World Politics

Trump’s Business Approach: Better Allies To Be Enemies?

Donald Trump’s return to the presidency has reignited his aggressive, business-like approach to foreign policy, prioritizing “America First.” He treats international relationships like business deals, aiming for short-term benefits over long-term partnerships. While this approach may work in business, it has caused significant tensions with key allies like Ukraine, Canada, Mexico, India, and the European Union, turning them from loyal partners into reluctant allies or even adversaries.

Ukraine: Cutting Support and Creating Tensions

The U.S. has traditionally been one of Ukraine’s strongest supporters, especially since Russia’s invasion. However, Trump has taken a different approach, engaging in talks with Russia without informing Ukraine, which has made Kyiv feel sidelined and betrayed. Additionally, Trump publicly humiliated Ukrainian President Volodymyr Zelenskyy during a press conference, weakening his position and damaging Ukraine’s morale. Most notably, Trump halted military aid to Ukraine, leaving the country vulnerable in its fight against Russia. Without U.S. support, Ukraine faces a more uncertain future in the conflict.

Canada: Insults and Economic Pressure

Trump has repeatedly insulted Canadian Prime Minister Justin Trudeau, even referring to him as a “governor” rather than recognizing him as the leader of a sovereign country. This direct insult has strained the U.S.-Canada relationship. Furthermore, Trump imposed a 25% tariff on Canadian goods, severely affecting trade between the two countries. Given that Canada is heavily reliant on U.S. trade, these tariffs have created economic tension, potentially damaging businesses and raising costs for consumers on both sides of the border.

Mexico: Tariffs and Identity Insults

Trump’s approach to Mexico has been particularly aggressive. He suggested renaming Gulf of Mexico as the “Gulf of America,” a proposal that not only insulted Mexico’s sovereignty but also sparked confusion. Along with this, he imposed a 25% tariff on Mexican goods, mirroring the action taken against Canada. This tariff threatens both the U.S. and Mexican economies, as many Mexican industries depend on exports to the U.S., and American consumers face higher prices on goods imported from Mexico. The combination of these actions has created a tense and difficult trade relationship between the two countries.

India: Pressure tactics before PM visit

Trump has used immigration policy as a tool to pressure India in trade negotiations. Just before Indian Prime Minister Narendra Modi’s visit to the U.S., Trump ordered the extradition of illegal Indian migrants in handcuffs—through a highly publicized move. This tactic was seen as an attempt to humiliate India and force Modi into making trade concessions. While the U.S. and India have been strengthening their relationship, Trump’s harsh methods may strain these ties, potentially making India less eager to cooperate on future trade and defense agreements.

European Union: Demands for Military Spending and Financial Withdrawal

Trump has consistently criticized European countries for not meeting NATO’s defense spending targets, arguing that America should not bear the burden of Europe’s military security. This stance has frustrated many European leaders, who view it as a rejection of the U.S.’s long-standing commitment to European defense. Trump’s demands have created rifts within NATO and weakened the alliance. In addition, his administration has explored the idea of withdrawing from the International Monetary Fund (IMF) and the World Bank, two crucial institutions that help stabilize the global economy. If the U.S. follows through, it could shift global financial power toward competitors like China and Russia, further undermining international stability.

Conclusion: A Risky Diplomacy with Long-Term Consequences

Trump’s aggressive, business-style diplomacy may achieve short-term gains for the U.S., but it comes with significant long-term risks. His treatment of allies as business competitors rather than partners is eroding trust and weakening international cooperation. These strained relationships could push countries to seek new alliances with adversaries like China or Russia, further isolating the U.S. If this approach continues, the U.S. could find itself increasingly isolated on the world stage, with fewer allies and more adversaries, ultimately damaging its global influence.

Leon Jose Vithayathil

Leon Jose Vithayathil is a finance professional currently working and residing in the United Kingdom. He is an MBA graduate in Financial Management. He currently works as a Credit Controller with a reputed company in High Wycombe, which comes under the top three waste management and disposal companies in the UK. He pre-owned a company and was an international merchant of spices from Africa and South-east Asia to India. He had also worked as a Chief Finance Officer for an Italian pharmaceutical company in Africa. Leon has been very vocal about social issues faced by the Indian diaspora.

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