It comes as no surprise China has been a major focus point of the second Trump administration. One of the key reasons for this focus is the increasing national security concerns over technology. In particular, the smuggling of AI chips, which China intends to use in developing advanced AI systems for military purposes and surveillance.
Question 1: How are you advising businesses in your jurisdiction when protecting themselves from the impact of trade wars and sanctions, and what strategies can professional services firms offer to mitigate these risks?
If I heard it once, I’ve heard it a thousand times, China is the sourcing capital of the world. I’ve also repeated this statement at least 400+ times in many conversations over the years regarding global trade. China, it’s also where the global market goes for rare earth minerals, among thousands of other necessary elements for a veritable plethora of life’s essential things.
On April 2, 2025, President Trump announced reciprocal tariffs, setting a baseline rate of 10% on imports from all countries, with higher rates on dozens of countries which the United States (U.S.) runs trade deficits. Specifically, Trump imposed a 34% tariff on all Chinese imports in response to China’s 67% tariff and non-tariff barriers on U.S. exports, aiming to address what he sees as an unfair trade imbalance.
Since Trump’s first term, tensions between the United States and China, the world’s two largest economies, have been on the rise. President Trump ran for his second presidential term on a promise to reduce reliance on China – and promise kept. In one of his first Presidential actions, President Trump issued an “America First Trade Policy” memorandum dedicating an entire section to trade relations with China. Since then, several tariffs have been imposed on Chinese goods and the duty-free de minimis treatment for goods valued at $800 or less ended.
In a recent Federal Register notice the Bureau of Industry & Security (BIS) of the Department of Commerce announced that “On May 1, 2025, the Secretary of Commerce initiated an investigation to determine the effects on the national security of imports of commercial aircraft and jet engines, and parts for commercial aircraft and jet engines. This investigation has been initiated under section 232 of the Trade Expansion Act of 1962, as amended (Section 232).” The investigation may take up to 270 days but it can be concluded sooner.
Since Bitcoin’s creation in 2008, cryptocurrencies and traditional assets have largely existed in parallel. In our previous exploration of Real World Assets (RWAs) (Assessing the Benefits and Challenges of Tokenizing Real World Assets, February 7, 2024), we identified how the lack of reliable bridges between on-chain and off-chain ecosystems has constrained the transformative potential of blockchain technology.
Several lawsuits challenging the legal validity of the tariff actions taken by President Trump since he took office on January 20, 2025, are in process of moving through the federal courts. They raise a variety of important jurisdictional and constitutional questions and seem poised to lead to challenges in federal circuit courts and the Supreme Court.
On May 8, 2025, the United States and United Kingdom (UK) unveiled the new trade terms of an “economic prosperity” deal. This deal comes after President Trump imposed a 10% reciprocal tariff on all products from the UK and additional tariffs on steel and aluminum, and automobiles and automobile parts. While the 10% reciprocal tariff will remain in effect, the two countries were able to agree on alternative arrangements for steel and aluminum, automobiles, and other strategic sectors.
On May 28, 2025, the United States’ Court of International Trade (CIT) struck down the President’s use of the International Economic Emergency Powers Act (IEEPA) to impose tariffs. This includes tariffs imposed on Canada, China, and Mexico in response to the fentanyl crisis at U.S.’ borders and reciprocal tariffs imposed on almost all foreign imports on April 2, 2025. The Government immediately appealed the decision to the U.S. Court of Appeals for the Federal Circuit (CAFC).
At a glance, gauging where we stand in our relationship with China overall, one would assume the key operative word in most descriptions would be “dismal” at best. This is of course accurate to a certain extent but looking at trade and commerce between the two countries, let’s take a look at the largest retailer in the U.S. as Walmart gives us a prime example of where we stand regarding unity as nations.
On September 15th, 2024, the Mexican Congress published on the Diario Oficial de la Federacion (Mexican Official Gazette) a decree to amend, add, and abolish several provisions of the Mexican Constitution regarding the Judicial Power. This reform, as it is being called, is one of the major changes to the Mexican Judicial System and has been met with heated debates by opponents who fear it will put the balance and separation of power at risk as it will result in a weakened and deteriorated judicial system overpassed by the legislative and executive powers.
Not only are shipments under $800 exempt from duty but they are also exempt from Section 301 duties on Chinese products, Consumer Product Safety Commission requirements, import quotas and other requirements. Although they are supposed to be subject to Antidumping and Countervailing duty and Food & Drug Administration requirements, many low value shipments pass through the system without meeting these requirements.
Decentralized Autonomous Organizations (DAOs) are a novel form of governance for blockchain-based protocols. Unlike traditional companies or non-profits, DAOs are member-controlled organizations that operate without a central authority or hierarchical management. Instead, DAOS use smart contracts, often on the Ethereum blockchain. DAOs often use governance tokens to enable members to vote on proposals, make collective decisions about the organization’s operations, treasury, and future development.
The union and management teams reached a settlement agreement that was announced on October 4, 2024 to end the port strike. The settlement does not resolve the issues, but extends the master contract to Jan. 15, 2025, to allow the sides to negotiate outstanding issues. A final agreement must be ratified by union members.
On September 27, 2024, Commerce announced its affirmative final determination in the ongoing AD / CVD aluminum extrusions investigation. On the same day Commerce also posted its Final Scope Issues and Decision Memorandum. In both, Commerce almost uniformly deferred to Petitioners in dismissing numerous comments of interested parties primarily challenging the scope of the investigation on a wide range of legal theories and practical considerations.
Historically, trade agreements have focused on reducing barriers to trade—such as tariffs and quotas—while encouraging economic integration and growth. Environmental protection was often considered a separate issue, addressed primarily through national regulations or multilateral environmental agreements like the Paris Agreement. However, recent developments suggest that trade and environmental concerns are converging, with many new trade agreements incorporating specific environmental provisions.
This is the first of a three-part series about the USMCA joint review process, focusing on China, Mexico, and competing visions of a “worker-centered” trade policy. Part one introduces the USMCA joint review process and explores how US trade policy would likely operate during Trump’s second term. Part two outlines some of the major trade issues that will be on the table during joint review, focusing on the Mexico-US relationship, and anticipates Harris’s likely approach to trade policy. Part three offers a critique of the worker-centered trade policy developed under the Biden administration, presents an alternative, and suggests new avenues for multi-stakeholder participation that Harris’s approach might create.
The US, Canada, and Finland are launching a joint partnership to build more ice-breaking ships to compete with China and Russia in Arctic. Sad but true, here we go again. Whether it’s the South China sea, or even the moon, there will be territorial disputes to challenge ownership where no ownership should actually exist. The pact aims to produce a fleet of ice-breaking ships to display a posture of power in the polar regions and enforce international norms and treaties.
A product has a country of origin of China, is not subject to China 301 duties and is eligible for USMCA benefits when imported from Canada – Whaaat!?