Trump shocks with new tariffs – decisions without coordination or transparency

President Donald Trump has imposed new tariffs on trillions of dollars worth of goods – a decision that, according to The Washington Post was taken less than three hours before the announcement. Many key figures, both in business and international governments, were kept completely out of the process.

According to the review, the decisions were based on a simplified formula that focused on trade deficits and export value – even though more advanced models were available.

Loyalty more important than analysis

Trump's team this time consisted of strictly loyal advisors, unlike during his first term. Former Commerce Secretary Wilbur Ross explained that the White House deliberately selected people who could create internal criticism.

– They only wanted to bring in people who were completely loyal Trumpers, because there were so many problems with defections and revelations last time, Ross told the newspaper.

Several key advisors are reported to have expressed support for whatever the president wanted to implement – ​​without pursuing their own arguments or evaluations.

Businesses and governments were kept out

Large companies like Pfizer and retail giants were not given advance notice of the tariff decisions. Not even members of Congress or Republican leaders knew what was going to be announced. Other governments also tried to act in advance to avoid tariffs – but often to no avail.

For example, India removed an advertising tax targeting foreign companies, but still imposed a 26% tariff.

The White House used emergency powers

To push through the decision quickly, the White House used a special emergency clause that bypassed normal consultation processes. This meant that no real debate could take place – neither internally nor with the US's trading partners.

Directed launch in the Rose Garden

The announcement was named Liberation Day and was held in the White House Rose Garden. The scene was carefully planned: Trump was surrounded by workers in jeans, reflective vests and helmets – to reinforce the message that he defends the American worker.

At the same time, financial markets fell and several advisors gave conflicting statements about how the tariffs would affect the economy.

A global strategy – or just symbolic politics?

It is still unclear whether Trump's goal is to reduce other countries' tariffs or to drastically reshape the entire world trade system. One diplomat expressed that many countries felt confused.

"It doesn't seem like they're listening to foreigners. They're listening to their own companies," the diplomat told the newspaper.

How is Thailand affected?

Thailand is not mentioned directly, but it is likely that the country's export sector will be affected if the new US tariff policy leads to changed flows, reduced demand or new tensions with China and India. Thailand is a strong exporting nation and any change in world trade will have consequences here as well.

Source: The Washington Post, 4 Apr. 2025.
Original article

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Text: The editorial staff

Image license: Matt Johnson, Flickr, original image