China win the clash of powers. Donald Trump plunges the USA and pushes the world into the abyss. We will become poorer [KOMENTARZ]
The Chinese act in the thought of the principles of “eye for the eye” – they announced retaliation duties to import from the USA in response to the “day of liberation of America”. Others will follow in their footsteps.
The actions of the US president can push his country and the world into the abyss in economic terms.
During his first term, Trump exerted pressure on foreign companies so that they would stop doing business with China as far as possible. His motto was: “If you want to do business with the greatest democracy in the world, you need to get rid of contacts with communists in Beijing – they or us.”
It was politically understandable, but difficult to perform in economically.
A good five years later Trump conducts a tariff policy that will no longer separate China from the rest of the world, but from his own country. In a historical speech, he imposed duties on almost everything and everyone. What can you say about it except that the plans are either crazy or incredibly poorly prepared? It is not without reason that the Internet ridicules the idea as a work of artificial intelligence.
The US president behaves as if the American economy was still in the 18th or 19th century. At that time, the protective duties were necessary to build industry. Meanwhile, the US has long been the dominant economic power, exporter of advanced technologies and a leader in many service industries.
The US's wealth is no longer created by a customs policy, but by the global economic system, which was shaped by the United States themselves – in its own interest. Since the Act on mutual trade agreements of 1934, the United States has been the driving force of free trade. The opening of markets not only led to economic growth around the world, but also strengthened American prosperity.
And now? On Wednesday, April 2, 2025, Trump [nakładając cła w ramach tzw. “dnia wyzwolenia Ameryki”] “He burned everything on the ash,” wrote Paul Krugman, an economist honored with the Nobel Prize.
The effects of new duties go far beyond the direct impact on the economy in the form of price increase. Trump sows fear in a world that needs security.
“Customs will cause huge damage to the world economy”
Like a blackmailer, he perceives uncertainty as a tool of power. Business leaders and investors have to ask themselves: will Trump keep their position? And if so, how long? There was uncertainty among investors. Trump caused great damage to many countries, including US allies.
Donald Trump announces duties as part of the “Day of Liberation of America”, April 2, 2025.
The growing global duties, and perhaps even a trade war, will cause huge damage to the global economy. In this situation, the EU can only remain calm, react with a sense of proportion and not throw himself to the Chinese, especially in the face of Trump's tariff fury.
It will be difficult years if Trump does not agree to agree with the rest of the world. The years in which we will become noticeably poorer. Europe must consider how it can conclude trade agreements with other regions, which at least partly compensate for the loss of America. We have to become independent of Trump and his whims as much as possible.
