Trump's tariffs threaten our economy

[Sandy Shanks]

Trump inherited a booming economy from Biden!

So good in fact it begs a question. Before Trump took office, our economy was doing great. We had the largest economy on the planet. We had virtual full employment, and, ranging between 2.3% to 2.4%, inflation was under control. The stock markets were setting records every week. The Fed was planning on lowering interests rates.

Someone tell me, What was problem Trump's tariffs were supposed to solve?

Two questions, actually. Why is it Trump made a deal with the enemy -- China -- while punishing our friends -- Japan, South Korea, the EU?
,
Trump seems to be confused. There are doubts he knows what he is doing. Trump is deathly afraid of what his tariffs will do to our thriving economy. It appears he changed his mind again.

Tariffs, once enacted, are inflationary. Because of Trump's tariffs, the Fed will not lower interest rates.

Trump's trade plans were supposed to be significantly clearer by the end of this week, with the President announcing that "UNITED STATES TARIFF Letters" will begin being delivered at 12 noon ET today.

But an array of parallel comments from the President on down have also underlined to markets that this week is unlikely to provide finality on Trump's tariffs.

NBC reports, "During her regularly scheduled press conference Monday afternoon, White House Press Secretary Karoline Leavitt said Trump would sign an executive order extending the July 9 deadline to August 1.

"It represents a return to the back and forth, on-again, off-again state of affairs that prevailed leading up to, and shortly after, Trump’s April 2 speech announcing extreme import duties on dozens of nations. The moment led to one of the worst market sell-offs on record. During some particularly chaotic moments, Trump changed tariff levels in the span of a few hours.

"The president eventually relented on immediately imposing those duties in announcing the pause, and since then, stocks have slowly rallied back to their all-time highs."

Confused by Trump's waffling, the Dow lost 422 today.

Will Trump destroy our Big Beautiful Economy?

 

[Sandy Shanks]

Why is it Trump made a deal with the enemy -- China -- while punishing our friends -- Japan and South Korea.

The AP reports, "Donald Trump on Monday set a 25% tax on goods imported from Japan and South Korea, as well as new tariff rates on a dozen other nations that would go into effect on Aug. 1.

"Trump provided notice by posting letters on Truth Social that were addressed to the leaders of the various countries. The letters warned them to not retaliate by increasing their own import taxes, or else the Trump administration would further increase tariffs."

 

[Geoist]

One of my closest friend works for an imports company. He just started a family and he is scared to death of potentially losing his job.

 

[Mr Person]

What is there left to say?

This is what we said would happen. And the other thing we said would happen - that MAGA slaves will gleefully defend/deny/deflect - will also happen. Is happening. Happened. And always will happen.

 

[Allan]

Someone tell me, What was problem Trump's tariffs were supposed to solve?

Trump thinks that trade between the US and all other countries should be equal. That's a concept that the WSJ characterized as "bonkers".

Why does he think it? Because he's a moron.

That's all there is to it.

 

[Bullseye]

Trump inherited a booming economy from Biden!

So good in fact it begs a question. Before Trump took office, our economy was doing great. We had the largest economy on the planet. We had virtual full employment, and, ranging between 2.3% to 2.4%, inflation was under control. The stock markets were setting records every week. The Fed was planning on lowering interests rates.

Someone tell me, What was problem Trump's tariffs were supposed to solve?

Two questions, actually. Why is it Trump made a deal with the enemy -- China -- while punishing our friends -- Japan, South Korea, the EU?
,
Trump seems to be confused. There are doubts he knows what he is doing. Trump is deathly afraid of what his tariffs will do to our thriving economy. It appears he changed his mind again.

Tariffs, once enacted, are inflationary. Because of Trump's tariffs, the Fed will not lower interest rates.

Trump's trade plans were supposed to be significantly clearer by the end of this week, with the President announcing that "UNITED STATES TARIFF Letters" will begin being delivered at 12 noon ET today.

But an array of parallel comments from the President on down have also underlined to markets that this week is unlikely to provide finality on Trump's tariffs.

NBC reports, "During her regularly scheduled press conference Monday afternoon, White House Press Secretary Karoline Leavitt said Trump would sign an executive order extending the July 9 deadline to August 1.

"It represents a return to the back and forth, on-again, off-again state of affairs that prevailed leading up to, and shortly after, Trump’s April 2 speech announcing extreme import duties on dozens of nations. The moment led to one of the worst market sell-offs on record. During some particularly chaotic moments, Trump changed tariff levels in the span of a few hours.

