By Riad Beladi, Edited by James Taylor
Former President Donald Trump has reignited his controversial tariff strategy, vowing to impose sweeping duties on imported goods if re-elected in 2025. However, economists and trade analysts predict that the new wave of protectionist measures will prove short-lived, with many expecting a reversal within six months of implementation.
The core issue lies in the unsustainable economic consequences these tariffs would have on American consumers and businesses alike.
Consumers Bear the Brunt
Tariffs are, in effect, a tax on imports. While intended to shield domestic industries from foreign competition, the immediate impact is typically felt by consumers. Industry estimates suggest that average Americans could face up to 20% higher prices on everyday goods, from electronics and clothing to food and household products.
The added costs are not absorbed by foreign exporters, but instead passed down the supply chain to the end consumer. In a time when inflation remains a persistent concern, such an artificial price increase could significantly erode purchasing power and stall economic recovery.
Corporate Profits Under Threat
Beyond consumers, corporate America will also feel the sting. Many U.S. companies rely on complex international supply chains, sourcing raw materials and intermediate goods from abroad. Tariffs will inflate their input costs, reduce margins, and ultimately shrink profits.
Multinationals in sectors such as automotive, technology, and retail are expected to be particularly affected. With Wall Street already jittery over global uncertainty, a tariff-induced earnings decline could further shake investor confidence.
A Strategic Miscalculation?
Insiders close to Republican strategists suggest that Mr Trump may have been poorly advised on the real-world consequences of his tariff agenda. While the narrative of bringing manufacturing “back home” appeals to a portion of the electorate, the execution may be economically and politically untenable.
“Trump is a businessman. He understands numbers. Once the data rolls in showing higher prices, slower growth, and investor backlash, he will realise this policy is a liability,” one Washington insider told International Supermarket News.
Reversal on the Horizon
Based on previous patterns during the Trump presidency, there is precedent for rapid policy reversals in the face of market or public pressure. Analysts now forecast that should these tariffs be enacted, they would likely be rolled back within six months.
The reasons are clear: protecting American consumers, stabilising corporate profits, and preserving political capital ahead of the 2026 mid-term elections.
While the intention behind the tariffs may be to reassert U.S. manufacturing power, the broader economic damage they risk causing suggests they are unsustainable in the long run. Trump may have to reconsider — not out of political weakness, but economic necessity. For now, businesses, retailers, and consumers are bracing for a short-term storm, hoping it will pass sooner rather than later.