Trump Squanders Post-Pandemic Recovery, Hobbling Economy With Tariffs and Iran War
Updated
Updated · Salon · May 31
Trump Squanders Post-Pandemic Recovery, Hobbling Economy With Tariffs and Iran War
2 articles · Updated · Salon · May 31
A recovering U.S. economy that Trump inherited in January 2025 has been hobbled by new tariffs, labor-force constraints and the Iran war, the report argues.
Tariffs raised import costs and, beyond that, Trump’s shifting threats and reversals injected uncertainty that stalled business activity and slowed the post-pandemic rebound.
A court rollback of the original “Liberation Day” tariffs briefly gave companies breathing room and let some recover payments, but Trump is appealing that order.
The Iran conflict has tightened global oil supply, adding another drag that the report says could weigh on growth for months even if fighting ends soon.
The piece frames the setback as a squandered chance: Trump returned to office with what it calls an “envy of the world” economy and a soft landing already in place.
What is the true cost of the Iran conflict for American household budgets?
Can an 'America-First' agenda succeed amid rising tariffs and global conflict?
As the wealth gap grows, will new social policies help or hinder the average family?
U.S. Inflation Surges in 2026: The Iran War, Tariff Battles, and the Global Economic Fallout
Overview
In early to mid-2026, the Iran War became the main driver of global economic turmoil. The conflict led to the closure of the Strait of Hormuz, disrupting the flow of about 20 million barrels of oil per day. This sharp drop in oil supply caused energy prices to soar, fueling inflation and spreading uncertainty across economies. The situation was further complicated when the United Arab Emirates left OPEC, adding to market instability. These events together created a chain reaction, making energy more expensive and putting pressure on businesses and consumers worldwide.