President Donald Trump declared on Sunday that he remains firm on imposing broad tariffs on imports from much of the world, stating he will only consider backing down if other countries address their trade imbalances with the US.
This steadfast approach, which has shaken financial markets and sparked fears of a global downturn, reflects Trump’s commitment to implementing the duties despite widespread concerns.
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During a press interaction aboard Air Force One, Trump remarked that although he does not wish to see global markets slide, he is also unfazed by the current sell-off, saying, “sometimes you have to take medicine to fix something.”
His remarks came as global markets looked set to continue their decline when trading resumed Monday. Meanwhile, members of Trump’s administration attempted to calm market jitters by noting that over 50 countries had expressed interest in launching talks to ease the tariffs.
“I spoke to many leaders—European, Asian, from around the globe,” Trump said. “They’re eager to strike deals. I made it clear that we will not tolerate trade deficits with their countries. For me, a deficit equals a loss. We aim for trade surpluses or, at the very least, a balanced outcome.”
The increased tariffs are scheduled to take effect on Wednesday, marking the beginning of a phase of economic uncertainty with no clear resolution in sight. Treasury Secretary Scott Bessent stressed that the issues at hand stem from unfair trade practices, which “aren’t the type of problems you can negotiate away quickly.” He added that the U.S. will have to assess each country's proposals to see if they are credible.
From Florida, where he spent the weekend golfing, Trump posted on social media, “WE WILL WIN. HANG TOUGH, it won’t be easy.” His Cabinet members and top economic aides actively defended the tariffs on Sunday, downplaying their broader impact on the global economy.
“There’s no certainty of a recession. No one knows how markets will behave in the short term,” Bessent said. “What matters is laying down the long-term economic foundation for prosperity.”
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U.S. stock futures fell Sunday night, reflecting continued market turbulence driven by the tariffs. Futures for the S&P 500 fell 2.5%, the Dow Jones Industrial Average declined 2.1%, and Nasdaq futures dropped by 3.1%. Bitcoin, which had been relatively stable, also slid by nearly 6%.
In Asia, markets suffered significant losses. Tokyo’s Nikkei 225 dropped almost 8% after opening, later narrowing to a 6% loss by midday. A circuit breaker temporarily halted trading in Topix futures after steep losses in U.S. futures. Chinese markets followed suit—Hong Kong’s Hang Seng plunged 9.4%, while the Shanghai Composite fell 6.2%.
Trump’s announcement on April 2 of widespread tariffs fulfilled a major campaign pledge, as he bypassed Congress to reshape global trade rules. The decision aligns with his longstanding criticism of international trade agreements, which he sees as unfavourable to the U.S. Trump is betting that the American public will tolerate price increases on consumer goods in exchange for a restructured economic order.
Many nations are now working to formulate their responses to the U.S. tariffs. China and others have already begun retaliating.
Top White House economic adviser Kevin Hassett acknowledged the global backlash, saying that although other nations are “angry and retaliating,” they are also coming to the negotiation table. He referred to reports from the U.S. Trade Representative indicating that over 50 countries had contacted the administration to begin discussions.
Adding complexity to the situation, the new tariffs are being applied not only to rival nations but also to U.S. allies. Israel, for instance, is now subject to a 17% tariff. Prime Minister Benjamin Netanyahu is scheduled to visit the White House and hold a joint press briefing with Trump on Monday, during which the tariffs—alongside the Gaza war and other matters—are expected to be discussed.
Another ally, Vietnam—a key hub for clothing manufacturing—has also reached out regarding the tariffs. Trump stated that Vietnam’s leader told him by phone that the country is willing to reduce tariffs to zero if a trade deal with the U.S. can be reached. Italian Prime Minister Giorgia Meloni, a vital European partner, expressed disagreement with Trump’s approach but affirmed her readiness to use “all tools—both diplomatic and economic—to protect our businesses and industries affected by these measures.”
Commerce Secretary Howard Lutnick confirmed that there will be no delay in implementing the tariffs. “The tariffs are absolutely going into effect,” he stated, explaining that the move is necessary to reset global trade dynamics. However, he only committed to the tariffs staying in place “for days and weeks” for now.
In Congress, Trump’s tariff policy has received both applause and concern, particularly from his own Republican Party, which traditionally supports free trade.
A group of Republican senators has backed a new bipartisan proposal requiring presidents to justify any new tariffs to Congress. The plan would give lawmakers 60 days to approve the measures—otherwise, they would automatically lapse. On Sunday, Republican Representative Don Bacon from Nebraska said he would introduce a House version of the bill, arguing that Congress must reclaim its tariff authority.
“We transferred some of that power to the executive branch, and in hindsight, that may have been a mistake,” Bacon said. He noted, however, that it will be difficult to pass the legislation unless economic conditions worsen—such as further market declines, rising inflation, or job losses.
Senator John Barrasso of Wyoming, the second-ranking Republican in Senate leadership, affirmed Trump’s legal right to impose the tariffs but acknowledged growing nationwide concerns. “People are watching the markets closely,” he said. “There will be a discussion in the Senate—we’ll see where it leads.”
Elon Musk, the billionaire heading the Department of Government Efficiency under Trump, had previously kept quiet about the tariffs. But at an event in Italy over the weekend, he voiced support for a “zero-tariff” policy between the U.S. and Europe. His comments were promptly criticised by White House trade adviser Peter Navarro.
“Elon is great when he sticks to his DOGE lane,” Navarro said. “But let’s be clear—Elon sells cars. He’s simply advocating for his business, just like any entrepreneur would.”
Trump also signalled disagreement with Musk, stating Sunday that the European Union “wants to talk, but there will be no discussions unless they commit to paying us significant annual sums.”
Former Treasury Secretary Lawrence Summers, who served under Democratic President Bill Clinton, said Trump’s economic strategy lacks consistency. He argued that if the administration’s goal is to encourage manufacturing and generate revenue, they need to commit to the tariffs long-term. But if they’re merely negotiating, the U.S. won't achieve either objective.
“If it’s about striking deals and removing tariffs mutually, then we don’t raise revenue or boost domestic manufacturing. If it’s about creating revenue and bringing industries back to the U.S., then the tariffs have to be permanent,” Summers explained. “The president can’t have it both ways.”
Bessent appeared on NBC's Meet the Press, while Hassett and Summers were interviewed on ABC’s This Week. Lutnick and Barrasso featured on CBS's Face the Nation, and Navarro spoke with Fox News Channel’s Sunday Morning Futures.