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Trump tariffs: round two would be more damaging

Donald Trump’s previous tariffs did surprisingly little damage to China’s economy, but China may find it harder to shrug off the damage in a rematch. Mr Trump is threatening larger tariff increases if he is elected again. And the factors that cushioned the impact last time – currency depreciation and tariff evasion – would probably provide less protection. Another round of tariffs may also accelerate the still-nascent shift of production out of China.

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