What will Trump do when his tariffs backfire?

[marmar]

What will Trump do when his tariffs backfire?
Nils Pratley

The US president’s tariffs are almost certain to have dire consequences and he is not impervious to market decline or public opinion


(Guardian UK) So much for the idea that “liberation day” would free financial markets from their fear of the unknown. Publication of precise tariff rates, went a cheerful line of advance thinking, would at least allow investors to assess the probable trade effects on the basis of hard information. True optimists clung to the idea that Donald Trump would not wish to risk a truly severe market reaction.

....(snip)....

The S&P 500 index fell 4% in early trading and is down more than 10% from its high six weeks ago. The dollar fell sharply even though traditional logic says tariffs ought to be currency-positive if $600bn (£457.5bn) of extra revenue is on cards. On this occasion, the market simply adjusted to the higher likelihood of a US recession from higher prices and slower growth.

....(snip)....

On that score, analysts noted the simplistic – or plain perverse – formula behind the administration’s tariff arithmetic. It seems to have taken a country’s trade deficit in goods with US, divided it by its exports to the US and called the resulting number a trade barrier that deserves a “reciprocal” US tariff. The underlying logic, it would appear, is that every country should always have a perfect trade balance with the US – never mind the impossibility of achieving that outcome, and never mind that the tariffs don’t affect trade in services.

....(snip)....

The view from bond specialist Pimco is that we should be wary. “He is certainly not entirely impervious to a market decline, nor is he unaffected by public sentiment, significant congressional pushback or concerns about a recession,” says Libby Cantrill, its head of US public policy.

“So, there is likely a limit to how much pain he and his administration are willing to endure in order to rebalance the economy, but when that is or what that looks like remains to be seen. For now, we should assume that his pain tolerance is pretty high and that tariffs stick around for a while.” ..................(more)

https://www.theguardian.com/us-news/2025/apr/03/the-world-looks-on-and-wonders-how-much-pain-is-trump-willing-to-take

[Swede]

1. Nuke Manitoba?

I’m kidding?!?

[CatWoman]

2. blame Joe Biden?

[OLDMDDEM]

32. I thought that too.

[GreenWave]

34. That is his go to phrase nowadays.

[Bernardo de La Paz]

3. He'll say it is fake news. Don't believe your lyin' eyes. Obama and Soros are gaslighting you. . . . .nt

[hlthe2b]

4. Are Sadists EVER Satiated?

[Norbert]

5. Remember

Rule #1. Donald Trump is never wrong.

Rule #2. If he is wrong, refer to Rule #1.

[Lovie777]

6. Blame President Biden...................

and Democrats.

[malaise]

7. Blame

Biden

[0rganism]

8. 1. call it fake news, 2. blame someone else, 3. claim only he can fix it, 4. provide a superseding scandal for next week

The F47 playbook is short, simple, and highly effective.

[Silent Type]

9. He'll declare victory by saying now that foreign countries understand the power trump wields, they will cotow to him.

And he/trump will make everyone wealthy, just ignore millions unemployed and living in fear.

Worse, trumpsters will believe him.

[MineralMan]

10. He Will Double Down.

He always doubles down.

[no_hypocrisy]

11. "It was Lutnick's idea!"

Breath

“You’re fired!”

[prodigitalson]

12. Say something really racist...he often does that as a deliberate distraction.

[Easterncedar]

13. He will take the bribes and scale them back

The extortion is the plan, I believe.

[redwitch]

14. Go golfing?

Blame Joe Biden?

[allegorical oracle]

16. He'll blame everybody first -- and then go play golf. He has no shame or conscience. nt

[Irish_Dem]

15. Declare tariffs a total success and that we are too stupid to see what a genius he is.

At the same time blame things on everyone else.

[in2herbs]

17. I predict he will initiate martial law prior to a full crash, meaning he won't have to do anything after the

tariffs backfire because martial law suspends the Constitution and he can rule like a King.

[Ponietz]

33. That's the only end game I can make out of this dank assed stunt

[surfered]

18. He will ignore, lie, deny, and/or deflect. He will never admit a mistake, never!

[Emile]

19. he sure as hell won't take personal responsiblity

that's a given.

[C_U_L8R]

20. He'll say everything is going great.

As he is currently saying today. According to him, COVID went great too. I think we've had quite enough of Trump's 'great'.

[Du916]

21. He'll blame it on Biden and Obama ...

and ask “what about Hillary’s emails.”

[DiverDave]

22. Backfire?

It's going as planned. Buy low, sell high.
People with money buy now. Then when he tells everyone that he won't enforce the tariffs, his stocks go up.
Rinse, repeat.
Fooking crooks.

[GoodRaisin]

23. Same as he does every day.

Lie.

[Johonny]

24. "willing to endure in order to rebalance the economy"

That is optimistic at best. This isn't a rebalancing, it is a detonation of the economy for no purpose and no gains. There is no silver lining. When it ends we will just have made enemies of the world for no purpose other than to flatter the mad fat king. Woot!

[Happy Hoosier]

25. Start a war.... Greenland looks likely. NT

[eShirl]

26. Blame Canada

[sop]

27. No matter what happens, Trump will never admit his tariffs backfired.

[exboyfil]

28. Tariff "revenue" will be included in overall budget

Allowing justification for the tax breaks.

Then after legislation passes a relaxation of tariffs on the countries he likes.

[Ocelot II]

29. Blame somebody else. Democrats in general or Joe Biden in particular,

maybe Hillary and Obama, too; his hapless stooge Howard Nutlick, Canada, the EU, Jyna, the Deep State, DEI. Or all of the above.

[GulfofMexico]

30. He'll blame Biden, Obama, Clinton and all those evil bastards from the left.

But I guess that was a rhetorical question.

[everyonematters]

31. Remember that Trump is a narcissist, so he can't admit mistakes, even to himself.

[allegorical oracle]

35. After watching Nicole Wallace today, I think he'll remove tariffs only after each

country gives him something he wants -- like a kickback (rare minerals, diamonds, gold, cash) or real estate. A national honor might be feasible. Then, depending on how pleased he is, the tariff will be lowered or removed.

[Scrivener7]

36. Double down.