Economists and policymakers across the Global South are raising alarms over the potential fallout from U.S. President Donald Trump's proposed tariff hikes, warning of a "manufactured global recession" that could disproportionately impact developing economies. Professor Jayati Ghosh of the University of Massachusetts Amherst cautioned that canceled export orders are "undermining production and fueling unemployment," particularly in countries reliant on manufacturing, such as Bangladesh, which faces $3.3 billion in projected annual losses to U.S. apparel exports by 2029.
The Bahamas, a nation dependent on imports, anticipates intensified inflation pressures. The Bahamas Chamber of Commerce emphasized that tariffs would deepen cost-of-living struggles for families "already grappling with economic vulnerabilities." Chinese Ambassador to the Bahamas Yan Jiarong urged Global South nations to "strengthen South-South cooperation" to counter trade bullying, positioning China as a "stabilizing force" for multilateral trade systems.
With supply chain disruptions threatening industries from Southeast Asia to Latin America, leaders are advocating for collective resilience strategies to mitigate what Ghosh describes as a "self-inflicted" crisis with global consequences.
