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Showing posts with the label tariffs

New (Global) Order?

This is a good perspective that has helped me have a clearer picture. The tariffs are not a response to the decline of American capitalism. The legitimation crisis from which Trumpism emerged was a result of the  strength  of American capital, not its decline. Trump claims that the  result of concessions made by prior administrations in order to bring other states into the US-led system have diminished American economic and political supremacy. A plan that would involve pushing finance off its pedestal and replacing it to some extent with domestic manufacturing. Globalization cannot simply be reversed at the stroke of a pen. Its unravelling would involve much more than simply imposing tariffs*; it would require an array of capital controls as well as a comprehensive industrial policy – measures that would constitute a more serious challenge to the dominant fractions of capital than anything Trump is willing to contemplate. Tariffs on their own are insufficient to r...

How China’s Record Trade Surplus Helped Spark Trump’s Tariff War

Blaming China is part of finding-someone-to-blame tradition. The Muslim, the migrant, the Russian, the unions, the West vs. 'Islam', etc. Years of stagnation, decline in competition with China, rentier economies inabilities to resume capitalist growth after 2008/2009, etc. have created tensions among capitalist states. Forget the cheap goods enjoyed by Westerners for years. Forget the billions made by Western multinationals in China.  US's protectionism and relative decline is just one of the outcomes of 'globalisation'. China is now a demon and the 'the innocent West’ is a victim that must do something to stop its relative economic decline/stagnation. Rearmament is meant for China, not Russia .  “Structurally, this crisis is one of overaccumulation.  Chronic stagnation places mounting pressure on the political and military agents of transnational capital to crack open new spaces of accumulation.”  Meanwhile, let's focus on Trump's unpreditable decision...
As Trump raises tariffs on Chinese goods (again) , a big picture of world trade since mid-19th-century is very useful. After a historical level of a 'globalisation' wave/openess, the U.S. sees its hegemony threatened and its power in relative decline vis-a-vis the rising of new powers like China. Thus it wants reassert itself. That makes the possiblities of conflicts in the coming decade higher. World trade and capitalism