In the latest turn of this saga, former President Donald Trump is still doing his part to upend the global economic order with his disastrous trade policies. Dangers aside, since making his first unconstitutional play in 2021, Trump has come under criticism for his tactics, and more importantly, their effects. As he enters another term as America’s elected president, he is expected to navigate the complex terrain of international trade while facing ongoing challenges.
In particular, the Trump administration has launched a lot of tariffs as a sort of domestic industrial policy. To him, these steps are vital. They’re his strategy to defend against what he sees as an existential threat from China and other global competitors. Critics contend that his all sticks, no carrots approach constitutes an economic war on world trade. This hardline stance has largely backfired on the U.S. government, damaging both its domestic reputation and international standing.
Later this week, Trump should be taking action to undo much of the harm these tariffs have done. Reports have him considering waiving immediate sanctions on day one. If passed, it would provide significant relief to the sectors most affected. Eagle-eyed doomsayers see his tariff regime as an FU —likely here to stay, deepening our estrangement from international trading partners.
Not only have Trump’s trade policies wrecked this country’s trade, but the fallout for the stock market has been severe. Third, unlike his predecessors, his arbitrary and unpredictable behavior has created instability and uncertainty, which has spooked investors. His unilateral decisions have sent shockwaves across the national education and fiscal landscape. It’s no wonder many are now concerned that deeper cuts could be on the horizon.
Trump is clearly undaunted in his America vision. He has notably placed Britain among the countries least affected by his tariffs, perhaps recognizing the importance of maintaining strong ties with key allies. Unfortunately, his approach to reciprocity has drawn substantial criticism. Critics say it has strayed far from the original ideals of fair trade.
The first is a description of the mindset driving these policies from Tony Schwartz, Trump’s biographer and ghostwriter. He’s done the same to show how Trump’s childhood experiences inform his deep sense of victimhood. He argues, “A lifetime experience of having a victim heart… every time it isn’t his way, he feels cheated.” This framing helps make sense of Trump’s bellicose posture on international trade. It further exposes his 24/7/365 campaign to beat everybody at every economic deal.
The impact of Trump’s tariffs goes far beyond economics. Many experts agree that by limiting trade with the U.S., he actually does the opposite and deepens the connection of other nations. As countries look to China for new trade and investment opportunities and partnerships, the potential long-term impact on America’s standing in global affairs may be significant.
Additionally, although Trump’s administration has already been criticized for eliminating civil service jobs and firing aid workers, this goes even further. Taken together, these actions have called into question the administration’s commitment to smart governance and high-quality public service. Opponents contend that these kinds of cuts erode the foundational services upon which our most vulnerable neighbors—both at home and around the globe—rely.