The historic tariff announcement that the US president Donald Trump performed in the White House Last Wednesday, April 2, severely shook international stock markets, because these new measures would threaten to sink the economies of the United States and the rest of the world in a recession.
Currently, a recession is the decrease in the economic activity of a country, so the reduction of any activity related to the production, distribution and consumption of goods or services is measured through the reduction in the annual rate of the gross domestic product, since it occurs for a significant period of time.
Significant falls in the US dollar and in the NYSE They occurred after Trump imposed tariffs on almost all countries that enter goods to the US; Therefore, these measures caused a series of negative reactions in the commercial partners that could bring down The world economy.
According to the CNN television channel, in theory, tariffs should boost the US dollar; However, the concerns of investors in the United States “are creating a self -inflicted wound” that hinder the long -term growth of the North American country, sinking to the dollar against the other world currencies.
Can tariffs cause a recession?
According to the global financial company that offers corporate investment services, commercial banks, corporate payments and market access, JP Morgan, If President Donald Trump keeps the mass tariffs, their commercial policies “probably”They will make economies around the world fall into a recession.
Before the announcement of the tariffs last Wednesday, April 2, JP Morgan analysts gave the US economy a 40 % possibilities to enter recessionbecause this measure will represent the greatest tax increase in the recent history of the United States, causing a price increase.
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“The impact on inflation It will be transcendental. We consider that the total implementation of these policies is a Macroeconomic shock substantial. Therefore, we emphasize that these measures, if they are maintained, will probably push the American and worldwide economy in 2025, ”analysts said.
In accordance with the provisions of the global financial company, the real coup will be reflected in “the fall of feeling” within consumers and companies in the United States, who will have to prepare for any reprisal that is imposed on the American nation by the most affected foreign countries.
Given this situation, the Round Business Table, A powerful group of executive directors in the United States warned during the morning of this Thursday, April 3 that the tariffs imposed by President Donald Trump could be counterproductive For all its businesses, so the damage to the economy would be significant.
“Universal tariffs are at risk of causing Graves damages to American manufacturers, families and exporters. The damage to the economy will increase the longer the tariffs are maintained and could be aggravated by retaliation measures, ”he said Joshua BoltenExecutive Director of the Association.