Key Takeaways:
- Senator Ted Cruz calls for urgent trade deals to prevent long-term economic harm from tariffs.
- Cruz praises Elon Musk as a “positive influence” advocating for free trade.
- Cruz warns tariffs could trigger a political “bloodbath” for Republicans in midterms.
- Business leaders and hedge fund managers echo concerns over Trump’s escalating trade war.
Cruz Criticizes Trump’s Tariffs, Calls for Immediate Trade Resolutions
Senator Ted Cruz has deepened his criticism of President Donald Trump’s aggressive tariff strategy, warning of dire economic and political consequences if the White House fails to broker swift international trade deals.
In his latest podcast released Monday, the Texas Republican referred to a struggle between “angels and demons” within the administration, shaping the future of U.S. trade policy. Highlighting a “voice of reason,” Cruz pointed to billionaire Elon Musk as a force for free trade and economic pragmatism.
“Elon is one of the angels,” Cruz said. “This is a good, good voice that is focused on US jobs that I hope the president is listening to.”
Musk, a prominent backer of American innovation and manufacturing, recently floated the idea of a U.S.-Europe free-trade zone, aligning with Cruz’s call for more open global markets.
Warning of Political Risks
Cruz, typically a staunch Trump ally, issued a stark warning in his previous podcast, suggesting that the long-term imposition of tariffs could imperil the U.S. economy and sink Republican chances in next year’s midterm elections.
“There are enormous risks to the economy if this continues. Republicans could be facing a bloodbath,” Cruz said.
The senator urged President Trump to pivot toward making major trade deals quickly to ease investor anxiety and stabilize financial markets.
$10 Trillion Market Wipeout Fuels Concern
Since the escalation of the trade war, approximately $10 trillion in global market value has been wiped out. Despite this, many GOP voices remain publicly supportive of the administration. Cruz’s public dissent marks a rare break within Republican ranks.
Trump and his advisers, including White House trade hawk Peter Navarro, maintain that tariffs are a tool to pressure foreign governments into opening their markets. However, Navarro stated bluntly in the Financial Times that the levies “are not a negotiation.”
Industry Leaders Sound the Alarm
The growing unease has spilled into the business community. Hedge fund billionaire Bill Ackman took to social media to warn of an “economic nuclear winter” if Trump doesn’t pause the tariff strategy.
Energy executives also joined the chorus. Kaes Van’t Hof, President of Diamondback Energy, expressed frustration on social platform X, pressing U.S. officials to explain the benefits of a global trade war to domestic shale producers.
“Smart move,” he wrote sarcastically. “Shale is the only industry that actually built itself in the US, manufactures in the US, grew jobs in the US, and improved the trade deficit.”
As uncertainty mounts, Cruz emphasized that quick diplomatic victories could help soothe investor concerns and avoid deeper economic damage.
For latest Business and Finance News subscribe to Globalfinserve, Click here
#NYSE #USMARKETS #DOW #SP500 #NASDAQ #Economy #Finance #Business #Global #Earnings #CEO #CFO #Analysis #AI #Tech