"The president eventually relented on immediately imposing those duties in announcing the pause, and since then, stocks have slowly rallied back to their all-time highs."

Confused by Trump's waffling, the Dow lost 422 today.

Will Trump destroy our Big Beautiful Economy?

/seems like I've heard that a few times before.

 

[Sandy Shanks]

Keep something in mind when it comes to dealing with Trump.

Because he is such a prolific liar, it doesn't matter what he says.

It only matters what he does.

His rosy fantasies about the future in which he never can do anything wrong are meaningless.

Want proof? His vacillating decisions on his tariffs have caused him to be wrong for nearly six months.

 

[Sandy Shanks]

/seems like I've heard that a few times before.

Yeah, so?

You have heard it before because it is true.

 

[JohnfrmClevelan]

The AP reports, "Donald Trump on Monday set a 25% tax on goods imported from Japan and South Korea, as well as new tariff rates on a dozen other nations that would go into effect on Aug. 1.

"Trump provided notice by posting letters on Truth Social that were addressed to the leaders of the various countries. The letters warned them to not retaliate by increasing their own import taxes, or else the Trump administration would further increase tariffs."

Here's an interesting question to think about. Is retaliation a good or bad tactic if you are a trading partner? On one hand, you would like to punish the U.S. into dropping the whole tariff issue. On the other hand, putting up your own tariffs only makes American goods more expensive for your people.

I think this is what Vietnam is doing - no retaliatory tariffs. Their goods will still be pretty cheap for us, so I'm not even sure that we would buy less from them.

Thoughts?

 

[Allan]

Here's an interesting question to think about. Is retaliation a good or bad tactic if you are a trading partner? On one hand, you would like to punish the U.S. into dropping the whole tariff issue. On the other hand, putting up your own tariffs only makes American goods more expensive for your people.

I think this is what Vietnam is doing - no retaliatory tariffs. Their goods will still be pretty cheap for us, so I'm not even sure that we would buy less from them.

Thoughts?

Carney considered this when we implemented Canada's retaliatory tariffs. He chose to focus on US exports we could live without - either we didn't have to buy it or we could easily source it domestically.

 

[JohnfrmClevelan]

Carney considered this when we implemented Canada's retaliatory tariffs. He chose to focus on US exports we could live without - either we didn't have to buy it or we could easily source it domestically.

It would be nice to have a leader who thinks things through.

 

[Callen]

I prefer embargoes on discretionary imports over Tariffs. The best thing in my mind is to just not buy American and avoid tariffs altogether.

 

[Geoist]

/seems like I've heard that a few times before.

Trump announces idiotic tariff policy... market crashes
Trump backtracks on original plan... market goes up
Market is betting on Trump going full TACO. If he does not chicken out then back down we go.

 

[Jay59]

Trump inherited a booming economy from Biden!

Why start with such an obvious lie?

Biden left Trump a down quarter.

So good in fact it begs a question. Before Trump took office, our economy was doing great. We had the largest economy on the planet. We had virtual full employment, and, ranging between 2.3% to 2.4%, inflation was under control. The stock markets were setting records every week. The Fed was planning on lowering interests rates. Someone tell me, What was problem Trump's tariffs were supposed to solve? Two questions, actually. Why is it Trump made a deal with the enemy -- China -- while punishing our friends -- Japan, South Korea, the EU? Trump seems to be confused. There are doubts he knows what he is doing. Trump is deathly afraid of what his tariffs will do to our thriving economy. It appears he changed his mind again.

You seem to be confused.

The economy is the President's purview.

Tariffs, once enacted, are inflationary.

That has not been true so far.

Because of Trump's tariffs, the Fed will not lower interest rates.

That seems true.

Trump's trade plans were supposed to be significantly clearer by the end of this week, with the President announcing that "UNITED STATES TARIFF Letters" will begin being delivered at 12 noon ET today. But an array of parallel comments from the President on down have also underlined to markets that this week is unlikely to provide finality on Trump's tariffs. NBC reports, "During her regularly scheduled press conference Monday afternoon, White House Press Secretary Karoline Leavitt said Trump would sign an executive order extending the July 9 deadline to August 1.

You buried the lede.

"It represents a return to the back and forth, on-again, off-again state of affairs that prevailed leading up to, and shortly after, Trump’s April 2 speech announcing extreme import duties on dozens of nations. The moment led to one of the worst market sell-offs on record. During some particularly chaotic moments, Trump changed tariff levels in the span of a few hours.
"The president eventually relented on immediately imposing those duties in announcing the pause, and since then, stocks have slowly rallied back to their all-time highs."

