Trump did raise tariffs to shocking levels, violating international agreements and blowing up the Republican party’s oft-professed commitment to free trade. In terms of severity and disruptiveness, Trump’s 2025 tariffs went far beyond the already harmful tariffs of his first term, and even beyond the infamous Smoot-Hawley Act of 1930. The second reason we have seen less damage from Trump’s tariffs than expected is that many of the highest ones are not fully in effect. The tariffs Trump has implemented are still very high. There are good reasons to think that many of the adverse effects of Trump’s tariffs have simply been delayed, and we should expect them to show up in 2026.

Source: The Guardian December 30, 2025 16:30 UTC