The Intelligence from The Economist Wall of duties: Trump’s towering tariffs
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Apr 3, 2025 
Rachna Shambhog, Business affairs editor for The Economist, delves into the staggering implications of Trump’s tariff hikes, revealing potential inflation spikes and their impact on American households and global markets. Meanwhile, Tom Gardner, Africa correspondent, discusses the recent recapture of Khartoum in the Sudanese civil war, shedding light on shifting alliances and the ongoing violence against civilians. Together, they explore the interconnectedness of trade, politics, and the struggles for peace.
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Trump's Tariff Rationale
- Trump's tariff calculations are arbitrary and based on a distorted view of trade.
- He believes trade imbalances are inherently unfair and that tariffs will boost US manufacturing.
Tariff Enforcement Challenges
- The new tariffs are highly complex and varied, creating enforcement challenges for customs officials.
- The removal of the de minimis exemption significantly impacts e-commerce shipments.
Impact on American Households
- Tariffs act as a tax increase on American households, increasing inflation and recession risks.
- Reduced competition from tariffs hinders innovation and harms America's economic standing.