Trump administration trade policies are alienating allies and hampering U.S. attempts to counter China, Senate Foreign Relations Committee Democrats charge in a new report that says tariffs also are hurting the U.S. defense industrial base.
The minority members say their 91-page report, “The Price of Retreat: America Cedes Global Leadership to China,” was informed “by committee travel to Asia, Africa, Latin America and Europe, interviews with aid workers, subject matter experts, foreign officials and open-source research.” It says Trump policies, including tariffs, are “chipping away” at alliances, making the U.S. less secure and heightening the risks of “devastating conflict.”
“Ceding key export markets allows China to box out American workers, manufacturers, and other businesses and allows China to write unfair rules of the road for global trade,” the panel’s Democrats say in a foreword.
The report devotes several pages to trade policy, contending that the U.S. is best positioned to challenge China when it closely coordinates with allies -- but charging that the Trump administration’s tariff policies are undermining its ability to ensure a unified front.
President Trump’s “so-called ‘reciprocal’ tariff policy imposes tariffs on allies and adversaries alike, which severely undermines the United States’ ability to build off these examples and coalesce our allies and partners around challenging Beijing,” it states.
While Treasury Secretary Scott Bessent has said the U.S. and its allies should finalize bilateral trade deals and then approach China “in unison,” the administration has yet to secure promised agreements and is continuing to threaten high tariffs, the Senate Democrats say. “These actions hamper any American attempts to build a united coalition to counter Beijing and leaves Americans and international partners alike wondering if the future of the global economy will be written by Washington or Beijing.”
In addition, tariffs “are causing immediate harm to the U.S. defense industrial base,” they write. “Tariffs against steel and aluminum have increased lead times for parts and components that are critical for U.S. weapons systems, including the F-16 program, the High Mobility Artillery Rocket Systems (HIMARS) and other systems critical for U.S. military preparedness.”
Trade policies also are “forcing” other countries to assess whether to draw closer to China, the report contends.
“Ultimately, America’s strategic advantage over our adversaries is our network of alliances and partnerships,” the report concludes. “The Trump Administration’s tariff policies and their devastating impact on economic partnerships risk undermining this advantage. When these policies push our allies and partners closer to China, we should not be surprised to see Beijing ready to welcome them with open arms.”