The Trump admin is changing everything. America will never be the same.
And now a close Trump ally just went on Fox News and visibly stunned the host with this announcement.
Trump’s Tariff Triumphs On The Horizon, Say Trump Officials
For too long, American trade policy has been a story of concessions, compromises, and capitulation. Under the Biden, Obama, and Bush administrations, the United States often approached the global stage with a posture of accommodation, yielding to the demands of other nations while American workers and industries bore the cost. Enter President Donald Trump’s second term, where the narrative has shifted dramatically. With a bold declaration of “Liberation Day,” Trump has unleashed a national emergency to enforce reciprocal tariffs, signaling that the U.S. will now negotiate from a position of unapologetic power. This seismic shift in strategy is already forcing the world to take notice, as nations scramble to the bargaining table.
On Monday, U.S. Treasury Secretary Scott Bessent joined Larry Kudlow on Fox Business to unpack the rationale behind Trump’s tariff rates, which set a baseline of 10% on nations that impose import charges on American goods. The move is a direct challenge to decades of uneven trade practices that have disadvantaged the United States. Unlike his predecessors, who often prioritized diplomatic niceties over economic leverage, Trump is wielding tariffs as a tool to level the playing field. The strategy is simple but profound: if other countries want access to the vast American market, they must offer fair terms in return.
“Larry, I can tell you that there are 50, 60, maybe almost 70 countries now who have approached us. So it’s going to be a busy April, May, maybe into June. And Japan is a very important military ally,” Bessent told Kudlow. “They’re a very important economic ally. And the U.S. has a lot of history with them. So I would expect that Japan’s going to get priority just because they came forward very quickly. But it is going to be very busy. And if President Trump, again, gave himself maximum negotiating leverage, just when he achieved the maximum leverage, he’s willing to start talking.” This flood of interest from dozens of nations underscores the effectiveness of Trump’s approach. Where past administrations begged for trade concessions, Trump’s tariffs have flipped the script, compelling other countries to seek negotiations on America’s terms.
The urgency of these talks is palpable. Japan, a key military and economic ally, is among the first to step forward, signaling a desire to avoid the sting of reciprocal tariffs. But the numbers tell a deeper story. Kudlow raised a question about the discrepancy between the International Trade Administration’s reported average tariff rate of 4.3% for Japan and the 46% rate cited by Trump, which factors in trade deficits. “We looked up the International Trade Administration. It shows Japan with a 4.3% average tariff. But in the chart that President Trump showed last week, the so-called reciprocal charge offs, it has Japan at 46%,” Kudlow noted. “Now I know how you get to 46% using deficits as a trade deficit as a share of imports, but that’s an odd way to look at it.”
Bessent’s response cut to the heart of the issue: tariffs alone don’t capture the full scope of trade barriers. “One of the reasons President Trump cut the numbers in half was because of what you just said. Academic studies have shown that it’s the non-tariff trade barriers that are the real problem in the U.S. having free and fair access to these markets,” he explained. “If you think about it, I think on most products, the Chinese tariff is 5%. But does anyone think that is a free market? It could be testing in cars. It could be GMO restraints in food. Come on, we buy $3 billion a year of Australian beef, but we can’t export to them. There are a lot of non-tariff trade barriers, and Japan’s are quite high. I am sure that we will have a very productive negotiation with the Japanese.” This clarity exposes the hidden ways foreign nations have gamed the system, a reality past administrations often ignored.
Trump’s tariffs are not a one-size-fits-all policy. They are tailored to address specific imbalances, with some of the steepest rates aimed at China, which faces a 34% U.S. tariff in response to its 67% levy on American goods. Other nations, including Israel, the United Kingdom, Brazil, Singapore, Japan, and Taiwan, will also face tariffs exceeding the 10% baseline, set to take effect on April 9. This targeted approach demonstrates a level of strategic precision that contrasts sharply with the scattershot trade policies of prior administrations, which often left American industries vulnerable to predatory practices.
The global response has been swift and telling. China’s Ministry of Finance announced a retaliatory 34% tariff on all U.S. imports starting April 10, a predictable countermove that nonetheless plays into Trump’s hands. By escalating the stakes, Trump has forced China and others to confront the consequences of their own protectionism. Unlike the Biden administration’s tepid trade measures or Obama’s reluctance to push back against unfair practices, Trump’s willingness to embrace confrontation is a calculated gamble to reset the global trade order. The downturn in U.S. stock markets following the “Liberation Day” announcement reflects short-term jitters, but Trump’s long-term vision prioritizes American sovereignty over fleeting market fluctuations.
What sets Trump’s strategy apart is its rejection of the status quo. For years, American negotiators entered trade talks with a defensive mindset, ceding ground to maintain alliances or avoid conflict. Trump, by contrast, sees strength as the ultimate currency. His tariffs are not an end but a means—a lever to pry open markets and secure deals that prioritize American workers, farmers, and manufacturers. The fact that nearly 70 countries are now clamoring for negotiations proves that this approach is working. Where past administrations pleaded for fairness, Trump demands it.
