If the speeches, pronouncements, and interviews of US President-elect Donald Trump will be used as bases for the future of world commerce, it is certain that the perceived outcome will be disastrous.
As of late, American trade policy is a major concern among the business partners of the United States.
Prior to winning the presidency, the real estate billionaire has been critical about the impact of various trade deals which the Obama administration has been actively promoting or participating.
For instance, Trump has called for the reassessment of the North American Free Trade Agreement (NAFTA) with Mexico. In line with this, he has been seriously considering the imposition of a 35 percent tax on Mexican imports.
The business mogul has also threatened China with a 45 percent tariffs on their incoming goods. Moreover, the Trans-Pacific Partnership (TPP) accord which President Barack Obama signed this year will be in danger of losing its footing if Trump makes good on his promise to negate it.
According to the Washington-based research group Peterson Institute, the re-evaluation of trade programs during the US Presidential campaign will jeopardize the nation's economic progression.
Adam Posen, the organization's Chairman and former policymaker at the Bank of England shares that Trump's onslaught against US businesses can be damaging.
However, Trump seems to distance himself from his previous declarations as the year heads to a close. Based on the current way things are running, it is likely that the next administration will forego the nixing of trade against China and Mexico. The only remaining deal on the table is the TPP which is yet to be approved by Congress.
As Trump tones down his pronouncements against trade agreements, the International Monetary Fund (IMF) and the Organization of Economic Cooperation and Development (OECD) may have felt some respite considering that both groups had struggled resolving the inevitable decline of global commerce.
Since 2012, the rest of the world has just incurred a 3 percent growth which is less than half the average surge rate over the last three decades.
