Trump Administration Raises US Tariffs Globally, Triggering Economic Risks

President Trump has implemented a sweeping new tariff regime that has significantly increased the average U.S. tariff rate to 15.2%, marking a steep rise since before his administration began. These tariffs, which include high rates on imports from countries such as Switzerland, Canada, Brazil, and Lesotho, have unsettled global markets and are projected to reduce U.S. GDP by 1.8% over the next few years while driving up inflation. The unpredictable and broad application of tariffs has created uncertainty for businesses, leading many to stockpile inventory and delay payments, though such short-term strategies risk exacerbating supply chain and financial instability in the longer term. The tariffs act as a substantial tax on American consumers and exporters, potentially costing U.S. households over $2,000 annually and threatening to decimate exports by reducing the purchasing power of trading partners. Additionally, vulnerable nations like Lesotho face severe economic consequences, with tariffs devastating key industries such as textiles and prompting government emergency measures. Overall, Trump's tariff policies contribute to increased economic uncertainty, strain international relations, and may trigger wider financial and supply chain disruptions globally.