The article details the immediate and severe global economic consequences of Donald Trump's surprise announcement of massive retaliatory tariffs. Stock markets plummeted, losing trillions of dollars in value, marking the biggest drop since the start of the COVID-19 pandemic. Companies began laying off workers.
The author argues that the financial markets and experts dramatically underestimated Trump's willingness to follow through on his threats, attributing this failure to a mixture of wishful thinking and a misjudgment of his autocratic personality. They highlight the lack of rational analysis that would predict such a dramatic, unilateral action.
The article emphasizes Trump's long-held belief in the power of tariffs and the psychological element of his actions. It portrays his decision as a power play, a moment of self-aggrandizement, even describing his delight at wielding such significant power over the global economy.
A key difference between Trump's first and second terms is highlighted, focusing on the shift in his advisors and their willingness to support his most disruptive policies. The author contrasts the restraint seen in Trump's first term with the present environment, where his advisors now readily support his most radical plans.
The article concludes that the global economic crisis is a direct result of the failure to fully grasp Trump's personality and willingness to radically disrupt the established global order, culminating in a swift and decisive action that demonstrates his significantly greater power in his second term.