Esade economists warn of the serious consequences this initiative could trigger, both for the global economy and for US consumers themselves.

The history of the global economy has just reached a new milestone. US President Donald Trump announced 'Liberation Day' this week alongside an ambitious and controversial tariff plan that imposes levies on more than 90 countries. This move not only represents the largest protectionist shift since the 1930s, but also turns the world’s leading power into the country with the highest tariffs.

“Liberation Day has dealt a brutal blow to the economic and globalization model that companies have operated under in recent decades,” says Pedro Aznar, Associate Professor in the Department of Economics, Finance and Accounting at Esade. “The last time the US applied similar tariffs was in the period between the First and Second World Wars.”