happen.
Federal nutrition policy is signaling a stronger demand for whole foods produced by U.S. farmers and ranchers. Consumer-facing guidance favors animal protein, but institutional demand may change little under existing saturated fat limits.
Farmer Bridge payments are being used primarily to reduce debt and protect cash flow, not drive new spending. Curt Blades with the Association of Equipment Manufacturers joined us to provide insight into the ag equipment market and the factors influencing sales.
Wed, 1/21/26 – 7:30 PM ET
University of Nebraska President Dr. Jeffrey Gold joined us to share insights on building healthy habits and improving rural health in the year ahead.
Dr. Rosslyn Biggs with the Oklahoma State University Center for Rural Veterinary Medicine shares insight into biosecurity, preparedness, and animal health concerns facing livestock producers as New World screwworm outbreaks continue in Mexico.