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IS Trumps tariffs strategy getting undermined?

Item 3 & 4 are major issues

Yes, President Trump's tariff strategy is facing significant criticism for undermining its own goals and broader U.S. economic interests:

-1. **Economic Impact**: The tariffs, including the recent "Liberation Day" measures, have led to higher prices, reduced consumer confidence, and slowed economic growth. Analysts warn that these policies hurt industries reliant on imports, such as automotive and manufacturing, while failing to deliver promised job growth[1][2].

-2 **Global Competitiveness**: Tariffs on critical sectors like semiconductors and clean energy are increasing costs and delaying innovation, weakening U.S. competitiveness in strategic industries like AI and renewable energy[1][5][6].

-3 **International Relations**: Aggressive tariff policies are alienating traditional allies and pushing them toward alternative trade agreements. This risks eroding U.S. economic influence globally, particularly in countering China's trade practices[1][3].

-4 **Domestic Challenges**: While aimed at reviving manufacturing, tariffs are raising input costs for industries like automotive, making U.S. products less competitive and potentially harming working-class voters who initially supported these policies[4].

-5 Critics argue that the lack of a nuanced or targeted approach is amplifying these negative effects[8].

Citations:

[1] Trump's tariff policy undermines his own agenda ... - Chatham House https://www.chathamhouse.org/2025/03/trumps-tariff-policy-undermines-his-own-agenda-and-foundations-us-economic-power

[2] Trump's 'Liberation Day' tariffs are the highest in decades https://theconversation.com/trumps-liberation-day-tariffs-are-the-highest-in-decades-an-economist-explains-how-that-could-hurt-the-us-253685

[3] Trump's 'liberation day' tariffs are likely just the beginning of a longer ... https://www.chathamhouse.org/2025/04/trumps-liberation-day-tariffs-are-likely-just-beginning-longer-term-vision

[4] The Democrats Won't Acknowledge the Scale of Trump's Tariff Mess https://www.theatlantic.com/ideas/archive/2025/04/trump-tariff-democrats-trade/682333/

[5] Trump's tariffs undermine his energy and manufacturing goals https://www.canarymedia.com/articles/policy-regulation/trump-tariffs-clean-energy-industry

[6] Trump's Tariffs Are Expected to Undermine the Clean Energy ... https://www.scientificamerican.com/article/trumps-tariffs-are-expected-to-undermine-the-clean-energy-transition/

[7] Fact Sheet: President Donald J. Trump Declares National ... https://www.whitehouse.gov/fact-sheets/2025/04/fact-sheet-president-donald-j-trump-declares-national-emergency-to-increase-our-competitive-edge-protect-our-sovereignty-and-strengthen-our-national-and-economic-security/

[8] Trump's Tariff Tantrum: How Sweeping Tariffs Came to Be and Why ... https://rooseveltinstitute.org/publications/trump-admin-tariffs/

Just noticed Trumps saying " waiting for china to do a deal with US". Its all a load of hot air and provocation of world leaders this rose garden plan! Negotiation tactic.

We do not yet know if ITX is thinking to amend its investment plan as per your thoughts but I guess it could be back on the table to consider if tariffs are v. large for an extended period. I think JS etc need to consider all options once new normal is stable which at the moment it seems not to be given negotiations ongoing everywhere.

Look to be fair, JS's comments were very much in the "old normal" world marketplace, before this idiotic "F. Gump" event. Now in the current re-shaped, volatile "new normal" world, all ITX mgt options will be back on the table (as like EU's view of the world and tariffs). They would not "press the button" on a new European manufacturing facility and EU staff duplicated investments until they had a more predictable investment outlook. This is the problem right now for a few days/weeks or even months, who knows - there is no predictable outlook and business certainty as to what the "new market environment" looks like - is it square, round or a hexagon...over time this has to be clear otherwise businesses will stop largely investing in future growth projects and new business opportunities. This is an imperative for the whole world and US too since Trumps bully gamble roulette wheel will come smashing on his fat head (or even a slightly better aimed small hypersonic projectile is risked by himself or family members if he crashes the world).

In china worst case, ITX just needs a non China feedstock say south america or India. Or last ditch USA mainland. They will be thinking on supply options and watching this sh*t show circus caused by President Gump to see what happens before making any decisions let's sit and wait a few more days to see what unfolds since all very much in flux

Spot on Chilting - 'One flew over the cuckoos nest' moment in history - clearly POTUS 150% to blame for meltdown BUT! when will Gump get impeached for global economic suicide (RoW and USA)? Will it be too late to stop a crazy, personality disorder fueled maniac who thinks "the required" medicine is giving bleach via mouth in pint glasses to billions of people?

It probably takes 2 weeks to plan and implement options structures at least so this pre dates recent events at rose garden and is just a timing related company announcement that was in process

MAGA tariff strategy is deeply flawed -the global stock markets know this and will continue to decline unless US policy is changed or reversed. Here are the key reasons:

1. US jobless data suggests about 4% of the USA workforce is "unemployed". However, currently this is near to "effective" full employment, that's why US stock markets have been so buoyant until president 'Forest Gump' came on board

2. The 4 % consists mainly of people who are either not easily retrained, are unable to be 100% effective in the workforce, who don't really want to work or are non-flexible in todays dynamic workplace (structurally unemployed). This will exclude the majority so we are left with about 1-2 million US workers that can add positive value to the US visionary MAGA economy

3. Under Gump's MAGA edict and global tariff duress, yes there will be additional demand for workers and investment in USA. BUT:

(A) the majority of jobs are sweat shop jobs with low incomes (sh*t jobs normal Americans don't want to do or unable to do), and importantly (B) the demand for good workers will outstrip national supply.

