Analysis: Trump is doing Brexit and thinks it's working
Donald Trump's tariffs can be compared to Brexit, notes the New York Times' Mark Landler in an analysis. Both have been a hammer blow to the international order.
"Economists expect similar chaos to hit the global trading system as a result of Trump's theatrical exit," he writes.
But while Trump's tariffs will damage free trade, they will not spell the end of it. The benefits of free trade are so powerful that the world will find new ways to make it work, even without its central players, writes Landler.
Trump's plan is for the tariffs to boost domestic production and finance a huge tax cut, writes The Guardian's Philip Inman in an analysis. But a prolonged recession in the country is becoming increasingly inevitable as countries respond to the president's tariffs.
In Sky News, David Blevins writes that increased domestic production will lead to higher prices for American consumers, since imported goods are much cheaper than domestically produced ones. But that does not worry Trump.
“He does not seem to have his head in the sand. He seems to believe that everything will work out in the end,” writes Blevins.
Donald Trump's tariffs can be compared to Brexit, notes the New York Times' Mark Landler in an analysis. Both have been a hammer blow to the international order.
"Economists expect similar chaos to hit the global trading system as a result of Trump's theatrical exit," he writes.
But while Trump's tariffs will damage free trade, they will not spell the end of it. The benefits of free trade are so powerful that the world will find new ways to make it work, even without its central players, writes Landler.
Trump's plan is for the tariffs to boost domestic production and finance a huge tax cut, writes The Guardian's Philip Inman in an analysis. But a prolonged recession in the country is becoming increasingly inevitable as countries respond to the president's tariffs.
In Sky News, David Blevins writes that increased domestic production will lead to higher prices for American consumers, since imported goods are much cheaper than domestically produced ones. But that does not worry Trump.
“He does not seem to have his head in the sand. He seems to believe that everything will work out in the end,” writes Blevins.
He is pointed out as the mastermind behind Trump's tariffs
Donald Trump's economic advisor, Harvard economist Stephen Miran, is pointed out as the mastermind behind the president's tariffs, reports DN.
Miran, who has written a report titled “A User's Guide to Restructuring the Global Trading System,” believes that the tariffs will generate significant revenue for the United States. He also believes that it is the countries that are subject to tariffs that pay, not Americans through higher prices, as other experts argue.
In Miran's report, he writes that China is the main target of the tariff policy and that they will not be able to respond with their own tariffs due to their capital control rules.
But Per Altenberg, trade strategist at the Swedish College of Commerce, tells DN that his theory is contradictory.
- Just two days after the tariffs were introduced, China responded with the same coin, tariffs of 34 percent. And the euro has strengthened, not weakened, he says.
Sources: Bessent's phone went hot - tops appeal to Trump
In the day after Donald Trump's tariff announcement on Wednesday, US Treasury Secretary Scott Bessent was bombarded with messages from worried financial leaders on Wall Street. This was in an attempt to persuade Bessent to speak to Trump about the tariffs. This is what sources tell Bloomberg.
Wall Street saw Bessent as its best card to get Trump to turn on his heel, but in reality the Finance Minister is said to have had a relatively hidden role in the tariff decision. His involvement reportedly extended to presenting different scenarios for the markets and the economy based on different tariff levels.