The implications of this shift extend beyond economics. By negotiating from power, Trump is reasserting America’s role as a global leader, unafraid to set the terms of engagement. This is a stark departure from the Bush era’s focus on multilateral trade agreements that often diluted U.S. influence, or Obama’s pivot to Asia that promised much but delivered little for American industry. Trump’s tariffs are a declaration that the United States will no longer subsidize the prosperity of other nations at its own expense.
As Bessent hinted, the coming months will be a whirlwind of diplomacy, with Japan likely leading the pack due to its proactive outreach. These negotiations will test the mettle of Trump’s team, but they start from a position of unprecedented leverage. The contrast with prior administrations could not be clearer: where Biden, Obama, and Bush often played catch-up in trade talks, Trump is setting the pace. His critics may decry the tariffs as reckless, but the flood of countries seeking deals suggests otherwise. This is what negotiating from strength looks like.
In the end, Trump’s “Liberation Day” is more than a policy—it’s a mindset. It’s a refusal to accept a world where America plays by one set of rules while others exploit loopholes and barriers. As the tariff deadlines loom, the global trade landscape is shifting, and for the first time in decades, the United States is driving the change. The road ahead will be contentious, but Trump’s willingness to wield power where others wavered is already paying dividends. The world is coming to the table, and America is finally calling the shots.
Why the Stock Market Could Soar Like It Did After the Cuban Missile Crisis
As President Donald Trump rolls out his tariffs plans, a wave of anxiety has gripped investors, with many fearing economic fallout. Yet, one of Wall Street’s sharpest minds sees a silver lining—and a historical parallel that could signal a massive market rebound. Fundstrat Global Advisors cofounder Tom Lee, whose recent stock market calls have been strikingly accurate, argues that the Cuban Missile Crisis of 1962 offers a playbook for how Trump’s bold trade strategy might ignite a rally, not a recession.
Speaking to CNBC on Friday, Lee acknowledged the unease among his clients, who are anticipating tariffs so severe they could push multiple economies into a tailspin. But he sees a different outcome—one where Trump’s leadership and dealmaking savvy turn the tide. The president has hinted at “flexibility” in his approach to these tariffs, suggesting a targeted strategy rather than a sledgehammer to global trade. “This sounds like that we could actually have a positive-case scenario with these tariffs, one that’s either mutually agreed upon or if it’s reciprocal maybe a good deal for businesses,” Lee said. “And I think it would stage set the stage for a much bigger recovery rally than we expect.”
Lee’s optimism draws on a surprising historical analogy: the Cuban Missile Crisis. That 13-day standoff in October 1962 brought the U.S. and Soviet Union to the brink of nuclear war, yet the stock market showed remarkable resilience. As President John F. Kennedy and Soviet leader Nikita Khrushchev negotiated a deal to remove nuclear missiles from Turkey and Cuba, the market hit its low just seven days into the crisis and began climbing even before the resolution was finalized. “So I think that’s a decent template for today,” Lee said.
The comparison is striking. Just as Kennedy’s coolheaded diplomacy defused a global catastrophe, Trump’s calculated tariff moves could pave the way for economic strength. Reports from Bloomberg over the weekend bolster this view, indicating that the administration’s tariffs are shaping up to be precise and strategic, not a chaotic assault on international trade. This measured approach could calm markets and reward investors who stay the course.
While some Wall Street heavyweights, like Cathie Wood, warn of a looming recession, Lee pushes back. He sees investors as frozen by uncertainty rather than gripped by despair. Far from signaling a downturn, the market’s recent moves suggest a foundation for growth. “There are increasing signs of that we’ve actually established a tradable bottom,” Lee said Thursday. A successful tariff deal, he argues, could neutralize trade tensions and make the U.S. economy a magnet for investment. “One of the things that we have to keep in mind is this trade deal, if it’s acceptable, could actually basically sort of blunt this whole issue of trade in the future,” he added. “And it would actually make the US more attractive again.”
The numbers back Lee’s case. After skidding to a low on March 12, the S&P 500 and Nasdaq have clawed back about 3% each. Last week, stocks posted their first weekly gains in a month, buoyed by Federal Reserve Chair Jerome Powell’s steady-handed comments on interest rates. Earlier this month, Lee predicted a 10%-15% market surge this spring, even as trade war fears dragged indexes into correction territory. Though stocks dipped further after his forecast, their recent recovery suggests he may be onto something.
Trump’s tariff strategy, much like his economic agenda, is a high-stakes bet on American strength. By leveling the playing field with reciprocal trade measures, the administration aims to protect U.S. businesses and workers from unfair competition. If Lee’s right, this could spark a market rally that not only defies the doomsayers but also cements Trump’s legacy as a master negotiator. The Cuban Missile Crisis showed that markets can rebound from the edge of disaster. With Trump at the helm, “Liberation Day” could mark the start of a new era of prosperity.
Stay tuned to the DC Daily Journal.
