Outlook Business Desk
Trump’s tariffs now average 27.8% on all imports, with rates up to 145% on Chinese goods. This marks the highest U.S. tariff levels since 1943, risking a collapse in global trade volumes.
The Tax Foundation projects tariffs could reduce U.S. GDP by 1.0% (including retaliation), translating to a $2.2 trillion economic loss over a decade.
JPMorgan forecasts a 2% spike in U.S. inflation due to tariffs, squeezing household budgets and slowing consumer spending—a key recession driver.
China, the EU, and Canada have imposed counter-tariffs on U.S. exports like agriculture and energy, destabilizing supply chains and amplifying global economic risks.
Auto and tech sectors face 20-25% cost hikes for steel, semiconductors, and electronics, forcing companies like GM and Apple to absorb losses or raise prices.
The Smoot-Hawley Tariffs worsened the Great Depression by slashing global trade by 60%. Today’s interconnected economy risks even broader fallout.
U.S. imports could fall by $800 billion in 2025, shrinking global trade volumes and hurting export-reliant economies like Germany and China.
Automakers: 25% steel tariffs disrupt North American supply chains.
Tech: 20% China tariffs raise costs for Apple, Dell.
Retail: Apparel prices surge due to Asian import duties.
Deutsche Bank and JPMorgan warn tariffs could trigger a U.S. recession by 2026, with global GDP growth slowing to 1.5% amid trade barriers.