Tariffs are a trade policy tool that governments can raise to increase the cost of imports and to pressure trading partners in negotiations.
October 31, 2025
high
general
Tariff adjustments are commonly used to influence trade balances and negotiation leverage.
When manufacturing capacity exceeds domestic demand in industries, it can trigger price wars and prompt firms to boost exports, which can increase trade tensions with trading partners.
October 24, 2025
high
economic
Overcapacity can depress prices and incentivize companies to seek external markets, potentially affecting international trade relations.
Governments sometimes use tariffs as a policy tool to pressure trading partners to change trade practices that are perceived as unfair.
October 21, 2025
high
policy
Describes a common trade policy approach for addressing perceived unfair practices.
When governments and trading partners fail to reach a trade agreement, higher tariffs can be imposed on exports destined for the partner country.
September 23, 2025
high
general
Mechanism linking trade negotiation outcomes to tariff policy