WSJ reports that Trump wants to create an informal alliance of Western nations to retaliate when China uses its trading power to coerce other nations.

The US Administration conceived the plan in response to Chinese economic pressure on Australia after the Australian government called for an investigation into the origins of the Covid-19 pandemic.

“China is trying to beat countries into submission by…economic coercion,” said one senior official. “The West needs to create a system of absorbing collectively the economic punishment from China’s coercive diplomacy…”

Under the plan, when China boycotts imports, allied nations would purchase the boycotted goods or provide compensation. Alternatively, the group could jointly agree to assess tariffs on China for the lost trade.

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