Trump overturned decades of US trade policy in 2025. See the impact of his tariffs, in four charts

In 2025, former President Donald Trump commenced his second term with an immediate and decisive overhaul of U.S. trade policy, eschewing decades of bipartisan support for free trade in favor of protectionist measures. His administration swiftly implemented a series of new tariffs on a broad range of imported goods, primarily targeting established trade partners. This strategic pivot was predicated on the belief that such duties would protect domestic industries, encourage reshoring of manufacturing, and reduce the U.S. trade deficit. The move sent immediate ripples through international markets, prompting retaliatory tariffs from affected nations and initiating a 'trade war' dynamic that reshaped global commerce. Economically, the impact was multifaceted for investors. While some domestic sectors, particularly those with strong import competition, saw an initial boost, the broader economic consequences included increased input costs for manufacturers, higher consumer prices, and a general dampening of global trade volumes. Supply chains, meticulously built over decades, faced significant disruption and forced re-evaluation, leading to increased uncertainty and volatility in multiple asset classes. Investors navigated a landscape where geopolitical considerations became as crucial as traditional economic indicators, with market sentiment heavily influenced by tariff announcements and retaliatory measures. Looking ahead, the long-term implications of this policy shift continue to unfold. Investors are closely scrutinizing which industries prove resilient under sustained protectionism and which struggle with reduced access to international markets. The potential for renegotiated trade agreements and the shifting alliances among trading blocs will be key drivers of market performance. Monitoring the political climate and any