Trade Talks

Soumaya Keynes, a Financial Times journalist and host of The Economics Show, joins to dissect President Trump’s April 2 tariff announcement. They explore the implications of new tariffs on imports, including a surprising 10% levy affecting various goods. The discussion highlights the controversial tariff formula aimed at reducing the trade deficit and its potential consequences for smaller nations. Insights on the legal dynamics surrounding these policies and their unexpected effects on trade with Asian countries reveal the complex nature of current trade negotiations.

Nobel Laureate Paul Krugman, a distinguished professor at CUNY, shares his insights on trade dynamics and industrial policy. He dives into the lessons from agglomeration economies and examines the economic differences between Europe and the U.S. The revival of industrial policy, driven by national security and environmental concerns, is also discussed. Krugman critically analyzes Trump’s trade policies, highlighting the complexities and negative impacts of tariffs on the economy. His expertise sheds light on the evolving landscape of global trade.

A potential US-Ukraine critical minerals agreement is only the latest effort to address security concerns over US sourcing of critical minerals from China. America’s previous top diplomat for critical minerals, Geoff Pyatt (former Assistant Secretary of State, former US ambassador to Ukraine) joins to explain (33.47).

Europe had a rocky ride during President Trump's first term, but it was largely spared from significant tariffs. The world is different this time around. Former European Commission trade official Rupert Schlegelmilch joins to explain (34:32).

Shipments of small packages from China have skyrocketed, but the de minimis policy that excludes them from tariffs may end. Chris Casey (Congressional Research Service) joins to explore the history of the US de minimis policy and Amit Khandelwal (Yale University) shares economic research into the question of what happens if the policy ends (37:33).

President Trump first imposed tariffs on steel and aluminum in 2018, but this time it's different. Ana Swanson (New York Times) joins to explain (32:23).

Tariffs from the new President call for an emergency relaunch of the longstanding trade podcast. Aime Williams (Financial Times) joins to explain what happened with Canada, Mexico, and China (29:50). Read more…

Goodbye for now, as old friend Soumaya Keynes joins Chad Bown to discuss why and what comes next.

The USMCA was supposed to prevent workers from being mistreated at Mexican factories. How is it working so far?

When customs officials in Madagascar cheated their country out of tax revenues, economists caught them. But the fight is not over yet.