The legal confusion over tariffs has buffeted U.S. trading partners around the world, casting doubt on the durability of Trump’s favorite bargaining tool.

The ongoing trade tensions between the United States and China have reached a critical point, with both nations entrenched in a complex web of accusations and strategic maneuvers. President Trump has publicly stated that China lacks leverage in the ongoing tariff negotiations.

The Trump administration’s global trade agenda is under renewed pressure as talks with China and the EU falter, according to Bloomberg. Tensions between the U.S. and China escalated after Beijing accused Washington of violating a recent tariff truce and warned of potential retaliation.

Economic growth will slow this year and next as the trade war hampers development in the United States and around the world, the Organization for Economic Cooperation and Development said.

US President Donald Trump’s combative trade policies are hurting global economic growth, with the US among the hardest hit, according to the OECD. The Paris-based organization slashed its outlook for the second time this year,

The recent decision by President Donald Trump to double tariffs on steel and aluminum imports from 25% to 50% marks a significant shift in US trade policy. This move, effective from June 4, 2025, is seen as an effort to strengthen the domestic steel industry and protect national security.