US President Donald Trump has doubled down on his decision to impose sweeping tariffs on imports, defending the controversial move despite its adverse effects on global markets. Speaking aboard Air Force One on Sunday, Trump emphasized that the tariffs were necessary, likening them to “medicine” needed to address deeper economic issues. He assured reporters that the move would bring jobs and investment back to the United States, making it “wealthy like never before.”
The tariffs, announced last week, have sent shockwaves through global stock markets. In the wake of Trump’s comments, stock indexes plummeted. Japan’s Nikkei 225 fell by 6.3%, and Hong Kong’s Hang Seng lost 9.8%. On Friday, the US stock market experienced its worst week since 2020, with all major indexes dipping more than 5%, while the S&P 500 dropped nearly 6%. Saudi Arabia’s stock exchange, trading on Sundays, posted a loss of nearly 7%, the steepest since the pandemic.
Despite growing fears of a global recession, officials from the Trump administration have played down the potential economic fallout. JP Morgan has warned of a 60% chance of a recession in both the US and globally as a result of the tariff announcement.
Internationally, countries have scrambled to react. While Indonesia and Taiwan have refrained from retaliatory measures, Vietnam has asked for a delay on a 46% tariff on its exports, citing concerns over the economic impact. In response to US tariffs, China announced a 34% levy on all US imports, effective April 10.
UK Prime Minister Sir Keir Starmer and Canadian Prime Minister Mark Carney both expressed concerns about an escalating trade war and reaffirmed their commitment to seeking economic deals with the US that would mitigate some of the tariffs’ impacts.
As tensions rise, Trump is set to meet Israeli Prime Minister Benjamin Netanyahu in Washington on Monday, underscoring the deepening international implications of the tariffs. Meanwhile, anti-Trump protests erupted across the US, with thousands rallying against the president’s policies, marking the largest nationwide opposition since his inauguration.
