Just three months ago, economists from 50 countries were hopeful for sustained growth in the global economy. However, Donald Trump’s desire to alter global trade through the imposition of tariffs on all imported goods to the U.S. has caused shockwaves in the financial markets. This has resulted in the destruction of trillions of dollars in value on stock exchanges and undermined investor confidence in American assets, including the dollar.
This is reported by Finway
Although Trump suspended the most severe tariffs for most trading partners for a few months, a 10% overall tariff remains in effect, along with a 145% tariff on imports from China, the U.S.’s largest trading partner. Demonstrating unusual unanimity, none of the more than 300 economists surveyed in April expressed the view that tariffs have positively impacted business sentiment. 92% believe their impact is negative, while only 8% described it as neutral, with the latter primarily representing India and other developing countries.
According to the survey, 60% of respondents (101 out of 167 experts) consider the risk of recession this year to be high or very high. Even if tariffs were to be lifted today, they have already caused significant damage, as the U.S. is no longer perceived as a reliable partner in international agreements.