Legal and Political Analysis of Donald Trump's Trade War Against China, Canada, and Mexico from the Perspective of International Relations

Document Type : Research

Authors

1 Department of Politics and International Relations, Ha.C., Islamic Azad University, Hamedan, Iran .

2 Ph.D. Student of Public International law, Department of Law, Hamadan Branch, Islamic Azad University, Hamadan, Iran.

Abstract

In recent decades, globalization and the expansion of international trade have become key features of the global economic system. However, with the start of Donald Trump’s trade war against China, Canada and Mexico, these relations were severely affected. Trump’s trade war, which intensified through the imposition of tariffs and trade barriers on imports and exports involving China, Canada, and Mexico, created new economic and political tensions in the global arena. Examining the causes, consequences, and legal challenges associated with this trade war is particularly important because its effects directly influence trade structures, international relations, and the global order. A trade war refers to economic and commercial tensions between countries that can arise from various factors, such as trade imbalances, economic interests, and security concerns. During Trump’s presidency, the United States focused on establishing a trade balance with China and sought to protect domestic industries and create jobs by imposing high tariffs. The present study, conducted using a descriptive-analytical approach, attempts to answer the question of what effects Trump’s trade war against China, Canada, and Mexico has had on international relations and global trade structures. The results of the study indicate that Trump’s trade war not only caused economic and political damage to the countries involved but also created serious challenges in the field of international trade law and international cooperation.

Introduction

The trade war strategy reflected Trump’s ideology of “America First,” emphasizing economic nationalism and the re-evaluation of traditional alliances while simultaneously creating space for the escalation of geopolitical tensions. The trade conflict significantly affected economic and diplomatic relations, as the imposition of tariffs and retaliatory measures strained relations with key trade partners. In particular, the nature of U.S.–China relations were characterized by increased suspicion and competitive posturing, raising concerns about issues such as intellectual property theft and national security.
     Relations with Canada and Mexico also faced challenges, as the United States sought to address broader issues such as drug trafficking and immigration, complicating efforts to reach joint trade solutions in North America. The legal frameworks governing international trade, including the principles of the World Trade Organization, as well as U.S. legal authorities, were tested as the Trump administration adopted a broad interpretation of national security to justify tariffs and trade restrictions. Reliance on Sections 301 and 232 of the U.S. Trade Act reflected a deviation from established norms and raised questions about the long-term sustainability of the global trading system.
     The controversies surrounding Trump’s trade war sparked extensive discussions among economists, policymakers, and the public, with critics warning about potential adverse effects on global economic stability and domestic employment. The complex interplay between economic incentives, national security concerns, and public sentiment redefined trade policies and their implications for international relations, highlighting the need for a nuanced understanding and diplomatic engagement in an increasingly interconnected world. Trade relations between the United States and its North American neighbors, Canada and Mexico, have undergone significant transformation in recent years, particularly under Trump’s trade policies.

Theoretical Framework

Trade wars have a long and complex history, often reflecting deeper economic, political, and geopolitical tensions between nations. Economic theories of trade can generally be categorized into those supporting free trade and those advocating protection of domestic industries. Proponents of free trade, influenced by thinkers such as Adam Smith and David Ricardo, emphasize the benefits of open markets and minimal government intervention in trade. They argue that free trade enhances efficiency and stimulates economic growth by allowing countries to specialize according to their comparative advantages.
     In contrast, protectionist theories emphasize the need to shield domestic industries from foreign competition. Advocates of protectionism argue that tools such as tariffs, quotas, and subsidies can protect emerging industries and jobs while safeguarding national security. The infant industry argument suggests that new sectors may require temporary support to become globally competitive, while strategic trade theory proposes that government intervention can help correct market failures.
     Trade wars and protectionist policies have increasingly become central strategies in global economic relations, influencing trade flows, supply chains, and overall economic stability. Historical examples such as the Smoot-Hawley Tariff Act during the Great Depression and recent trade disputes between the United States and China illustrate the disruptive nature of trade wars, as they intensify tensions and create uncertainty in global markets. Protectionist tools also include quotas, which limit the amount of specific goods that can be imported. While they may offer short-term benefits, they often provoke retaliation and can negatively affect consumers, making their overall economic impact uncertain.
     Historically, mercantilism from the 17th to the 18th centuries dominated economic thought, advocating high import tariffs to protect domestic industries and promote exports. This approach was exemplified by countries such as England, which imposed tariffs to support its manufacturing sectors. Later economic theories, such as Ricardo’s concept of comparative advantage, gained prominence in modern trade discourse. Some countries, particularly in East Asia, have pursued a neomercantilism strategy, combining aggressive export promotion with controlled reductions in import barriers to support domestic industries.

Methodology

This research is theoretical in nature. The research method is descriptive-analytical, and information was collected through library research, including books, academic articles, and other scholarly sources.

Results and Discussion

Trump’s trade war, due to price fluctuations and disruptions in supply chains, increased costs for both American producers and consumers. Many industries, particularly in the technology and agricultural sectors, faced serious challenges. Economic data analysis shows that the imposition of tariffs had significant effects on U.S. exports and imports. For example, the steel and aluminum industries experienced rising raw material costs, while agricultural exports to China declined as a result of retaliatory tariffs.
     By imposing tariffs and trade restrictions, the United States crossed several boundaries in relation to the rules of the World Trade Organization. The legal challenges arising from Trump’s trade war highlight the need for reforms in international trade regulations. Such reforms should not only address existing limitations but also strengthen multilateral cooperation and more accurately anticipate economic and social consequences in legal frameworks.
     Political developments resulting from Trump’s trade war also led to significant changes in U.S. foreign policy and its relations with other countries. With the slogan “America First,” Trump sought to revise U.S. trade and diplomatic relations.

Conclusions and Suggestions

Trump’s trade war against China was driven, on the one hand, by economic competition, asymmetric trade relations, and allegations of intellectual property theft, and on the other hand, it served as a political tool to gain support and strengthen nationalism. The trade war generated tensions and dissatisfaction within the international community, and its consequences continue to be felt in economic and political cycles.
     The renegotiation of NAFTA, the shift toward economic nationalism, and rising political and social tensions influenced Trump’s trade decisions and strained U.S. relations with these countries. Trump’s trade war not only affected the U.S. economy but also marked a transformation in the country’s trade and international policies. The changes in U.S. foreign policy reflect significant shifts in its international relations, particularly in its interactions with China and other nations.
     At the domestic level, the economic consequences of the trade war affected industries under pressure as well as voters, ultimately contributing to social dissatisfaction and shifts in political behavior. China’s responses also demonstrated the country’s strategic capacity in addressing these challenges. By taking advantage of the circumstances created by the trade conflict, China strengthened its global economic position and expanded its international engagement.
     A closer analysis of the political consequences of Trump’s trade war against Canada shows that it affected not only historical, economic, and diplomatic relations but also social dynamics. Similarly, the trade war with Mexico produced deep and wide-ranging economic, political, and social consequences. With the implementation of economic reforms in response to the United States–Mexico–Canada Agreement, Mexico faced internal and external tensions and shifts in regional interactions, placing the country in a complex position.
Ethical Considerations
Not applicable
Funding
Not applicable
Conflict of interest
The authors declare no conflict of interest

Keywords

Main Subjects


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