President Donald Trump’s sweeping new global tariffs are facing fierce backlash from economists, financial analysts, and world leaders. Critics have described the move as a “cascading effect of stupid,” warning of serious consequences for the U.S. and global economies.
Since the announcement, markets have reacted sharply. The S&P 500 plunged 11%, wiping out over $6 trillion in market value within days. Economists now predict a slowdown in U.S. economic growth, with GDP potentially shrinking by 0.3% and unemployment rising to 5.3% by 2026.
International leaders also condemned the tariffs. European Commission President Ursula von der Leyen called them a “major blow” to global trade, and Canada has signaled plans for retaliation. Critics argue that the tariffs will increase inflation, strain supply chains, and hurt American consumers and businesses.
Former Treasury Secretary Larry Summers warned the economic fallout could reach $30 trillion, while economist Paul Krugman slammed the policy as reckless and harmful.
Industry groups like the National Retail Federation also voiced concern, stating that the tariffs would drive up prices for everyday goods and add uncertainty for U.S. businesses.
Overall, analysts agree that Trump’s tariff plan could backfire, creating economic instability rather than strength.
