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China’s Tariff Wars: The EU Opens a New Front || Peter Zeihan

The Peter Zeihan Podcast Series

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Trade Wars: A Tug of Power

Heavy tariffs imposed by the United States and the European Union on Chinese electric vehicles signal a significant shift in trade dynamics. This initial round of tariffs, 100% from the U.S. and 50% from Europe, is poised to increase, potentially extending to parts and batteries. The aim is to prevent any Chinese influence over the burgeoning electric vehicle market, as both the U.S. and EU believe this sector is pivotal for future growth. Meanwhile, China's options for retaliation are limited due to its reliance on imported raw materials and foreign markets for economic stability. Compounded by deteriorating demographics post-COVID, China's position in these trade wars becomes increasingly precarious.

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