Trump's tariff loss and China

CHINA ADVISORY - Report 23 Feb 2026 by Andrew Collier

Trump’s loss of the right to broad control over tariffs will have a limited but important impact on China. Exports may improve marginally. Politically, the Supreme Court ruling will further convince China that the U.S. is an unstable actor and a "paper tiger". This could encourage Xi Jinping’s adventurism in the South China Sea and future plans toward Taiwan. However, domestic economic problems, along with military purges, will remain Xi Jinping’s primary focus.

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