Trump’s presidency marked a shift toward populism and protectionism, reshaping U.S. trade policies and challenging the global economic order.

In recent years, populism and protectionism have disrupted the global economic landscape. Donald Trump’s election as president of the United States in 2016 epitomized this shift, introducing a stark departure from decades of American commitment to globalization.

Through his “America First” agenda, Trump implemented a series of protectionist trade policies, including tariffs on a wide range of imports. These policies fundamentally altered the U.S.’s trade relationships, most notably with China, its largest trading partner. These moves raised questions about the future of U.S. economic policy and the global trading order.

Trump’s rhetoric of economic nationalism resonated deeply with a domestic audience disillusioned by globalization’s uneven benefits. Central to his strategy were aggressive trade measures to protect American industries, from tariffs on steel and aluminum to renegotiating the North American Free Trade Agreement (NAFTA) into the United States-Mexico-Canada Agreement (USMCA). His withdrawal from the Trans-Pacific Partnership (TPP) symbolized a retreat from multilateral trade agreements. While applauded by some for safeguarding jobs, these policies drew sharp criticism for igniting trade tensions and disrupting global supply chains.

Domestically, the effects of Trump’s protectionism sparked intense debate. Proponents argued that tariffs shielded U.S. manufacturers and revitalized the industrial base, creating jobs in sectors like steel production. Critics, however, highlighted the costs borne by consumers, who faced higher prices as businesses passed on the expense of tariffs. Many economists warned of longer-term harm, including reduced purchasing power and slowed economic growth, particularly affecting low-income households. The backlash also extended to farmers, who suffered from retaliatory tariffs imposed by key trading partners, further complicating the narrative of protectionist gains.

Internationally, Trump’s policies ushered in a new era of economic uncertainty. China, the primary target of his tariffs, retaliated with its duties on American goods, escalating tensions between the world’s two largest economies. The resulting trade war disrupted global markets, creating ripple effects that strained relations with allies and adversaries. Since the post-Cold War era, Trump’s unilateral approach also challenged the multilateral frameworks underpinning global trade. This shift left countries scrambling to navigate a more fragmented and unpredictable economic order.

These shifts reverberated globally, prompting allies and competitors to recalibrate their strategies. While some nations doubled down on globalization, positioning themselves as champions of free trade, others leaned toward protectionism, mirroring the U.S.’s inward turn. Countries heavily reliant on U.S. markets, particularly in developing regions, faced mounting pressure to adapt to the new trade landscape, often at significant economic cost.

The uncertainty also spurred debates within international institutions like the World Trade Organization (WTO), which struggled to maintain relevance in the face of escalating trade conflicts. Meanwhile, countries such as China sought to fill the void left by the U.S., presenting themselves as proponents of globalization and offering an alternative vision of global economic leadership.

The implications of Trump’s policies extend far beyond trade. By prioritizing national interests over global cooperation, his administration’s approach raised fundamental questions about the stability of the international economic system. Could the United States—historically a linchpin of globalization—reconcile its nationalist policies with the interconnected realities of the modern economy? Would other nations enter the leadership void, or would the global system fracture under competing interests? These questions loom as policymakers and economists grapple with the legacy of Trump’s tenure.

Moreover, the longer-term effects of these shifts are becoming evident. Protectionist measures, while politically expedient, often fail to address the structural challenges of global competition. The focus on short-term domestic gains has led some analysts to warn of a “protectionism trap,” where escalating barriers to trade result in diminished innovation and economic stagnation. This potential outcome underscores the importance of balancing national interests and international cooperation, a challenge that will shape the trajectory of global economic relations for decades to come.

As Trump’s influence persists, the legacy of his administration’s populist and protectionist policies remains a focal point of global economic discourse. The United States, once the torchbearer of free trade, now faces a crossroads where its choices will shape its own economic trajectory and the future of globalization itself.

Whether the world moves toward a more fragmented economic order or finds a way to reforge multilateral ties will depend on how leaders navigate the tensions ignited during this pivotal period. The decisions made in the coming years will define the United States’s role in the global economy and determine the prospects for international economic stability and cooperation.