Washington– President Donald Trump led the American and global economy, during his first 100 days in the White House from his second term, to the edge of a crisis whose features were not yet clear, amid great risk of his country’s reputation as a safe financial resort, with the majority of American citizens losing confidence in his ability to cross them to safety.
Trump promised his citizens prosperous and reduced prices, and after the Americans despair of the weakness of former President Joe Biden’s economic skills, nostalgia increased the economy of Trump’s first rule in the years before the outbreak and spread of the Corona virus, but the reality prompted the majority of Americans to pessimism from the scenario of high inflation and pushing towards a large -scale economic stagnation.
3 directions
The first 100 days of the Trump administration witnessed a wave of executive procedures, political proposals and market responses, while many initiatives were launched, a few of them were legislative, and Trump’s economic policies centered to implement the promises and slogans of the “America first” movement through 3 basic directions as follows:
1- Enhancing manufacturing within America
Trump aims to re -manufacturing the United States again to American territory, and a team of experts believes that negotiations on new trade agreements may serve Trump’s goal to stop undermining US workers, and Trump welcomed the willingness of many American and non -American companies, to restore its factories to the largest economy in the world, and to create more new factories.
This approach is an indication of Trump’s return to unilateral commercial maneuvers and an attempt to use customs tariffs not only as economic tools, but as political tools.
2- Restructurally of global trade
Customs definitions have returned to the forefront since Trump considered it a means of raising injustice and aggression from his country’s economies, and according to Section 301 and section 232 of the American Trade Law, Trump imposed a series of executive orders mainly targeting Chinese technology imports, electric cars and steel products.
It also alluded to new definitions on Mexican goods in response to border migration and drug smuggling, and on April 2, Trump announced the liberation of America and the imposition of definitions on various countries of the world, which led to a historical decline in the Wall Street markets.
At the same time, Trump is asking the world to return to negotiate new bases for trade with his country, and at a time when investor businessmen do not worry more than ambiguity of the situation and the lack of clarity of the economic vision of the ruling administration, the swings and declines of financial markets have prompted Trump to a complex state of economic uncertainty.
The first 100 days of Trump in his position is the worst in the stock market to start the 4 -year term of the president’s term since the 1970s.
The trillion dollars were erased from the stock markets, airlines lower flights, the expectations of the performance of major companies decreased, some retailers abandoned the sale of Chinese -made goods in the United States due to customs tariffs, and the International Monetary Fund reduced growth forecast for the United States, and the federal reserve says that some companies have stopped employment.
The Standard & Poor’s 500 index decreased by 7.9% since Trump was sworn in on January 20, while the second worst performance of the first 100 since the era of President Richard Nixon in 1972.
The intensity of the shares decline in the Trump presidency clearly contradicts the initial euphoria that followed his victory in the November elections, after he pledged to achieve tax cuts and cancel organizational restrictions.
3- Reducing organizational rules
Trump’s second state revived the organizational enthusiasm witnessed by his first administration towards reducing regulations and laws, and during his first month, he signed an executive order calling on agencies to cancel two regulations for each proposed new regulations, and his administration targeted the rules of climate disclosure, and the restrictions of methane emissions, and federal control over financial institutions, which he claimed to suffocate commercial innovation.
After 100 days in the ruling, and with the adoption of the plans of ambitious promises and the populist populist rhetoric, the results came as catastrophic so far, and with Trump’s positions oscillating, many executive orders suspended by the imposition of customs and customs tariffs on most countries of the world were disrupted with the postponement of its application for approaching 90 days, but many do not have a positive look because of their lack of confidence in the stability of Trump’s positions.
World Bank reform and IMF
Trump puts into effect a fundamental belief that also falls at the heart of his efforts to dismantle the Western political system, which is led by the United States and which prevailed in the world 80 years, and this belief that America – the world’s most powerful country – should not lead the world, but its strength must be used in individual negotiations to force the smaller countries to follow policies that benefit America.
“If you look at all the years when I was doing this, I was right in matters. We will be the richest country ever, and you will have a great rise in the future money markets,” Time said to Time.
Trump is in a dangerous confrontation with China, launching a comprehensive economic war with the 21st -century American competitor’s competitor, which has huge geopolitical repercussions that exceed the commercial conditions.
In front of the International Finance Institute, US Treasury Secretary Scott Besent talked – on the sidelines of the spring meetings of the World Bank and Bank of Bank in Washington – and defended the Trump administration imposing very high customs duties on China by 145%, and Besent specified what he called “a plan to restore balance to the global financial system and institutions designed to preserve it”, specifically the World Bank and the International Monetary Fund.
“The International Monetary Fund and the World Bank have permanent value, but these institutions have moved away from their right path. We must enact major reforms to ensure that the Bretton Woods institutions serve the stakeholders- and not the other way around,” said Besent.
He added: “The deliberate policy options by other countries have led to the emptying of the manufacturing sector in America, and our vital supply chains have undermined our vital supply chains, which endangered our national and economic security at risk.”
In the end, Trump is trying to make a fundamental reform of the American economy, and insists on his ability to revive the legendary golden age in the late 19th century using customs tariffs for the practice of the American economic power to crush commercial competitors.
But President Trump appears to be indifferent to the increasing concerns of Americans, from senior businessmen to ordinary shoppers, who see the impact of his policies during his first 100 days in office.
