Trump Bets Tariffs Will Boost U.S. Economy, But Faces Backlash/ Newslooks/ WASHINGTON/ J. Mansour/ Morning Edition/ President Trump is doubling down on sweeping new tariffs, gambling they’ll revive U.S. manufacturing and economic growth. Financial markets tumbled and allies retaliated, while critics warn of inflation and recession risks. Trump remains steadfast, declaring the long-term pain will deliver American gains.
Trump Bets Tariffs Will Boost U.S. Economy – Quick Looks
- Trump announces sweeping tariffs on nearly all U.S. trading partners
- Markets plunge; Dow drops 3,800 points in two days
- Trump promises economic “boom,” insists strategy will bring jobs home
- Democrats rally nationwide against tariffs, sensing political momentum
- GOP lawmakers express concern about inflation and economic fallout
- Key donor support remains strong despite market disruption
- Wisconsin loss and Florida underperformance increase political pressure
- Some Republicans worry tariffs threaten 2026 election prospects
Trump Bets Tariffs Will Boost U.S. Economy, But Faces Backlash
Deep Look
President Donald Trump has gone all in on his economic vision, launching a sweeping and risky strategy of new tariffs on nearly all U.S. trading partners. Less than a day after Republicans suffered losses in Wisconsin and underperformed in Florida, Trump responded in trademark fashion: by doubling down.
On Wednesday, the president unveiled his most aggressive protectionist policy yet — an import tax expansion that fulfills his four-decade advocacy for tariffs and economic nationalism. Trump has long blamed free trade deals for America’s industrial decline and now sees tariffs as the path to economic rebirth.
“It’s going very well,” Trump said, brushing off a two-day stock market plunge as temporary.
Market Fallout and Political Shockwaves
The financial fallout was immediate. The Dow Jones Industrial Average dropped 3,800 points in just two days — the worst market week since the early days of the COVID-19 pandemic. Meanwhile, China retaliated, European leaders vowed resistance, and economists issued dire warnings about inflation, stalled growth, and recession risks.
Despite the volatility, Trump stayed on message. He promised that tariffs would fund tax cuts and resurrect domestic manufacturing, even as signs of economic distress rattled investors and lawmakers alike.
“The country is going to boom,” Trump insisted as markets tanked and protests loomed.
Mixed Reactions in the GOP
While Trump’s core supporters remain vocal in their support, Republican lawmakers are more cautious — especially those representing business-heavy or export-dependent districts.
“I don’t support across-the-board tariffs,” Hill said. “I’ll be urging changes.”
Even loyal Trump voters are expressing unease. Frank Amoroso, a 78-year-old retired auto engineer from Michigan, rated Trump’s performance a “C-plus or B-minus”, citing inflation concerns and the speed of policy changes.
“He’s doing things too fast,” Amoroso said. “But maybe we’ll see results.”
Donors Stand by Trump
Despite the backlash, Trump still commands deep loyalty among Republican megadonors. Doug Deason, a major Texas-based donor, defended the tariffs, even as his investments nosedived.
“We get it. There’s going to be pain,” Deason said. “But he told us that. We’re ready for it.”
This loyalty reinforces Trump’s confidence that long-term political and economic gains will outweigh the short-term disruptions.
Democrats Seize the Moment
As Trump pushes ahead, Democrats are seizing new momentum. This week’s Supreme Court victory in Wisconsin, despite a $20 million Musk-backed campaign for the opposing candidate, served as a jolt to the party.
Senator Cory Booker reignited the progressive movement with a 25-hour floor speech, urging Democrats to mobilize.
“You can’t sit on the sidelines,” Booker told the AP. “There’s a larger, growing movement.”
Activists are now planning the largest anti-Trump demonstrations since his return to power, with nationwide rallies under the “Hands Off!” banner scheduled for Saturday. The movement is targeting Trump’s tariffs, federal workforce cuts, and civil rights rollbacks.
Ezra Levin, co-founder of Indivisible, believes Trump’s economic gamble could backfire — politically and economically.
“Raising prices across the board is not popular,” Levin said. “It’s the kind of overreach that leads to a generational wipeout.”
The Big Gamble
For Trump, the tariffs represent not just an economic policy but a defining legacy move. In his first term, tariff threats were used to leverage trade deals. Now, with fewer internal constraints, Trump is enacting what he sees as bold and necessary reforms.
Whether it works is a question of timing and consequence. If domestic manufacturing returns and jobs rebound, Trump will claim a major victory. But if inflation spikes and the economy slows, the backlash could be catastrophic for his presidency and the GOP in 2026.
“This isn’t just economic policy,” one senior White House aide noted. “It’s a bet on the American future — and on Trump’s.”
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