Trumpian economics: Restoring American greatness, or it’s a gateway to its decline

Donald Trump’s presidency was marked by striking promise: to “Make America Great Again.” Central to this vision was a sweeping stress of U.S. economic policy, defined by protectionism, fiscal populism, and a rejection of multilateralism. While Trumpian economics has significant domestic political support, it may have paradoxically accelerated the very decline it sought to reverse.
 Through trade wars, fiscal  instability, and the weakening of global leadership, Trump’s economic doctrine has shaken the foundations of American power. As the 21st century unfolds, the United States finds itself increasingly challenged by rising powers, internal divisions, and declining global influence — trends that Trumpism is provoking to enhance rather than reverse. 
Behind economic nationalism and the retreat from global leadership, which constitutes the core of Trumpian economics, lies a commitment to economic nationalism. Trump’s trade war with China — involving tariffs on over $360 billion worth of goods — exemplified this shift. 
While intended to revive American manufacturing and reduce the trade deficit, the tariffs ultimately harmed U.S. consumers and businesses. More importantly, the retreat from global trade leadership left a vacuum that rivals like China might be quick to fill. Trump’s withdrawal from the Trans-Pacific Partnership (TPP) — a key initiative to counterbalance China’s influence in Asia — effectively opened the door for regional trade leadership to Beijing. In contrast, China moved ahead with the Regional Comprehensive Economic Partnership (RCEP), the largest free trade agreement in the world, without U.S. involvement. By abandoning multilateral trade architecture, Trump undermined decades of American-led globalization that had strengthened U.S. economic power and strategic influence. Trump’s trade policies represents a historic departure from America’s postwar role as a guarantor of global economic integration. 
Trumpian economics was not merely protectionist, it was also fiscally weak. The 2017 Tax Cuts and Jobs Act (TCJA), the signature legislative achievement of Trump’s first term, slashed corporate tax rates from 35% to 21%, resulting in a massive increase in the federal deficit. Typically, governments save during boom times to spend during downturns. Trump’s decision to increase spending and cut taxes together, weakened America’s fiscal resilience. 
Trumpian economics repeatedly attacked institutions such as the World Trade Organization (WTO), the International Monetary Fund (IMF), and even NATO — all of which had played critical roles in maintaining U.S. global influence since 1945. Under Trump, the U.S. blocked finance and appointments to the WTO, effectively paralyzing the organization’s ability to resolve trade disputes. Similarly, Trump’s threats to withdraw from NATO sent alarming signals to traditional allies. Trump’s decisionsdowngrades  international cooperation, while reducing foreign aid erodes America's soft power and diminishes  its ability to shape global norms. In doing so, Trumpian economics weakened the structural setup of U.S. leadership. 
The weaponization of the U.S. dollar through sanctions accelerated global discussions about de-dollarization. There is now a tangible, if just beginning, push toward a multipolar monetary system. In this context, Trumpian economics contributed to the weakening of American economic centrality by alienating partners and encouraging viable alternatives. As global trade, finance, and technological development become less centered on the U.S., the very notion of American global power becomes more fragile. 
Finally, Trumpian economics must be viewed within the broader context of American domestic politics. By increasing economic grievances and cultural resentments, Trump’s economic populism deepened national polarization. The decline of trust in electoral systems, public health authorities, and the media has undermined the internal cohesion necessary for sustained global leadership. Economic populism without institutional competence leads to short-term gains and long-term instability. Trump’s attacks on the Federal Reserve, his use of tariffs as political weapons, reflect a broader disregard for technocratic governance. Such decisions will eventuall  weaken competence and trust, both of which are essential for a strong economic leadership. 

Conclusion: Trumpian economics has functioned more as a catalyst for instability. By prioritizing nationalism over cooperation, tactical over strategy, and short-term populism over long-term stability, it has exposed the structural vulnerabilities of the American global power. The United States remains a powerful country, but its claim to global leadership now rests on fragile ground. The post-Trump era, if things continue as of now, will inherit an international system more fragmented, a domestic society more polarized, and an economy more burdened by debt and diminished credibility. Whether future American leaders can reverse this path remains uncertain. What is clear, however, is that Trumpian economics — far from restoring American greatness — may be remembered as a gateway to its weakness.