The date of April 2 is looming as a dark day in American economic history. President Donald Trump is preparing to implement tariffs, which he believes will bring prosperity to America and its citizens.

Despite historical evidence warning against the negative effects of tariffs, Trump appears convinced that they will generate trillions and help reduce the $36 trillion debt. It seems that Trump’s fascination with tariffs dates back many years.

An analysis of the U.S. balance of payments reveals a significant trade imbalance in 2024, with a negative trade deficit exceeding $900 billion. In contrast, there is a surplus in net investments of over $2 trillion. Trump’s disregard for these figures raises concerns.

Trump’s emphasis on tariffs and trade deficit reduction is founded on the belief that trade imbalances harm the U.S. economy. His advocacy for tariffs to bolster domestic manufacturing echoes sentiments expressed in the 1980s, despite the risk of trade wars and adverse impacts this strategy may bring.

The repercussions of imposing tariffs on April 2 are concerning. Apart from higher consumer prices and the looming threat of retaliations by trading partners, potential disruptions to supply chains and economic growth are alarming. As investor confidence wanes and market volatility increases, the American economy may face a period of turmoil.

If Trump follows through with his tariff plans, the nation could experience severe economic and financial disturbances, jeopardizing the retirement savings of lower and middle-class citizens. The looming inflation, rising costs, and negative impact on the GDP could lead to a recession and significant political repercussions.

It is crucial to recognize that Trump’s stance on tariffs is likely to be harmful and illusory, unless there is an unforeseen shift in this approach that defies established historical patterns entirely.