Trump warns 1929-style Great Depression' if court rules against his tariffs
PTC News Desk: US President Donald Trump on Friday claimed that his tariff policies are fueling record highs in the stock market and bringing “hundreds of billions of dollars” into the nation’s coffers, warning that a court ruling against him could trigger a “1929-style Great Depression.”
In a lengthy post, Trump asserted that tariffs were delivering a “huge positive impact” on the economy, with “new records set almost every day.” He cautioned that if a “Radical Left Court” blocked his administration’s measures at this stage, the US might “never recover” from the resulting damage. He argued that courts should have intervened earlier if they intended to halt his policies, warning that a reversal now would squander the country’s “chance at greatness.” “Our country deserves success and greatness, not turmoil, failure, and disgrace. God bless America!” he wrote.
Trump’s latest tariffs on US imports from dozens of countries took effect Thursday, including an additional 25% duty on certain Indian goods over its Russian oil purchases, raising the total tariff to 50%. Exporters warn the measure could affect nearly 55% of India’s shipments to the US and strain long-standing trade ties.
“Absorbing this sudden cost escalation is simply not viable. Margins are already thin,” said SC Ralhan, president of the Federation of Indian Export Organizations, in comments to the Associated Press.
The new rates, effective just after midnight, target imports from over 60 countries and the European Union. EU, Japanese, and South Korean goods now face 15% tariffs, while products from Taiwan, Vietnam, and Bangladesh are taxed at 20%. Trump also announced 100% tariffs on computer chips and increased rates on pharmaceuticals, claiming the US is “taking in hundreds of billions of dollars in tariffs” and forecasting “unprecedented” growth.
Economists, however, caution that hiring is slowing, inflation is rising, and home prices are falling since the initial rollout in April. Germany’s industrial output fell 1.9% in June, and Switzerland failed to avoid 39% tariffs on its exports in last-minute talks.
While global markets remain relatively resilient — with the S&P 500 up over 25% since April — analysts warn the negative impacts could emerge gradually.
- With inputs from agencies
