90 Days Of Uncertainty
April 22, 2025โข331 words
Economic freedom is an essential requisite for political freedom. By enabling people to cooperate with one another without coercion or central direction, it reduces the area over which political power is exercised. ~Milton Friedman
"Coercion cannot but result in chaos in the end." ~ Mahatma Gandhi
"I support free trade. Donald Trump supports free trade.Trade means jobs. Jobs in the United States, jobs in my home state of Indiana are supported by international exports." ~ Mike Pence
When Trump announced a 90-day suspension on his sweeping outrageous tariffs, I initially felt relieved, wondering to myself, how much economic destruction has he done worldwide? The financial markets had been in chaos, and this was a strategic maneuver to stabilize the economy and open up lines of negotiation, trillions of dollars wasted in the world financial markets.
Now the Trump Administration has an unrealistic task of making 150 trade deals within this short time frame.
Trade economists and experts have pointed out that such intricate agreements take months or years to finalize, and the absence of principal negotiators at present in addition to intra-administration cracks only contribute to the dilemma. Further, the American Trump Administration does not possess a clearly spelt-out industrial economic policy within the next 3-4 years.
As I observed the situation develop, it became apparent that markets remain suspicious. In spite of the brief reprieve, the fundamental issues of doubt and potential economic volatility persist. More and more countries are coming under the fold of BRICS for economic and stability leadership. As of now, at this juncture of time, there are approximately 44 countries joining the BRICS.
The administration's ambitious agenda appears more and more elusive, and the pressure to quickly "make deals" could lead to hasty decisions that could have far-reaching implications.
International trade relations are complex in nature and demand careful and concerted efforts, and I ask why is the Trump Administration trying to bully countries into trade "deals" that shut out China?