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Former US Federal Reserve Chair and Treasury Secretary Janet Yellen criticized President Trump's tariff strategy in an April 14 interview with CNBC, calling it a "huge self-inflicted wound" on the US economy, driven by unclear and potentially unrealistic goals.
"To me, President Trump is taking a sledgehammer — not only is he hitting our allies, but he's also striking the US economy with it," Yellen said.
"I don't understand the rationale for the tariffs," she continued. "If what you're trying to do is reduce the trade deficit, imposing tariffs is not going to be successful and is not the way to go about doing that." She added, "Perhaps it's to bring back American manufacturing, but I really think that's a pipe dream and not something that is likely to be accomplished."
Over the past week, media coverage has highlighted warnings from economic experts who argue that Trump's tariffs are unlikely to revive US manufacturing. Surveys show that most businesses cite high costs as a major barrier to reshoring production.
Yellen also emphasized the unpredictability of the ongoing situation and warned that trade escalation with China could lead to very serious global consequences.
