Do trade restrictions evoke retaliation by trade partners?

Answer 1

Yes, trade restrictions often lead to retaliation from affected trade partners. When one country imposes tariffs, quotas, or other barriers, the targeted country may respond with similar measures to protect its own interests. This tit-for-tat dynamic can escalate into trade disputes, ultimately harming both economies and disrupting global trade patterns. Such retaliatory actions can create a cycle of increasing protectionism, making it challenging to achieve mutually beneficial trade agreements.