Trump’s Tariffs Trigger Market Chaos, Global Recession Fears Intensify

New Delhi, 7th April 2025: U.S. President Donald Trump’s aggressive tariff policy has sparked widespread concern across global markets, fueling fears of an impending recession. As criticism mounts over his trade strategy, the Trump administration maintains that over 50 countries have expressed willingness to negotiate new trade deals with the United States, despite the ongoing economic turbulence.

According to U.S. Treasury Secretary Scott Besant, more than 50 countries have initiated trade talks with the U.S. following the administration’s latest round of tariff announcements last Wednesday. Speaking to NBC News’ Meet the Press, Besant claimed that the president is already seeing “significant advantages” from these negotiations.

Commerce Secretary Howard Lutnick confirmed that the current tariffs will remain in effect for several weeks, indicating Washington’s resolve to sustain pressure during the trade standoff.

Global Reactions to U.S. Tariff Policy

• Taiwan: President Lai Ching-te spoke with Trump on Sunday, advocating for a zero-tariff framework. Lai assured that Taiwan would remove all trade barriers and that Taiwanese companies are prepared to expand investments in the U.S.
• Israel: Prime Minister Benjamin Netanyahu is set to meet with Trump on Monday, seeking relief from the 17% tariff currently imposed on Israeli exports.
• India: Indian officials are negotiating a compromise, aiming to avoid retaliation over the newly imposed 26% tariff. A senior official told Reuters that India is focused on reaching a diplomatic solution rather than escalating the situation.
• Italy: Italian Prime Minister Giorgia Meloni vowed on Sunday to defend EU businesses impacted by the 20% tariff on European goods, signaling a firm stance from the European Union.

Economic Fallout: Markets in Turmoil

Trump’s tariff regime has sent shockwaves through financial markets. U.S. stock indices lost approximately $6 trillion in value last week alone, bringing the total losses during Trump’s second term to an estimated $9 trillion.

Economists at JPMorgan Chase warn that the tariffs could reduce U.S. GDP by 0.3%, while the unemployment rate may climb from 4.2% to 5.3%. The uncertainty surrounding global trade is deepening market volatility, raising alarms about a prolonged economic slowdown.

As trade negotiations continue, the world watches closely to see whether diplomacy can ease tensions or if the path ahead leads to further instability in the global economy.