On April 2, 2025, Donald Trump, now president again, announced sweeping tariffs, calling it “Liberation Day.” A universal 10% tariff was imposed on all imports, with even higher rates for 60 “worst offender” countries — including China (54% total), Vietnam (46%), South Africa (30%), and Japan (24%).
The announcement caused major financial market turmoil: the Dow fell 5.5%, the S&P 500 dropped 6%, and the Nasdaq entered bear market territory. Fears of a recession grew due to rising costs for businesses and consumers.
Former President Barack Obama responded during a talk at Hamilton College, saying he strongly disagreed with Trump’s economic policy and warned it wouldn’t benefit America. He also criticized the administration’s broader actions, including threats to universities and law firms, and pointedly asked:
“Imagine if I had done any of this?”
Senate Minority Leader Chuck Schumer echoed Obama’s concerns, saying the erratic policy was worrying the business community. In response, China announced its own 34% retaliatory tariffs, calling the U.S. measures “unilateral bullying.”