U.S. tariff policies are under scrutiny after President Donald Trump’s proposed “reciprocal tariffs” ignited concerns of a global trade conflict, with experts cautioning against economic fallout. Indian scholar Professor C. Veeramani emphasized that such measures could destabilize international markets, stating, “A trade war is not good for anyone.”
Why Reciprocal Tariffs Raise Alarms
The proposed 25% tariff on steel and aluminum imports, paired with plans to mirror other nations’ trade barriers, has drawn criticism from economists and policymakers. Veeramani warns that retaliatory measures could slow growth, disrupt supply chains, and cost jobs worldwide. Analysts estimate a potential 2% drop in global trade volume if tensions escalate.
Global Economic Stability at Risk
Business leaders and tech innovators fear prolonged disputes might hinder post-pandemic recovery, particularly in emerging markets. Startups reliant on cross-border partnerships and affordable materials could face heightened operational costs, stifling innovation in renewable energy and digital infrastructure sectors.
Paths Forward
Veeramani advocates for renewed multilateral dialogue, urging nations to prioritize cooperation over protectionism. Young global citizens and entrepreneurs are increasingly vocal about balancing fair trade practices with sustainability goals, signaling demand for policies that protect economies without isolating partners.
Reference(s):
cgtn.com
