Trump Delays Tariff Launch After Global Warning Signs \ Newslooks \ Washington DC \ Mary Sidiqi \ Evening Edition \ President Donald Trump delayed the launch of sweeping tariffs on 68 countries and the EU by seven days. The tariffs, covering nearly $3 trillion in imports, have triggered legal challenges and global economic anxiety. Businesses fear inflation and job losses, while the legality of Trump’s emergency trade powers remains contested.
Quick Looks
- Trump signed new tariffs on 68 countries and the EU Thursday night.
- Start date delayed by one week to finalize updated tariff schedule.
- Tariffs affect nearly $3 trillion in global imports to the U.S.
- Trump claims tariffs will restore jobs and balance trade deficits.
- Critics warn of rising inflation, job losses, and economic uncertainty.
- Legal challenge questions Trump’s use of 1977 emergency powers.
- U.S. court of appeals hearing raises doubts about legal authority.
- European leaders face backlash for agreeing to 15% deal with Trump.
- Tariffs on countries like Switzerland and India now in flux.
- Major firms like Ford warn of multi-billion dollar losses.
Deep Look
For weeks, President Donald Trump had declared that Friday would mark a turning point in global trade—a day when the United States would impose sweeping tariffs on nearly $3 trillion in imports from 68 countries and the European Union. Administration officials insisted the deadline was firm. But in a surprise move Thursday night, Trump delayed implementation by seven days to update the tariff schedule, injecting fresh uncertainty into already tense markets.
While some countries welcomed the delay as an opportunity to finalize last-minute trade talks with Washington, others, including global businesses and consumers, were left grappling with ambiguity over when the economic shockwave would truly hit.
“Tariffs are making America GREAT & RICH Again,” Trump boasted Thursday on Truth Social.
The Trump administration says the tariffs will generate new factory jobs, reduce the federal deficit, and bring foreign nations back to the negotiating table on American terms. But economists and global leaders are voicing concern that the escalating trade offensive could backfire—weakening U.S. economic influence, stoking inflation, and causing long-term damage to international relationships.
A Fragile Trade Architecture and Delayed Launch
The revised tariff order delays the start of the import taxes by one week, allowing time to recalibrate country-specific rates. Thursday’s announcement showed fluctuating outcomes: Swiss imports will be taxed at 39%—up from the 31% rate threatened in April—while Liechtenstein’s rate was cut to 15% from 37%. A standard 10% tariff will apply to countries not individually listed.
The administration claimed partial trade victories, citing recent frameworks reached with the EU, Japan, South Korea, Indonesia, and the Philippines. Trump teased further agreements but declined to name additional countries. Notably, Mexico secured a temporary reprieve, with its tariff rate frozen at 25% following a morning phone call between Trump and Mexican leaders.
Meanwhile, Trump adjusted Canada’s fentanyl-related tariffs to 35% in a separate executive order, despite declining to take a call from Canadian Prime Minister Mark Carney, who criticized the U.S. as “no longer a reliable ally.”
Legal Uncertainty Shadows Tariff Power
The legitimacy of Trump’s sweeping trade powers is under serious judicial scrutiny. On Thursday, a U.S. Court of Appeals panel questioned whether the president had overstepped by invoking a 1977 law allowing emergency tariffs without congressional approval.
“You’re asking for an unbounded authority,” Judge Todd Hughes told the Justice Department’s attorney defending Trump’s order.
While a ruling wasn’t issued, the case is widely expected to advance to the Supreme Court, posing a significant legal threat to the president’s trade strategy.
In the meantime, the Trump White House insists that the tariffs are already delivering results, pointing to $127 billion in customs and duties collected so far this year—an increase of $70 billion over the previous year. Officials argue this will help reduce the federal deficit.
Economic Fallout Begins to Materialize
Despite Trump’s optimism, the tariffs are starting to ripple through the economy. Companies from multiple sectors are warning of job losses, higher prices, and deferred investments. Ford Motor Company announced it expects a $2 billion earnings hit in 2025 due to increased input costs. French skincare brand Yon-Ka is pausing new hiring and scaling back U.S. operations.
Critics say the tariffs, by targeting raw materials and essential consumer goods, are likely to fuel inflation rather than revitalize U.S. industry. The Personal Consumption Expenditures (PCE) index released Thursday showed prices rose 2.6% year-over-year through June, a potential warning sign that inflation is accelerating as tariffs feed into the supply chain.
These inflation concerns have led the Federal Reserve to pause further interest rate cuts. President Trump, frustrated by the Fed’s caution, lashed out at Fed Chair Jerome Powell on Truth Social, calling him a “TOTAL LOSER.”
Global Tensions Escalate
Countries like India, which now faces a 25% tariff on goods exported to the U.S., may see diminishing benefits from Western efforts to shift supply chains away from China. While the Trump administration remains locked in extended negotiations with Beijing, China itself now faces a 30% U.S. tariff and has imposed a 10% retaliatory duty on American exports.
European leaders are trying to manage public perception after agreeing to Trump’s 15% tariff ceiling, which they frame as a temporary measure. However, domestic critics accuse them of capitulating to U.S. pressure, even as the EU struggles to preserve American support for Ukraine.
“There are many uncertainties left to resolve,” Fed Chair Powell said at a press conference Wednesday. “It doesn’t feel like we’re very close to the end of that process.”
With Trump’s tariffs now just days away, the global economy faces a new chapter of volatility. While the president promises economic revival and stronger national leverage, others fear that these tariffs could usher in long-term instability—fiscally, legally, and diplomatically.
Trump Delays Tariff Launch
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