Just over a month into 2025, people are already facing many unexpected developments. Multiple surprises and dramatic policy shifts First, the pace at which newly inaugurated U.S. President Donald Trump has launched his trade war has been much faster than predicted by analysts. In December 2024, many reports projected that Trump would not introduce clear tariff policies for major players like China, Mexico, Japan, Canada, and the European Union (EU) until at least late February 2025, with mid-2025 set as the beginning for his broader trade policies. However, by early February, Trump had already launched a series of “campaigns.” Specifically, on February 1, the U.S. announced new tariffs on three major trade partners, namely Canada, Mexico, and China. Tariffs on Canada and Mexico were set at 25%, except for Canadian energy products, which faced a 10% tariff, while import tariffs on Chinese goods increased by 10%. The market reacted negatively to this news, with some analysts quickly speculating about a deep correction. Morgan Stanley even published an analysis suggesting that Mexico and Canada could enter a recession. The Mexican peso and Canadian dollar depreciated sharply. However, just as the markets were adjusting to a bleak outlook, Trump made an abrupt […]