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0 News Ghana, Latest Updates and Breaking News of Ghana, Roger A. Agana, https://newsghana.com.gh/trumps-tariff-strategy-faces-mounting-pressure-as-rollback-looms/
President Donald Trump’s sweeping new tariffs on major trading partners, branded by some as “Liberation Day” measures, are increasingly seen as unsustainable, with analysts predicting a reversal within six to 12 months amid escalating economic and political headwinds.
Nigel Green, CEO of global financial advisory firm deVere Group, argues the aggressive trade policies risk destabilizing supply chains, inflating consumer prices, and triggering retaliatory actions that could outweigh perceived strategic gains.
The administration’s 25% levies on auto imports, Chinese goods, and Venezuelan energy purchases threaten to disrupt global trade networks critical to U.S. industries. Green warns the tariffs could spark inflationary pressures as businesses pass higher import costs to consumers, with retaliatory measures from China targeting American energy and agricultural exports already underway. “The economic drag from these tariffs will far surpass any short-term revenue gains,” he said, referencing the White House’s $100 billion revenue projection.
With the auto sector—a major U.S. employer—facing production crises and price hikes on consumer goods looming, Green predicts political fallout. “Voters will feel the squeeze on cars, food, and everyday items long before the administration secures geopolitical leverage,” he noted, emphasizing the policies’ risks during an election cycle.
Investors are responding to the uncertainty with heightened market volatility and delayed capital investments, while foreign firms explore supply chains bypassing U.S. suppliers. Internal divisions within the Trump administration, marked by inconsistent tariff timelines and shifting definitions of trade “reciprocity,” further signal instability. Green highlights the auto tariffs as particularly vulnerable to reversal due to their immediate impact on jobs and prices.
Though the White House frames the tariffs as transformative, Green anticipates a gradual retreat under the guise of renegotiations. “Markets demand clarity, businesses require stability, and consumers need relief,” he said. “A tactical pullback isn’t just likely—it’s inevitable.”
As global partners and industries brace for ripple effects, the coming months will test the durability of a strategy critics argue prioritizes political theater over economic pragmatism.
News Ghana, Latest Updates and Breaking News of Ghana, Roger A. Agana, https://newsghana.com.gh/trumps-tariff-strategy-faces-mounting-pressure-as-rollback-looms/
