Firms Fight Back: Production Networks and Corporate Opposition to the China Trade War

31 August 2020, Version 1
This content is an early or alternative research output and has not been peer-reviewed at the time of posting.

Abstract

The Trump administration's multi-front trade war dramatically escalated with the imposition of extraordinary tariffs on Chinese imports in 2018. Corporate America has responded with a concerted campaign of resistance. We document these efforts -- through extensive participation in notice and comment and public coalition-building -- and show that corporate opposition to the trade war derives from reliance on sourcing and production ties to China. In contrast, we find far weaker efforts by anti-trade firms to support the trade war, whether to insulate themselves from import competition or to confront Chinese trade practices. We therefore describe and empirically illustrate the politics of global production networks, and highlight that scholars of trade politics should not neglect opposition to the Trump trade agenda arising from globally integrated firms. Global order in the area of trade hangs in the balance in an ongoing fight between corporate globalism and populist nationalism.

Keywords

trade politics
offshoring
globalization
interest groups
China

Comments

Comments are not moderated before they are posted, but they can be removed by the site moderators if they are found to be in contravention of our Commenting Policy [opens in a new tab] - please read this policy before you post. Comments should be used for scholarly discussion of the content in question. You can find more information about how to use the commenting feature here [opens in a new tab] .
This site is protected by reCAPTCHA and the Google Privacy Policy [opens in a new tab] and Terms of Service [opens in a new tab] apply.