As to tariffs/taxes - retaliation - $800 billion trade imbalance - creating American jobs - Trump has stated that he loves the idea of a trade war - they can be won - so it's hard to see him backtracking on these issues. I don't think anyone can see a clear path ahead to where all this might lead, but the stock market is apparently taking a dim view of it.
I can see Trump's point. We're on the short end of almost all of our trade deals. Maybe there can be some sort of mutually agreed upon re-balancing, but unfortunately, it looks like, "OK, you did this so we're going to do that" - kind of thing. Someone conjectured that Canada might ban all imported American (mostly Californian) wines (they can get their wines from Europe), but it's probably just a hypothetical. I don't remember hearing about any retaliation for Trump's stance on washing machines and solar panels from China. I do get the impression that Trump likes a good fight, and that's scary.
