Economic coercion

The Center for Strategic & International Studies (CSIS) reports that China expanded its economic coercion tactics beyond trade disputes to pursue strategic military objectives. The Wall Street Journal notes a surprising parallel in Trump’s tariff threat against European allies over Greenland. The Financial Times reports that the US backed off due to a tumble in the US stock market, but the precedent for weaponizing trade policy may have already been established.

China’s rare earth campaign against Japan – Gracelin Baskaran and Meredith Schwartz, Center for Strategic & International Studies, January 13, 2026
The CSIS examines China’s new export restrictions on Japan targeting dual-use technologies, including rare earth elements and other critical minerals crucial for defense. Driven by rising tensions between Beijing and Tokyo over Taiwan, the measures highlight how export controls are increasingly being used to advance military and political objectives.
This trade war would be unlike any other – Greg Ip, The Wall Street Journal, January 20, 2026
Ip reports that President Trump’s threat to impose tariffs on European countries opposing US annexation of Greenland marks a departure from his typical tariff strategy. Unlike previous threats aimed at achieving domestic economic goals, this weaponizes trade policy against allies for strategic goals.
HF sponsored access Donald Trump’s tariff ‘shock regime’ tests Wall Street’s mettle – Ian Smith, Jonathan Vincent, Emily Herbert, Kate Duguid, and George Steer, Financial Times, January 23, 2026
The US retreat from Trump’s tariff threats over Greenland came after a sharp stock market sell-off, underscoring the influence investors can exert over his trade agenda. With mid-term elections approaching, some analysts suggest Trump needs to be increasingly responsive to investor concerns.