DeepSummary
The episode discusses how President Biden has unexpectedly continued and even expanded on former President Trump's confrontational trade policies towards China, despite the consensus among economists that Trump's approach of imposing tariffs was ineffective. Biden's goal is not just to compete with China, but to ensure the US dominates the clean energy and green technology industries of the future.
Biden has kept Trump's tariffs on Chinese imports in place, and is even raising them on electric vehicles and other green technologies to protect American manufacturers from being undercut by cheaper Chinese products flooding the market. He is also providing subsidies and incentives to boost US production in these key industries, aiming to replicate China's strategy of supporting its domestic industries with state backing.
Additionally, Biden is working to build an international coalition of allies to coordinate policies against China's trade practices and limit China's access to global markets for green tech. While Trump's trade war was viewed as disruptive and economically harmful, Biden's more targeted approach represents a significant shift in Democratic trade policy, reviving elements of past industrial policy aimed at cultivating domestic manufacturing capabilities.
Key Episodes Takeaways
- President Biden has maintained and expanded Trump's tariffs on Chinese imports, contrary to expectations
- Biden's goal is to ensure US dominance in clean energy and green technology industries
- He is protecting and subsidizing US manufacturers in these sectors to compete with China
- Biden is forging an international coalition to coordinate policies limiting China's access to global markets
- His approach represents a revival of past American industrial policy focused on bolstering domestic manufacturing
- Economists question the effectiveness of Biden's protectionist trade measures
- Biden's policies mark a significant shift from traditional Democratic free trade policies
- Political incentives make it likely future presidents will continue a confrontational approach to China
Top Episodes Quotes
- “Biden is trying to beat China in a specific race to own the clean energy future.“ by Jim Tankersley
- “Biden wants to reduce emissions while boosting american manufacturing jobs. He doesn't want China to get a monopoly in these areas.“ by Jim Tankersley
- “He's essentially using tariffs to build a fortress right around american industry so that he can train the troops to fight the clean energy battle with China.“ by Jim Tankersley
- “Biden is doing something different. He's breaking from that democratic tradition and he's building on what Trump did, but with some throwback elements to it from, like, the Roosevelt administration and the Eisenhower administration.“ by Jim Tankersley
- “The political incentives are pushing every future american president to do more of that. So I think we are going to see even more of this going forward.“ by Jim Tankersley
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Episode Information
The Daily
The New York Times
5/13/24