
Trump’s Tariffs May Trigger Commodities Super-Cycle
On April 14, 2025
President Donald Trump recently announced new tariffs on imported goods, with a specific focus on China’s economy during a White House briefing. This move has sparked debates among economists regarding the potential for a global commodities super-cycle and its subsequent diversified impacts on world markets.
The escalated U.S.-China trade tensions are expected to lead to retaliatory measures from China. These tariffs have significant implications for industries such as technology and agriculture, emphasizing the need for careful consideration of their effects.
Market observers are divided on whether the new tariffs will result in a prolonged rise in raw material costs or only a short-lived effect. The potential financial consequences include inflation and pressure on emerging markets.
Historically, tariffs have been shown to increase costs and influence global economic growth patterns. The 1970s saw a comparable scenario with the oil embargo significantly impacting resource supply. Kanalcoin analysts suggest that while a commodities super-cycle is feasible, current market conditions may prevent such a surge. It is crucial to closely monitor trade negotiations for accurate predictions.
Author: Akinyemi Okedeji Amoo
Source: https://www.kanalcoin.com/trump-tariffs-commodities-super-cycle/