What recession? Trump says tariffs will 'supercharge' US economy, shrugs off slowdown warnings

US President Donald Trump shrugged off concerns about a potential global recession, saying the retaliatory tariffs will "supercharge" the American economy.

Calling his new trade policy a "big, beautiful deal", the president said, "Big business is not worried about the Tariffs, because they know they are here to stay."

JPMorgan Chase & Co has warned that the US economy will enter a recession soon, thanks to the tariffs announced by Trump. In a note to investors, JP Morgan chief US economist Michael Feroli said the unemployment will reach 5.3 per cent and the GDP will "contract under the weight of tariffs".

In a stark warning, Feroli said the US GDP growth will be recorded at -0.3 per cent for the new financial year compared to 1.3 per cent earlier.

Trump had earlier claimed the so-called Liberation Day tariffs are necessary to stop foreign sellers from "ripping off" US industries. However, the latest move by the Trump administration has led to a crash in the Wall Street. S&P 500 saw around $5 trillion market valuation disappearing into thin air in two days after Trump tariffs were announced.

The sharp correction in Wall Street indices was reflected in the global markets, including Europe and Asia. Sensex settled at 75,364.69 after plunging 1.2 per cent while the Nifty 50 closed at 22,904.45 with a 1.5 per cent slump.

From April 5, a 10 per cent tariff will be effective on imports from all countries. And from April 9, individual tariffs will be imposed on countries based on the trade deficits specific to each of them. India is set to face a 27 per cent tariff on its exports as it is said to charges a 52 per cent duty on US goods. However, reports suggested that the Centre is in talk with the Trump administration to negotiate a bilateral trade agreement.  

World