Former Treasury Secretary Summers Warns "Trump Tariffs, Harassment Strategy"

Lawrence Summers, former U.S. Treasury Secretary, publicly criticized President Donald Trump's tariff imposition measures, stating that they bring no real benefit to the United States and instead will only cause inflation.

On the 2nd (local time), former Treasury Secretary Lawrence Summers wrote on X (formerly Twitter), "Trump's tariffs are a bullying strategy. Bullying cannot win on the playground or on the international stage." He added, "Our allies will inevitably respond to the tariffs," and "They are expected to respond in ways that maximize our economic pain."

This statement came shortly after President Trump signed an executive order on the 1st imposing high tariffs on neighboring countries Canada and Mexico, as well as China, the largest trade deficit country.

He predicted that as President Trump pushes forward with the tariff measures, immigration and drug problems could worsen. Former Secretary Summers wrote, "The tariffs could destabilize Mexico's economy, causing migrants to flood the southern border."

He also pointed out, as U.S. economists have expressed concern, that tariff increases will increase the price burden on Americans. Since tariffs are paid by corporations and individuals in the importing country, they drive up consumer prices. Former Secretary Summers said, "The measures taken today against Canada and Mexico are hard to justify and dangerous," forecasting, "They will lead to price increases in automobiles, gasoline, and all kinds of goods Americans purchase."

President Trump, who won the election pledging to ease the price burden on Americans, is instead pushing policies that cause inflation. Ultimately, if these tariff hikes result in higher grocery prices for Americans and force companies to raise product prices, it will lead to weakened corporate competitiveness and could affect job creation within the United States.

This is why former Secretary Summers urged, saying, "I know that Trump's tariff policy is not a pro-business strategy to promote economic growth," and "I hope business leaders have the courage to say so."

Former Secretary Summers said that U.S. tariff pressure will strengthen the unity between China and other countries rather than pressuring China. In an interview with CNN on the 2nd (local time), Summers warned, "We are pushing our close allies into the arms of China's leader Xi Jinping (President). If we violate every international norm we have set, his actions can be justified. Ultimately, President Xi could be the winner."