US President Donald Trump's tariff policies are under criticism within the United States. Some believe these policies have the potential to weaken the American economy more than benefit it. One of them, Steve Hanke, a professor and an economist at Johns Hopkins University, cautioned that Trump's "deck of tariff cards" might collapse within a short while. He advised that India should be patient and not rush into talks.
Speaking in an interview to NDTV, Hanke spoke about tariffs imposed by Trump on Indian items. Hanke referred to these as "completely meaningless." Referring to Napoleon, he said, "It is better not to approach an enemy who is destroying himself." Hanke feels that Trump's trade wars against several nations are doing precisely that. Hanke suggested that Prime Minister Narendra Modi and External Affairs Minister S. Jaishankar should wait, and assert that Trump's economic approach will lose strength.
Hanke had contended that if US consumer expenditure increases, the nation's fiscal deficit would also increase. He accused Trump's tariff policy as being detrimental and cautioned that it could harm the US economy.
Trump recently raised tariffs on some of India's imports to 50 percent, citing India's purchase of Russian oil. He also said that negotiations for trade with New Delhi won't continue until the tariff is addressed. India refuted the move as unjust and unreasonable and said it will take all required steps to safeguard its national interests.
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