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Cintasia

Donald Trump’s Trade Tariffs Gambit

May 29, 2025

1,5 min read –

Donald Trump’s Trade Tariffs Gambit –

What has happened 2 months –

After Liberation Day –

On April 2nd, 2025, President Donald Trump declared “Liberation Day,” unveiling sweeping tariffs, including

➡️ 10% baseline on all U.S. imports
➡️ 145% on Chinese goods
➡️ 25% on Canadian and Mexican non-USMCA goods (*)
➡️ 20% on European imports.

While the world and social media erupted in criticism, often with shallow understanding, we chose silence, awaiting clarity.

Now, nearly two months later, the dust has settled enough to reflect.

Since April, Trump paused most tariffs for 90 days, except for China’s, which hit 125% before a May 12th agreement slashed them by 115%, retaining a 10% base.

Europe paused retaliatory measures, focusing on negotiations with India, Indonesia, and others.

Canada secured USMCA(*) exemptions.

Indonesia offered tariff cuts on U.S. goods.

Global markets initially plummeted, but talks have eased tensions.

Pros of the tariffs include boosting U.S. manufacturing and leveraging trade deficits for negotiations, potentially creating jobs.

Cons include: higher consumer prices, inflation risks, and global trade disruptions, with estimates of a $1,200 tax hike per U.S. household in 2025.

Beyond economics, these tariffs signal a deeper struggle.

America’s spiraling debt and never-ending currency manipulation by central banks fuel this trade war, impacting dozens of nations.

Intriguingly, bitcoin’s recent rise, bolstered by its decentralized promise, suggests a hedge against such manipulations, hinting at a shifting financial paradigm.

Trump’s moves, far from erratic, are strategic, aiming to reshape global trade and assert U.S.A. economic sovereignty.

Critics may call it chaos, but there’s method in his madness.

So, two months on, has your view on Trump’s tariffs shifted?

Did snap judgments on April 2 hold, or do you see a broader game at play?

Let’s think beyond the headlines.

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(*) PS: Non-USMCA goods are products imported into the United States from Canada or Mexico that do not qualify for preferential treatment under the United States-Mexico-Canada Agreement (USMCA). The USMCA is a trade agreement that provides reduced or zero tariffs for qualifying goods traded among the U.S., Canada, and Mexico, provided they meet specific rules of origin and other criteria.

Picture: Newsweek
Sources: CNBC, Reuters, whitehouse.gov, Time, The Guardian, NYTimes.