Weathering the Storm: US Trade Policy Beyond Trump

Abstract

The liberal international trading system has underpinned decades of unprecedented globalization. Yet the imposition of across-the-board and country- and sector-specific tariffs by the second Trump administration in early 2025 has reignited debates over the system’s survival. We challenge the notion that the regime is on the brink of collapse. Drawing on historical patterns of United States trade policy, we argue that US engagement with global commerce has mostly been eclectic, characterized by the coexistence of protectionist and liberal impulses. We show that the system has demonstrated resilience and an ability to adapt to challenges resulting from this eclecticism. While current US trade actions are unprecedented since World War II, we present three reasons to expect a return to the traditional US approach to trade policy. We therefore argue that, despite the protectionist turn and the disruptions created by current US trade policy, predictions about the death of the system underestimate its adaptive flexibility and are thus premature.