Amid a sharp global market downturn sparked by a new wave of reciprocal tariffs, former U.S. President Donald Trump stands by his administration’s decision, calling the move a necessary “medicine” to correct deep-rooted economic imbalances.
Speaking to reporters aboard Air Force One on Sunday night, Trump dismissed concerns that the tariffs were aimed at triggering a market sell-off. “I don’t want anything to go down,” he said, “but sometimes you have to take medicine to fix something.”
The comments came after a brutal week on Wall Street. Major indices suffered their steepest losses since the early days of the Covid-19 pandemic. The Dow Jones Industrial Average dropped 2,231 points, or 5.5%, while the Nasdaq Composite tumbled 5.8%, entering bear market territory. The S&P 500 also recorded its worst week since March 2020, with the overall market value plunging by an estimated $6.6 trillion.
Futures trading on Sunday night pointed to continued declines. S&P 500 E-minis were down 4%, with Dow and Nasdaq futures falling 3.8% and 4.6%, respectively, as investors feared global retaliation.
The market chaos followed Trump’s announcement of sweeping new tariffs last week, including a 34% levy on Chinese imports on top of existing 20% duties. China responded with matching tariffs on all U.S. goods, escalating trade tensions dramatically.
Posting on Truth Social, Trump defended the tariffs as a long-overdue fix for persistent trade deficits. “The only way this problem can be cured is with tariffs, which are now bringing tens of billions of dollars to the U.S.,” he wrote. “Some day people will realise that tariffs, for the United States of America, are a very beautiful thing!”
Trump also blamed President Joe Biden for mismanaging international trade relations. “We have been treated so badly by other countries because we had stupid leadership that allowed this to happen,” he said, adding that trade surpluses with countries like China and EU members have grown under Biden’s watch.
When asked about the possibility of a trade deal with China, Trump remained firm. “Unless we solve that problem [the trade deficit], I’m not going to make a deal,” he said.
The White House has linked the new tariffs to China’s alleged failure to stop illegal fentanyl exports to the U.S., further heightening tensions. As of Saturday, U.S. customs officials began collecting a 10% unilateral tariff on all imports from several countries, with additional retaliatory rates — ranging from 11% to 50% — set to take effect early Wednesday.
Asian markets were also on edge heading into the week, with investors speculating that the Federal Reserve may be forced to consider rate cuts as soon as May due to rising recession risks.
Despite growing volatility, Trump showed no signs of retreating. “What’s going to happen to the markets, I can’t tell you,” he said. “But our country is much stronger.”
He also claimed to have spoken with European and Asian leaders eager to strike new trade agreements. “They were dying to make a deal,” he said.
The reintroduction of sweeping tariffs marks a stark return to the protectionist policies of Trump’s previous term, raising fears of a renewed global trade war. As markets struggle with inflation, geopolitical instability, and financial sector stress, critics warn that prolonged trade conflict could further strain the global economy — and put American consumers in the crosshairs.
While supporters hail the move as a bold correction to unfair trade practices, opponents caution that the economic fallout could be severe and long-lasting.
