President Donald Trump criticized Vietnam, Cambodia, Taiwan, Japan, and the European Union for not engaging in fair trade practices with the United States concerning tariffs and trade. According to a report from JPMorgan shared with Fox News Digital, there is a significant increase in the likelihood of a recession following Trump’s recent tariff announcement. The report, titled “There will be blood,” dated April 3, indicates that the continuation of these policies could push the U.S., and possibly the global economy, into a recession within the year, raising the recession risk to 60%.
In a statement to Fox News Digital, White House spokesperson Kush Desai dismissed predictions from so-called experts, asserting that Trump will once again restore American greatness across various economic sectors during his second term, just as he did in his first. Following China’s retaliatory measure of imposing a 34% tariff on U.S. imports, Trump’s announcement of tariffs was labeled “Liberation Day,” leading to significant declines in the stock market on Thursday and continued plunges on Friday.
Economist and global strategist Peter Schiff told Fox News Digital that tariffs effectively act as a severe tax increase, reflected in higher consumer prices across the board. Schiff pointed out that while some Republicans back Trump’s tariff policies, others do not. Certain individuals, whom Schiff argues ought to recognize the policy’s flaws, choose not to criticize it due to partisan politics. He agreed with Trump that trade deficits indicate a deeper issue, unrelated to other countries allegedly cheating.
In a related commentary, Schiff asserted that recession chances are almost certain, suggesting that a recession might have been ongoing for some time, even throughout most of last year. He anticipates that future revisions of economic data will reveal a prolonged recessionary period.