U.S. Sen. Elizabeth Warren (D-MA) during a Senate Finance Committee proceeding successful the Dirksen Senate Office Building connected April 8, 2025 successful Washington, DC.
Kayla Bartkowski | Getty Images
President Donald Trump is "losing a self-inflicted trade war" with China, leaving the United States with a "weak hand" going into his meeting with Chinese President Xi Jinping, Senate Democrats said Wednesday successful a caller study connected the effects of Trump's wide-ranging tariffs.
"Trump's commercialized wars person imposed important costs" connected U.S. consumers and businesses, "sold retired American farmers," and the president "has strengthened China's manus portion weakening America's leverage," the study says.
CNBC received the study by Democrats connected the Senate Committee connected Banking, Housing, and Urban Affairs a time earlier Trump is acceptable to conscionable Xi successful South Korea.
Trump is "putting America's semipermanent prosperity and information astatine risk," Sen. Elizabeth Warren of Massachusetts, the ranking Democrat connected the committee, said successful a connection to CNBC.
"Trump needs to alteration people connected his commercialized warfare with China present and halt hurting American families, farmers, and businesses," Warren said.
Warren's comments came earlier Trump, speaking astatine the Asia Pacific Economic Forum successful Gyoeongju, South Korea, said helium was optimistic of reaching a commercialized woody with Xi, which could see reducing tariffs connected U.S. imports of Chinese goods.
"It's going to enactment retired very, precise good for everybody, and ... I look guardant to seeing him," Trump said.
The study points to ostentation information and different economical metrics successful the aftermath of Trump's implementation of planetary tariffs successful April.
"Between January and April, year-over-year Consumer Price Index (CPI) ostentation was falling, but it has rebounded since May — aft Trump announced his cosmopolitan tariffs," the study said.
"Last week, CPI information showed that inflation accrued by 3 percent year-over-year successful September, the highest complaint since May 2024," the study said.
Core goods inflation, which includes carnal products specified arsenic clothing, furniture, electronics, appliances, and cars, but excludes nutrient and energy, besides accrued 1.5 percent implicit the twelvemonth successful September. Grocery goods besides trended higher.
"Studies suggest that President Trump's tariffs are costing American families astir $1,500 much per twelvemonth and disproportionately harming lower- and middle-income households that walk a greater stock of their incomes connected indispensable goods," the study said.
In summation to ostentation data, the study besides pointed to jobs information arsenic grounds that Trump's commercialized argumentation is not reaping rewards.
"Rather than reviving manufacturing arsenic promised, Trump's strategy has besides caused the assemblage to shed 42,000 jobs and manufacturing employment has contracted for 4 consecutive months — the longest monthly streak of losses since aboriginal 2020," the study said.
Warren and the different committee Democrats said that contempt Trump's speech astir an impending woody with Xi, it is wide China has the precocious manus and continues to enforce symptom connected American businesses and farmers.
The study cited uncommon earths export controls imposed by China, and that nation's refusal, since May, to bargain U.S.-grown soybeans.
Treasury Secretary Scott Bessent said earlier this week that determination was a model of a woody that would spot China defer restrictions connected uncommon earths exports, and that besides would alleviate U.S. farmers' concerns.
China purchased $12.6 cardinal worthy of American soybeans successful 2024, but conscionable $2.5 cardinal worthy successful the archetypal fractional of 2025 earlier the effectual boycott began.
"Simultaneously, Trump's tariffs person raised costs connected workplace inputs similar fertilizer and equipment, squeezing farmers from some sides," the study noted.
The study besides says that China has expanded exports successful the aftermath of Trump's tariffs.
"In September alone, China's exports to Africa accrued 56.4%, to Southeast Asia by 15.6%, and to the EU [European Union] by 14%," the study said.
"China's exports proceed increasing contempt U.S. tariffs, reaching grounds commercialized surpluses by routing goods done 3rd countries.
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