What's your point?

Confused by Trump's waffling, the Dow lost 422 today.

That is a simplistic rendition.

Will Trump destroy our Big Beautiful Economy?

Doubtful. Things have been looking up.

 

[Bullseye]

Yeah, so?

You have heard it before because it is true.

more like just a LW repeating lunacy.

 

[The Brad Dad]

One of my closest friend works for an imports company. He just started a family and he is scared to death of potentially losing his job.

People just do not understand what's happening *right now* with imports. Watching maga smirk over the bill and running victory laps has been something.

 

[The Brad Dad]

Why start with such an obvious lie?

Biden left Trump a down quarter.


You seem to be confused.

The economy is the President's purview.


That has not been true so far.


That seems true.


You buried the lede.


What's your point?


That is a simplistic rendition.


Doubtful. Things have been looking up.

What is the point of picking apart a thoughtful post with junk? If you don't want to respond to parts of it, why bother? You're not making them look like the one who can't make an argument.

Also, care to compare the Q4 leading into Biden's Term vs Trump's two terms?

 

[CaughtInThe]

Everything Trump touches dies.

 

[Jay59]

What is the point of picking apart a thoughtful post with junk?

I'll dispute the thoughtful.

If you don't want to respond to parts of it, why bother?

What part had no response?

You're not making them look like the one who can't make an argument.

OK

Also, care to compare the Q4 leading into Biden's Term vs Trump's two terms?

These are annualized. This is the only time the Q1 number was below the Q4 number.

2016 Q4 1.9% - 2017 Q1 2.2%
2020 Q4 5.5% - 2021 Q1 6.3%
2024 Q4 2.4% - 2025 Q1 0.5%
Source BEA

 

[The Brad Dad]

I'll dispute the thoughtful.

You didn't. Or couldnt.

 

[Callen]

Biden left Trump a down quarter.

These are annualized. This is the only time the Q1 number was below the Q4 number.

Clearly you dont pay much attention to the business reports. The 1Q was down largely because of dramatic increase in imports as companies rushed to buy product before Trump's stupid tariffs kicked in. Trump is 100% for the drop in GDP in the 1st Q

https://www.cnbc.com/2025/04/30/gdp-q1-2025-.html

 

[Jay59]

Clearly you dont pay much attention to the business reports. The 1Q was down largely because of dramatic increase in imports as companies rushed to buy product before Trump's stupid tariffs kicked in. Trump is 100% for the drop in GDP in the 1st Q
https://www.cnbc.com/2025/04/30/gdp-q1-2025-.html

That's one take on it.

Another view is that the economy can be pushed or slowed by policy choices. If a policy could accelerate growth from 2025 to 2024, they did so.

The easiest example is eggs. The Biden administration forced prices higher by culling egg-laying chickens in Q4. While the culling was necessary, the timing could have been spread.

 

[Airyaman]

Seriously, no one needs clothes!

 

[Callen]

That's one take on it.

Another view is that the economy can be pushed or slowed by policy choices. If a policy could accelerate growth from 2025 to 2024, they did so.

The easiest example is eggs. The Biden administration forced prices higher by culling egg-laying chickens in Q4. While the culling was necessary, the timing could have been spread.

Makes no sense. January was good , Feb Mar bad, as companies rushed to import products ahead of tariffs. Show me one citation blaming Biden policies. Trump was handed a good economy, yet it seems he is intent on screwing up. There is a reason he's underwater on all things related to the economy

 

[Sandy Shanks]

Trump inherited a booming economy from Biden!

So good in fact it begs a question. Before Trump took office, our economy was doing great. We had the largest economy on the planet. We had virtual full employment, and, ranging between 2.3% to 2.4%, inflation was under control. The stock markets were setting records every week. The Fed was planning on lowering interests rates.

Someone tell me, What was problem Trump's tariffs were supposed to solve?

YahooFinance reports, "Stocks are treading water as markets search for the positive in Trump's latest trade policy shifts. He has moved his July 9 deadline for the resumption of "reciprocal" tariff rates to Aug. 1.

"On Tuesday morning, Trump said there would be no extension beyond the Aug. 1 deadline, when countries are expected to begin paying tariffs, as his administration continues sending letters to foreign officials notifying them of the rates on imported goods."

Still plenty of time for Trump to change his mind again.

Keep something in mind when it comes to dealing with Trump.

Because he is such a prolific liar, it doesn't matter what he says.

It only matters what he does.