Trump Defends Tariffs Amid Global Trade Negotiation Uncertainty \ Newslooks \ Washington DC \ Mary Sidiqi \ Evening Edition \ President Trump’s trade tactics are drawing global scrutiny as he juggles tariff threats and vague deal announcements. His insistence on using “strategic uncertainty” has unsettled markets and strained relations with allies. Trump remains committed to high tariffs while promising new deals—without clear terms or timelines.
Quick Looks
- Trump insists 25 trade deals are ready, but offers no specifics.
- He uses “strategic uncertainty” as a bargaining tool, confusing allies.
- Trump plans to keep tariffs in place even as he negotiates.
- The White House aims to reduce non-law enforcement missions in trade.
- $45.9 billion in tariffs collected this year—up $14.5B from 2024.
- New 145% tariffs on Chinese goods, with China retaliating at 125%.
- Trade talks with China set to begin in Switzerland.
- Trump dismisses China’s demand to ease rhetoric and tariffs.
- Canada’s PM Mark Carney seeks updates to USMCA amid tariff concerns.
- Trump may bypass Congress using emergency powers for trade deals.
Deep Look
President Donald Trump’s trade policy has become a global guessing game. As he continues to announce imminent deals while clinging to sweeping tariffs, trading partners, investors, and economists are left sifting through mixed signals and economic uncertainty. Despite promising that “25 deals” could be signed, Trump has provided few concrete details—while holding firm on maintaining tariffs, the very measures most nations seek to eliminate through negotiation.
At the center of his trade approach is what the Trump administration calls “strategic uncertainty”—a deliberate ambiguity meant to enhance leverage at the negotiating table. Yet this tactic has rattled stock markets, caused hiring slowdowns, and raised red flags globally. The approach leaves even seasoned trade experts baffled.
“I am struggling to make sense of it,” said Chad Bown of the Peterson Institute for International Economics.
Tariffs as Leverage—and Revenue
Trump has doubled down on his belief in tariffs as a tool not only for negotiating leverage but also for generating revenue. He claims they will help reduce the national debt and allow for tax cuts. The administration points to the $45.9 billion in tariff revenue collected this year—up $14.5 billion from 2024—as evidence of the strategy’s success.
But experts argue that the math doesn’t work. Trump would need $2 trillion in annual tariff revenue to meaningfully impact the $36 trillion national debt and fund promised tax cuts—an unrealistic goal that risks triggering economic contraction and consumer price spikes.
“They’re a beautiful thing for us,” Trump said. “It’s going to make us very rich.”
While steel, aluminum, auto parts, and goods from China, Canada, and Mexico face duties as high as 25% to 145%, the broader economic impact of these measures has raised alarms, especially as many of these tariffs target allies, not adversaries.
Confusion Among Allies
Trump insists trade deals are within reach, yet his ever-changing tone and contradictory messages have left foreign leaders frustrated and confused. Canada’s Prime Minister Mark Carney, in a meeting with Trump, called for revisions to the United States-Mexico-Canada Agreement (USMCA) to prevent another episode like this year’s fentanyl-related tariffs that Canada viewed as unjustified.
“Some things about it are going to have to change,” Carney told reporters.
The White House claims 17 of 18 major trading partners have submitted term sheets—a formal step toward negotiation—but without consistency in demands, actual agreements remain elusive.
Tensions With China Mount
The most volatile front is the U.S.-China trade relationship. The two nations are scheduled to meet this weekend in Switzerland, but with 145% tariffs from the U.S. and 125% retaliatory duties from China, the talks are likely to focus on de-escalation rather than resolution.
Treasury Secretary Scott Bessent admits the tariff levels are “not sustainable,” but Trump shows no signs of backing down. He dismissed China’s calls to ease rhetoric and tariffs as preconditions for serious dialogue.
“If the U.S. truly wants to resolve the issue through dialogue and negotiation, it should stop threatening,” said Chinese spokesperson Lin Jian.
Trump, however, denied initiating talks and asserted, “They ought to go back and study their files.”
Congressional Role Limited
While previous trade deals, such as Trump’s “Phase One” China agreement, required at least partial Congressional support, the current White House argues it can act unilaterally under the 1977 International Emergency Economic Powers Act (IEEPA). This has sparked lawsuits and criticism, but legally it has given Trump wide latitude.
Still, more comprehensive agreements that include changes to non-tariff barriers—like auto safety standards, digital trade policies, and VAT regimes—would likely require House and Senate approval, according to the Congressional Research Service.
Trump wants trading partners to adjust their internal regulations and taxes, even as he insists that U.S. subsidies and tariffs are not negotiable.
Is It Really a “Deal”?
Perhaps the most fundamental question is whether any of these trade actions qualify as real deals. Trump has already imposed broad tariffs—most recently his “Liberation Day” tariffs on April 2—so if he agrees to suspend future tariffs, it looks more like a reprieve than a negotiated trade pact.
In short, Trump’s deals may amount to threats withdrawn, rather than genuine mutual compromises.
“Trump is notorious for making maximalist demands and then retreating,” said William Reinsch of the Center for Strategic and International Studies. “Countries hoping for normal trade talks are being rebuffed.”
As new negotiations begin, much remains unclear: Which deals are real? What does Trump actually want? Can global trade stabilize under uncertainty? What’s certain is that Trump’s high-stakes, high-tariff strategy has global economic consequences, and they’re only beginning to unfold.
Trump Defends Tariffs Amid Trump Defends Tariffs Amid
You must Register or Login to post a comment.