On April 2, which President Donald Trump dubbed “Liberation Day,” he announced sweeping tariffs. The stock market’s reaction was, to put it mildly, negative. The Dow Jones, S&P 500, Nasdaq, and Russell 2000 experienced their worst two-day period of losses since March 2020. We all remember what happened in March 2020.
Several factors triggered the deep selloff. First, the scope of the tariffs exceeded expectations. Many anticipated a 10% tariff across the board with some exceptions, but instead, it was a 10% minimum, with numerous countries facing higher rates. The biggest complaints were that the plan seemed poorly thought out and lacked a clear methodology for determining the percentages. For instance, Vietnam noted that its average tariff is 9.4%, yet it’s now subject to a 46% tariff. The Trump administration tried to justify the disparity with a range of factors—trade deficits, non-tariff trade barriers, and existing tariff levels—but the explanation fell flat. Simple oversights, like failing to provide a chart listing tariffs alphabetically or by level, or applying tariffs to uninhabited territories like the Heard Islands, underscored the rushed nature of the plan.
What’s the goal? Is it to reduce the trade deficit and bring manufacturing and other industries back to the United States? If so, there’d be no reason to negotiate deals to lower the tariffs—reducing them would perpetuate the trade deficit and remove incentives for manufacturing to return. Alternatively, if the aim is to raise revenue as an income tax alternative, as was done before income taxes existed, then lowering tariffs would also undermine that objective by decreasing funds flowing into U.S. coffers.
A third possibility is that the tariffs are a negotiating tactic to pressure other countries into reducing their tariffs on American goods. If that’s the approach, the goal would be to strike deals. However, this would reduce tariff revenue, increase the trade deficit, and fail to encourage manufacturing’s return—creating conflicting objectives. Trump and his administration have cited all three rationales at different times, only adding to the confusion and uncertainty.
FOX and other right-wing media have downplayed the negative effects, including the stock market selloff. Some Trump supporters believe he can do no wrong and is smarter than expert economists. I wouldn’t be surprised if the J6 Choir—those incarcerated for the January 6 Capitol attack—released a song called “Tariff Man” to show their support. Imagine: “Give us a tariff, you’re the Tariff Man, give us a tariff tonight. Well, we’re all in the mood for a tariff, and you’ve got us feeling all right,” sung to the tune of Billy Joel’s “Piano Man.”
However, they’re in the minority. Polls show most Americans oppose this plan. Right now, people are unhappy that their 401(k)s, mutual funds, ETFs, and individual stocks have dropped an average of 10% in just two days. Tariffs drive inflation, and companies are already signaling they’ll pass some, if not all, of the costs onto consumers. Trump won the election because voters thought he’d handle inflation better than Vice President Harris, making this an ironic twist.
Republicans in Congress have hesitated to criticize Trump, fearing his wrath. Now, they’re starting to fear their constituents’ anger more. Trump currently holds the upper hand, but that’s shifting. For example, some Senate Republicans are backing bills to limit tariffs to 60 days without Congressional approval. These bills have no chance in the House, where Republicans remain in lockstep with the president, and even if they passed, Trump would veto them. Senator Ted Cruz warned that if these tariffs persist, Republicans could lose their House majority and the Senate, calling them disastrous.
Trump’s next move will be telling. If he’s serious about pushing this through, he’ll stick to his guns. If he makes deals, declares victory, and moves on, the damage might be contained. But if tariffs remain at or near current levels, the effects will worsen. The economy could slip into recession, and as the 2026 elections near, some Republicans may break with Trump to improve their re-election odds based on polling.
Another sign of trouble for Trump would be if his base starts turning against him on this issue. If my fellow columnists and letter-to-the-editor writers—who’ve backed Trump unconditionally—go silent or openly criticize him, that’s a red flag.
Trump is upending the global economic order with tariffs, much as he’s disrupted American foreign policy. He seems intent on turning America back to the 1890s. But there’s no need for such extreme measures. The same day the market tanked after China retaliated with its own tariffs, job growth exceeded expectations. The “good ole days” weren’t always good, and today isn’t as bad as Trump portrays it.
Warren S. Hecht is a local attorney. He can be reached at This email address is being protected from spambots. You need JavaScript enabled to view it.
