Trump's economic and foreign policy can be summed up as the policy of coercion, confusion and chaos. Trump's policies suffer from these maladies since he returned to office for the second time. It appears sometimes that there is some method in his madness e.g. he pushed Ukraine to the wall by supporting Putin and justifying Russian possessions of the Ukranian territories and thereafter forced Zelensky to sign a mineral deal as a payment of the US help in the Russia Ukraine conflict. Then, he changed his stance and started supporting Ukraine. His efforts to make peace between Russia and Ukraine has failed so far because Russia also feels cheated and let down by Trump. Russia suffered hugely in terms of money and men and war booty is being taken away by America. Zelensky, too, must be the most unhappy man in the world as he is losing both the worlds-- territory as well as natural resources.
This policy of coercion is successful in the case of Ukraine for the time being, but America has lost its credibility as a patron, friend and saviour. This is undesirable of a hegemon of once a unipolar world.
Trump's tariff policy is a classic example of coercion and confusion leading to chaos the world over wiping out trillions of dollars from the share markets of the world. His policy of shock and awe, attack and pause and often retreat without any justification makes him the most unpredictable president in America's history. His declarations are no longer reliable and nobody knows how to deal with him. He declared China as the arch economic rival but came to terms with China astonishing everyone. It has no political and diplomatic logic while giving a lease of life to the main political and economic rival.
Politics and diplomacy have no place for personal vendetta. It is governed solely by national interest. The Indian Prime Minister had visited America last year just before the Presidential election and had not obliged Trump's request for a meeting because of political reasons. That, perhaps, has rubbed him the wrong way. Trump did not show the warmth to Modiji which he was expected to after winning elections. Such a fat ego is harmful for a leader and his country. America cannot take on his principal rival China without the support of India. No political alliance against China is complete and feasible without India. Russia is a tested friend of India and America is further pushing her towards Russia which is a friend of China. A possible friendship between Russia, China and India is a formidable proposition for America and the West.
Trump's anti-India policy would harm American interests in the long run. It might drive a wedge in the US corporate sector as is evident in the case of Apple. Tim Cook is in no mood to take Trump's advice of shifting Apple's factories from India to America. The reasons are not far to seek. India provides engineers in bulk at a very cheap rate. The wages are too high in America and it does not have an army of engineers required for the manufacturing of Apple phones. It is a bad day for American politics that an American tycoon is not ready to take the advice of the American President. Could you believe that Trump will make America great again by taking decisions in this way ?
Trump's confusion in chalking out a well thought out tariff policy has wrecked havoc to the world economy. Nobody knows as to how the US tariff policy will unfold and no one can react accordingly. Such a period of confusion in economic policy is difficult to find in recent history. It has persisted a little too long and as a result the global economy has suffered too much. The global wealth has seen unprecedented erosion. This lost money would never be recovered or compensated.
This chaotic tariff policy of the US has adversely affected the Indian economy. India reacted rather late, but is fast catching up with the new situation. It has signed a trade agreement with Britain . It has also entered into trade negotiations with other countries like Australia. Trade agreements with ASEAN, European countries and African countries are in the pipeline. A trade agreement with America is also under discussion and some sort of trade deal would be signed in near future.
The lesson is that we should be on guard against the US policy of coercion and confusion. Any method in this madness has to be identified and the national interest must be taken care of. India has the capacity to absorb this American jolt and move forward on its intended path.