Trump sets the world on fire with his tariff war

WashingtonFor years, the United States has been the anchor of the free market, the cornerstone of the planet from which globalization has accelerated. Now, Donald Trump wants to disengage from the economic order through a tariff wall. The tariff table that the president displayed on Wednesday It is the culmination of his rejection of multilateralism and the balance of alliances that until now had fallen on Washington's shoulders. Blowing up trade relations with old partners is part of the Republican's worldview, in which only the strong are respected. "Only the weak will fall," Trump asserted on Friday at Truth Social, while Wall Street continued its free fall and set a new record for negative figures.

In the president's opinion, the only strong countries that deserve respect are the US, China, and Russia. Hence his rampant Europhobia and constant attacks on the EU: "They've treated us very unfairly." Trump's agenda to overturn the current international order We must also turn the economic order aroundIn the historical materialism of the German philosopher Karl Marx, to change the superstructure—everything political, ideological, and cultural—it is first necessary to change the structure, that is, the material and economic. Trump cannot completely dynamite the multilateral system if he does not also blow up the trade relations that underpin it (whether he succeeds is another question). Washington's rapprochement with Moscow is not only political, with concessions to Russia over the war in Ukraine, but also commercial.

While Trump announced tariffs on all the countries he considers to have taken advantage of the US, Washington was experiencing a new chapter in the thaw between the United States and Russia. A Russian emissary set foot on US soil for the first time since the outbreak of the war in Ukraine, and Vladimir Putin opted not to send a diplomat, but rather a businessman: Kiril Dmitriev, director of a Russian investment fund. As Dmitriev explained after meeting with Steve Witkoff (one of the key voices in the negotiations and a longtime friend of Trump) and other members of the administration, the talks were not only about the ceasefire, but also about the possibility of restoring trade relations.

Last month, Trump ordered the State and Treasury departments to compile a list of sanctions against Russia, in order to evaluate them and decide whether to lift them. The White House statement issued after the call between Trump and Putin concluded: "The two leaders agreed that a future with an improved bilateral relationship between the United States and Russia holds great potential. This includes massive economic deals and geopolitical stability once peace is achieved."

The tariff fire sparked by Trump is already having an impact on the geopolitics of other nations. Asia, China, Japan, and South Korea have overcome their historical differences and have joined forces to address the new trade landscape, according to Chinese media reports. The US president plans to impose tariffs of nearly 65% on China (including the 34% he has announced and the 20% already being applied), as well as 24% on Japan and 25% on South Korea.

Cooling relations with the EU

In the European Union, talks with Washington have resumed after Trump lit the fuse: a two-hour video call between European Trade Commissioner Maros Sefcovic and Trade Secretary Howard Lutnick. The conclusion, from Brussels' perspective, is that "US tariffs are harmful and unjustified." "The trade relationship needs a new approach. The EU is committed to meaningful negotiations, but is also prepared to defend our interests," the community blog reported. At the same time, the need to expand other alliances in the face of the cooling off with Washington is becoming increasingly evident in the Twenty-Seven. This is the case with Mercosur. "It is time to make progress on agreements with Mercosur and Mexico, and decisively advance negotiations with India and other key partners," wrote the President of the European Council, António Costa, in X, while detractors are now remaining silent.

Trump is blowing up the international and economic order as it has been known until now. because he understands current geopolitics from the prism of the 19th centuryThe tycoon has repeatedly cited former President William McKinley, who governed the country between 1897 and 1901, as a leading figure in trade and government matters. The Republican leader is also remembered for having implemented a very harsh protectionist policy in the country during his two terms. Already during the campaign, Trump defended tariffs as the way to solve all the problems that, in his opinion, affect a nation approaching economic collapse. That's why on Thursday he compared the stock market crash to the reaction of a critically ill patient now recovering from surgery.

"Jobs and factories are coming roaring back to our country, and you're already seeing it," Trump said Wednesday as he announced the tariff wall. To any company or country that complains, he said, "If you want your tariff rate to be zero, then build your product right here in America." The principle is simple in the president's view, but the immediate consequences will be an inflationary effect that will directly impact the American working class that Trump claims to want to protect.

In fact, the tariffs themselves could also cause an internal revolt within his own party. In Congress, where the Republican majority seemed completely behind the president, a group of Republican senators joined with Democrats to push a motion to strip him of his power to dictate tariff policies. Still, it's a symbolic gesture because House Speaker Mike Johnson has already said he won't bring it to a vote.

Federal Reserve Chairman Jerome H. Powell warned Friday that tariffs could lead to even higher inflation and slower growth than initially expected. The Fed spokesman's tone was pessimistic: "While uncertainty remains high, it is now becoming clear that tariff increases will be significantly larger than expected. The same is likely to be true of the economic effects, which will include higher inflation and slower growth."

Anti-Trump Protests

The anger against Trump's policies—who is playing golf in Miami for a long weekend—was also felt on the streets of the country. In all 50 states and the District of Columbia, thousands of people gathered under the slogan Hands Off (Hands off) against the massive government cuts and the fear policies against migrants and LGBTQ+ people. In Washington, the meeting point was the Washington Monument, the immense obelisk that rises in the middle of the National Mall. There, the organization expected around 20,000 people to attend. Signs calling for Musk's deportation and warning of how fascism is spreading across the country were the general tone.

The conversations heard in the crowd ranged from pardoning the Capitol rioters to the tariffs Trump announced Wednesday. "He's destroying the country's economy, and I hope this will change a lot of his voters' minds about him. What he's done is just stupid," Will Richardson, a 33-year-old who came out to demonstrate with his grandmother's flag, explained to ARA. "I think it's important that we reclaim the flag as a symbol of all Americans and not just Trump's." Like Richardson, 25-year-old Olivia was also concerned about a possible recession: "I'm convinced there will be a recession; the question is whether it will be more or less significant."