Trump‘s Tariff Plans: A Potential Economic Earthquake?
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President-elect Trump’s proposed tariffs have sent shockwaves through the US economy, sparking debate about their potential impact on American consumers and businesses. His plans include a universal baseline tariff, as well as significantly higher tariffs on specific imports from China.The implications are complex and far-reaching.
The Tax Foundation has analyzed the potential revenue generated by these tariffs. However, it’s crucial to understand that tariffs are taxes imposed on imported goods, ultimately raising prices and reducing the availability of goods and services for US consumers. [[1]] This increased cost of living could disproportionately affect lower-income households.
Retaliation and Global Economic Uncertainty
The American Action Forum highlights a significant concern: retaliation.”It is highly probable that countries hit with tariffs would retaliate with similar trade barriers that harm U.S. exports and have a chilling effect on the entire global economy,” the AAF warns. [[2]] This potential for trade wars adds a layer of uncertainty to the already complex economic landscape.
The proposed 10% tariff plan, such as, could ripple through various asset classes, creating instability in the financial markets. News outlets have reported on Trump’s consideration of “more than” 60% tariffs on Chinese imports, further escalating the potential for economic disruption. [[2]]
Specific Tariffs and Their Rationale
the Trump governance has already implemented tariffs on a wide range of products, including steel, aluminum, washing machines, and thousands of other goods imported from China. [[3]] These actions were justified based on various trade investigations citing injury to US industries, national security threats, and unfair trade practices.The long-term consequences of these targeted tariffs remain to be seen.
The potential economic fallout from these tariffs is a significant concern for many Americans. The impact on specific industries, consumer prices, and the overall health of the US economy will depend on the final implementation of the tariff plans and the response from other countries. The coming months will be crucial in determining the true consequences of this bold economic policy.
Wall Street Wrap: Stellantis, STMicroelectronics, and Imerys Lead the Charge
US markets saw significant movement today, with several key players posting impressive gains. Stellantis, the American automotive giant, saw its stock price surge, while semiconductor companies STMicroelectronics and Soitec also experienced robust growth. Meanwhile, Imerys celebrated a significant legal victory, impacting its stock price considerably.
Stellantis Soars Despite Trade Tariff Concerns
Stellantis experienced a remarkable +7% increase. Though, this positive performance comes amidst ongoing concerns regarding potential US customs surcharges on vehicles imported from Canada and Mexico. analysts have voiced apprehension about the potential impact of these tariffs.
“If this measure were implemented, it would be catastrophic for the American auto industry and Detroit automakers, all of whom import significant numbers of vehicles from Canada and Mexico,”
this quote, from a Bernstein analyst’s November report, highlights the significant risk these tariffs pose to the American automotive sector. The potential for considerable disruption underscores the volatility inherent in the current trade surroundings.
STMicroelectronics and Soitec Ride Foxconn’s Success
Outside the CAC 40, STMicroelectronics and Soitec saw impressive gains of 6.9% and 6.2%, respectively. This surge is directly linked to the strong performance of Foxconn, a major Apple subcontractor and a significant customer of these semiconductor companies. Apple’s reliance on these chipmakers underscores the interconnectedness of the global tech industry.
Imerys Celebrates Legal Victory
Imerys experienced an 11% jump, fueled by positive news regarding a long-standing talc lawsuit in the United states. The company’s proclamation suggests a resolution to this significant legal hurdle, paving the way for future growth.
Oil Prices Remain Relatively Stable
Oil markets showed minimal movement today. Brent North sea crude oil saw a 0.5% increase, closing at $76.88 per barrel, while West Texas Intermediate (WTI) crude oil also rose 0.5%, reaching $74.35 per barrel.
This relatively stable oil market contrasts with the volatility seen in the stock market, suggesting a degree of decoupling between energy prices and broader economic trends.
By Julien Marion – ©2025 BFM Bourse (adapted for US audience)
Trump’s Tariff Tango: Will It Be a Recipe for Recession?
President-elect Trump’s proposed tariffs have sent shockwaves throughout the global economy, raising concerns about a potential trade war and its impact on American consumers. Could thes protectionist measures backfire and trigger a recession? We spoke with renowned economist Dr. Emily Carter to understand the potential repercussions.
World Today News: Dr. Carter, President-elect Trump has promised significant tariffs on imported goods, both on a general level and specifically targeting China. What are the potential consequences of this policy?
Dr. Emily Carter: Well, certainly the initial and most direct impact will be increased prices for American consumers. Tariffs are essentially taxes on imported goods,and those costs are inevitably passed on to the consumer. This could disproportionately affect lower- and middle-income households who spend a larger proportion of their income on basic necessities.
world Today News: There’s also been a lot of talk about retaliation from other countries. How likely is this, and what could be the global economic implications?
Dr. Emily Carter: It’s highly likely that countries targeted by these tariffs will retaliate with their own trade barriers against US exports. This could quickly escalate into a full-blown trade war, with negative consequences for the global economy. We could see slowing economic growth, job losses, and increased volatility in financial markets.
World Today News: The American Action Forum has warned that these tariffs could potentially lead to job losses in the US.Can you elaborate on that?
Dr. Emily Carter: Absolutely. While some industries might benefit from protectionist measures in the short term, the overall impact is likely to be negative. retaliatory tariffs from other countries could hurt US export industries,leading to job losses.Moreover, higher prices for imported goods could harm domestic businesses that rely on these inputs, further negatively impacting employment.
World Today News: What about the argument that these tariffs are necessary to protect American jobs and industries from unfair competition?
Dr. Emily Carter:
While it’s true that some countries engage in unfair trade practices,tariffs are a blunt instrument for addressing these issues. They can have unintended consequences and harm American businesses and consumers in the long run. There are better ways to address unfair trade practices, such as negotiating bilateral trade agreements and engaging with international organizations like the World Trade Association.
World Today News: what is your overall assessment of Trump’s tariff plans and their potential impact on the US economy?
Dr. Emily Carter: In my view, these plans are risky and could have significant negative consequences for the US economy, leading to higher prices, job losses, and slower economic growth. They could also damage our relationships with key trading partners and contribute to global economic instability. It’s essential for policymakers to carefully consider the potential ramifications of these tariffs before taking any drastic action.
