Chip Somodevilla / Getty Images
On Wednesday, Donald Trump announced global tariffs which could have a major impact on the U.S. Economy.
Tariffs vary from 10% to 50% depending on the country. The tariffs were not revealed until after the details. Economists had expressed concerns that tariffs of this magnitude would increase inflation and possibly increase the likelihood of recession. Trump, however, downplayed these fears in his Wednesday press conference, saying that predictions of economic damage caused by tariffs he imposed last year proved to be incorrect.
Now that they have more details about the wide-ranging tariffs, here's what some economists and analysts had to say.
- David French, Executive vice president of Government Relations at National Retail Federation
- Michael R. Strain is Director of Economic Policy Studies at the American Enterprise Institute and Senior Fellow.
- Samuel Tombs is the Chief U.S. Economist at Pantheon Macroeconomics
- Diane Swonk is Chief Economist of KPMG
- Chris Zaccarelli Chief Investment Officer, Northlight Asset Management
- Justin Wolfers, Professor of Economics & Public Policy at the University of Michigan
David French, Executive vice president of Government Relations at National Retail Federation
“More Tariffs equal more anxiety for American businesses and consumers.” While Washington leaders may not care about rising prices, hardworking American households do. Tariffs are taxes paid by U.S. importers that will be passed on to the final consumer. Tariffs will not be paid by foreign countries or suppliers."
Michael R. Strain is Director of Economic Policy Studies at the American Enterprise Institute and Senior Fellow.
Samuel Tombs is the Chief U.S. Economist at Pantheon Macroeconomics
"All told, the tariff announcements were much bigger than most investors expected—E-mini S&P 500 Futures have dropped by about 2.5%—but the April 9 deadline for 'kind reciprocal' tariffs leaves the door open to back-tracking and further delay. The speed with which tariffs can be removed also bolsters the case for thinking that a slowdown, rather than a recession, lies ahead."
Diane Swonk is Chief Economist of KPMG
Chris Zaccarelli Chief Investment Officer, Northlight Asset Management
"The silver lining for investors could be that this is only a starting point for negotiations with other countries and ultimately tariff rates will come down across the board—but for now traders are shooting first and asking questions later."
Justin Wolfers, Professor of Economics & Public Policy at the University of Michigan