4. The critical key constraint (scarcity) for MAGA success is significant pools of trained, skilled and motivated workers.. Its therefore impossible unless massive immigration were to take place that MAGA can be delivered effectively under new abusive tariff policies. Demand for good competent workers quickly exceeds supply. Wages spiral and new jobs cannot be filled. Inflation and cost of living accelerate reducing business investment

5. That's why within 3-4 months this whole MAGA bafoonery will collapse in flames - complete destruction for US economy and global partner goodwill as we know it. But will probably never get to this point when US population wakes up to Gump as massively inept, bullsh*tter crash test pilot (President Forest Gump with no economics training or common sense) gets embarrassingly dumped from office.

It's clear Trump &co (without independent professional economists advisors???) have not thought through all the global reactions and economic realities/ implications to its "smoke and mirrors" invented tariff mechanisms and tiers. Its all shambolic. It has to collapse or get majorly reined in.

Steve Schmidt: ex GOP representative: "Donald Trump promised prosperity. He will deliver penury," Schmidt wrote. "Donald Trump promised peace. He will bring war. Donald Trump said that he would make America great again. He has brought shame to America. He is everything I have ever said that he was. Things will get bad, and then they will get worse."

That Gbp61.5k sale at about 1.24 was just reversed. Wonder what's going on there? Any ideas?

Hi dave, apologies I may not be understanding correctly your key thoughts here. If other nations have somehow abused American goodwill, the USA cannot immediately transition to a new status quo in 4-8 weeks. It takes diplomacy, tact and significant time for realignment to a new major policy change - you cannot correct overnight a massively complex trading relationship from a global perspective with so many players and divergent country aspirations. Its not been thought through properly by Trump and Co and they will die by the sword they seek to use on others

Hi dave, not sure I totally understand your question. My view is White House has massively scr*wed up with itsobviously inept global tariff strategy- what taxing seagulls, penguins and countries with no USA exports???. It will all unravel soon. At the moment it's not economically maximised or anywhere near aligned. USA has good and quite full employment. If they want to increase production in USA, they have NO staff capacity resources to do this. So it's a crazy policy with no thinking at all. Disaster for Trump.

No thinking

No planning

Just doing with no insights

Oh no a sh*t show state side

White House reluctany pivots to proper long term negotiated win win outcome.

That's why I just bought some more shares at a massive bargain

What a major rose garden f**k up here

Hi Mike - the only issue is that this article seems to be 7 years old so maybe not totally informative for 2025 market and technology.

Hi Smart, no reply as yet but they would have read the email (CEO/CFO). Maybe considering response in coming days. I think the White House has massively under estimated the national and global implications to this idiotic, non negotiated global tariff strategy un used for 100 years for a reason. Think Trump's team maybe are now reasilising this major issue and will have to back pedal from self inflicted harm for US and RoW. Trump brand is now majorly toxic for mankind, whereever you are even in US.

Since mid-Feb:

NASDAQ down -17%

Dow Jones down -10%

Great MAGA strategy (fool's gold - how to destroy economic value-added for failing to understand "for every action there is a reaction" - oops Trump cannot understand that - its just his internal, reward-fixated, single brain cell struggles with complexity...roll on impeachment within 6 months

Email request went to company this morning at 10.3am for update and clarity on mew position and possible steps to mitigate.

I will reach out to John Shaw to confirm

FYI - repasting my post over on ADVFN since these guys appear to be a little behind the curve as at 31 March 2025:

"Look ADVFN team - things are not as glum as you make out:

1. The new ITX strategy is successfully being delivered with increased focus on value-added performance ingredients with better margin potential - commercial is new 2024/25+ focus with SPARX and excellent web-site in place, after the clunky, unconvincing, non-impactful prior one was thankfully binned

2. Clearly ITX Board rejected the 'low profit' customer in Q2 24 from a position of pipeline knowledge and strength - short term we all thought this was a bad decision - but in hindsight it was an informed, commercially savvy decision that is value maximising for ITX in the medium term

3. The US tariff impact issue has been well over-feared as observed in Q1 SP decline - it was clearly communicated on 31 March by John that they do not consider it as a significant issue since (a) most ITX costs are US derived costs,(b) possibility of Canada supply-side competitive benefit as US manufacturer and (c) some levers to pull on COGS reduction as ITX grows to mitigate any otherwise adverse impact

4. Professional investor round was 5.1p-ish in old money (pre-consolidation). We are at roughly half that level right now with a 2025F heading close to $10m sales and cusp of breakeven and reduced cash burn. Val Multiple is only 1.7ish at EV/sales level for 2025 so large upside from this 'cheap as chips' base value aligned to, say, 2.6p in old currency.

5. Admittedly, we were all taken in with the large uplift to 15p/share which was inappropriate for sure but equally we are now on the other side of the range entirely at 2.6p/share (old money equivalent) - neither are correctly aligned to ITX value today, but there is now large upside on a value / risk balance grounds - that's why I topped-up quite a bit at 126.4."