Donald Trump LOVES tariffs—but will they save America or CRASH the world economy? RT’s Charlotte Dubenskij exposes the high-stakes economic chess game the US is playing with China & the globe.
🔥 Key Breakdown:
✔️ Trump’s Tariff Obsession – Why he calls it the "4th most beautiful word"
✔️ China’s Manufacturing Dominance – Can the US really win this trade war?
✔️ Dollar in Danger? – How tariffs threaten the US reserve currency status
✔️ Global Recession Risk – Is Trump pushing the world toward economic collapse?
📉 Why This Matters:
With trade wars escalating and supply chains at risk, the next financial crisis could be man-made by politics!
#Trump2024 #TradeWar #Tariffs #GlobalEconomy #ChinaVsUSA #EconomicCollapse #DollarDominance #ManufacturingCrisis #CharlotteDubenskij #RTNews #Geopolitics #Finance #RecessionWarning #Protectionism #SupplyChain #BidenVsTrump #EconomicWarfare #MarketCrash #WorldEconomy #TradeDeficit
🚨 Don’t miss the analysis—LIKE, SHARE & FOLLOW for more hard-hitting updates! 📊🔥
🔥 Key Breakdown:
✔️ Trump’s Tariff Obsession – Why he calls it the "4th most beautiful word"
✔️ China’s Manufacturing Dominance – Can the US really win this trade war?
✔️ Dollar in Danger? – How tariffs threaten the US reserve currency status
✔️ Global Recession Risk – Is Trump pushing the world toward economic collapse?
📉 Why This Matters:
With trade wars escalating and supply chains at risk, the next financial crisis could be man-made by politics!
#Trump2024 #TradeWar #Tariffs #GlobalEconomy #ChinaVsUSA #EconomicCollapse #DollarDominance #ManufacturingCrisis #CharlotteDubenskij #RTNews #Geopolitics #Finance #RecessionWarning #Protectionism #SupplyChain #BidenVsTrump #EconomicWarfare #MarketCrash #WorldEconomy #TradeDeficit
🚨 Don’t miss the analysis—LIKE, SHARE & FOLLOW for more hard-hitting updates! 📊🔥
Category
🗞
NewsTranscript
00:00Tariff is, according to Donald Trump, the fourth most beautiful word in the dictionary.
00:05And going by recent events, the U.S. president really does believe that.
00:10As I say, the most beautiful word in the dictionary, after love, God, relationship.
00:16I think the tariffs just sort of magnified what was happening.
00:20The tariffs will be in place, the tariffs and taxes.
00:24Countries are paying tariffs, the tariffs you've been hearing about tariffs.
00:27But why is Trump so hell-bent on inflicting what has until now seemed like a world full of pain on global stock markets?
00:36It's simple. He's trying to raise revenue, bring trade into balance, and at the same time bring countries to heel.
00:44And the ideological push for tariffs is coming from deep within Trump's own inner circle.
00:50The root of the economic imbalances lies in persistent dollar overvaluation that prevents the balancing of international trade.
00:58And this overvaluation is driven by inelastic demand for reserve assets.
01:03As global GDP grows, it becomes increasingly burdensome for the United States to finance the provision of reserve assets and the defense umbrella,
01:11essentially what he's summing up here is the Triffin dilemma described in the 60s.
01:22This is the tension between a reserve country's short-term domestic policy goals and the longer-term stability of the international monetary system.
01:31Since the Bretton Woods Conference in 1944, the U.S. dollar has been the international reserve currency.
01:38That's allowed the country to borrow at lower costs and sell bonds to raise capital freely for the last 80 years.
01:46It also means Washington has been able to impose painful financial sanctions on other countries.
01:53Trump may say he has an issue with other countries looking to ditch the almighty dollar.
01:58If they want to play games with the dollar, then they're going to be hit with a 100% tariff.
02:04The day they mention that they want to do it, and they will come back and say,
02:09we beg you, we beg you not to do this.
02:12Bricks is dead since I mentioned that.
02:15He wants the best of both worlds, but in reality, he cannot have his cake and eat it.
02:22Economics itself dictates that the U.S. cannot become the hub of manufacturing
02:26that Trump wants it to be again if the dollar remains strong, simply because exports are too expensive.
02:34If this were a game of chess, Trump has been put into a Zuckzwang situation.
02:40He has to make a move, but any move is going to precipitate a weaker hand.
02:46And this is the real dilemma.
02:48For the longest time, the U.S. has kept to the same playbook.
02:52Sell debt to raise money and penalise countries that it doesn't see eye to eye with.
02:57Around the Second World War, American power was seemingly at its peak.
03:02It was the largest manufacturing nation in the world.
03:06But how time has changed.
03:08Now that title is held by China.
03:11And while the U.S. is still number two, the industrial gap between these two countries is
03:16chasmic.
03:18So this idea that you're going to overturn the entire world economy overnight, then bring
03:23all the supposed manufacturing jobs back to America, many of which never existed in America
03:29in the first place.
03:30And then in the process of doing that, you're not taking into account the fact that it's not
03:36such a simple issue as merely building factories in the U.S.
03:40There's also the issue of the fact that the U.S. labor market has been engineered to be
03:48in line with the sort of consumption-driven economy that the U.S. is.
03:53So there's a quote, there's a popular quote from Steve Jobs, where he said that anyone who
03:57says that the reason that iPhones are made in China because of China's cheap laborer doesn't
04:02understand what it is.
04:04That China stopped being a cheap labor country many years ago.
04:08And the reason why production is concentrated in China is because there's a glut of available
04:14skills.
04:15There's a skilled population available in large numbers there.
04:18He said that the engineers who tooled the iPhones, that if you were to have a meeting of those
04:25engineers in the U.S., you could barely fill up a room.
04:27You could fill four football stadiums of them in China.
04:30And that's why it's more efficient to produce in China.
04:32So that kind of economic inefficiency cannot be solved by merely imposing tariffs and slamming
04:39this top-down solution overnight that, hey, you can't produce in America, and somehow that
04:44fixes everything.
04:45That is not going to work.
04:46So Trump needs to be a lot more pragmatic and needs to be a lot more humble about understanding
04:51the true situation of the American economy, that despite the fact that he has the world's
04:54valuable currency, that value is entirely notional.
04:58It's entirely artificial.
05:00Trump knows this can't go on forever.
05:02He's facing a choice between pursuing an agenda that would see his focus on improving the situation
05:08at home at the cost of America's perceived global hegemony, or keeping the dollar debt
05:14factory pumping out those IOUs and seeing his country fall deeper into despair.
05:20And speaking of that debt, it continues to explode, with one trillion more being added every 100
05:28days.
05:29Unless Trump does fix the trade imbalance the US has with countries around the world, he
05:35won't ever be able to chip away at that mountain of debt.
05:40He could order more money to be printed, but that would also add to America's woes.
05:45While it may devalue the dollar, that could drive up inflation, which is already soaring
05:51to levels not seen since the 80s.
05:54And that's increasingly threatening the Fed's attempts at bringing prices under control.
06:01Turning on the tariffs pulls the world's economy into a spiraling black hole.
06:06It's a self-destruct button, and not just for the US, but also any other country that relies
06:12on the dollar, or roll back, keep the greenback strong, and let the US economy crumble from
06:19within.
06:20Trump's apparently confident that to create a new system, he must first destroy the old
06:26one.
06:27But in doing so, he could bring everyone else down with him.