Grapple

The U.S. has embarked on its most aggressive industrial policy since the Cold War as it grapples with the twin threats of a rising China and climate change. The pivot has accelerated a manufacturing revival and spurred investment that will reshape key parts of the economy. But it comes at a cost, threatening to keep inflation higher as the nation makes more goods and imports less.

Industrial policy—loosely defined as government support for strategic industries through tools such as tax credits, subsidies, and tariffs—has been out of favor since the 1980s, under the assumption that free markets work best. Indeed, the U.S. has spent much of the past decade taking China to task for a heavy-handed role in its economy.
–Barron’s