The more President Donald Trump threatens tariffs on the US’s trading partners, the more the worry of another inflation wave troubles global economists.

China, Russia and other countries have developed retaliatory options that could deeply hurt America’s economy and standard of living.

I F DEALMAKING MEANS threatening catastrophe in order to win small gains, then Donald Trump is the master of the art. Having threatened Canada and Mexico with 25% tariffs which would have imperilled the carmaking that criss-crosses North America’s borders,

The U.S. trade deficit widened sharply in December as imports surged to a record high against the backdrop of tariff threats.

The trade deficit surged in December and the U.S. finished 2024 with the second largest gap ever, perhaps in part because some businesses sought to bring in more imports before President Trump raised tariffs.

The U.S. trade deficit grew again at the end of last year as exports slipped, widening a gap the new administration has vowed to address. Imports increased 3.5% on the month in December, while exports fell 2.

China filed a World Trade Organization complaint on Wednesday against U.S. President Donald Trump's new 10% tariff on Chinese imports and his cancellation of a duty-free exemption for low-value packages,

China has accused the US of making "unfounded and false allegations" about its role in the fentanyl trade to justify tariffs on Chinese products. The complaint was lodged with the World Trade Organization (WTO) one day after US President Donald Trump raised border taxes on Chinese goods by 10%,

China alleges that the tariffs are based on unfounded and false allegations, and are in excess of the U.S.’s bound rates in a tariff agreement from 1994.