The chaos instigated by Donald Trump’s ever-shifting tariff regime has magnified America’s increasing polarization over trade policy. Convinced that now is the moment for Democrats to adopt a clear line of attack, some influential commentators are urging the party to become the new standard bearer of general openness to global commerce.
The temptation to do just that has been reinforced by several factors. From tumbling Wall Street stocks and fracturing trade alliances to polls that show the Democratic base largely opposes Trump’s tariffs, the winds are shifting against those in the progressive camp who believe a pro-worker industrial strategy demands scaling back America’s reliance on imports. On April 8, a group of House Democrats introduced a resolution to terminate the “national emergency” order Trump used to impose the “Liberation Day” tariffs, while the recently proposed Reclaim Trade Powers Act would rescind part of the 1974 Trade Act in order to restore Congressional authority over all aspects of trade policy. The tariff furor has also prompted several anxious congressional Republicans, including Sen. Mitch McConnell, to back a narrower bill requiring congressional approval of unilateral tariffs proposed by the executive branch.
As a matter of principle, Democrats are right to try to rein in Trump’s maximization of executive prerogative over trade issues. For too long, trade policy and national industrial strategy have been delegated to the White House and the State Department, shrinking Congress’s capacity to address developmental challenges for distressed regions, promote and oversee new industries, and determine the appropriate scope of trade measures. Combined with renewed support for the Protecting the Right to Organize (PRO) Act and bolder developmental policies, this reclaimed authority could be an opportunity to re-democratize the economy.
The danger, however, is that current efforts are more likely to restore the neoliberal status quo ante than compel Congress to develop a trade agenda that rebuilds critical domestic supply chains and invests in workers. This is because the resuscitation of the pro-trade consensus, though framed as a way to “defend democracy,” is morphing into a campaign to circumscribe debate over how and even whether to spur reindustrialization.