Abinger Investments Assesses the Inflation Risks of Trump's Trade War Restart

NEW YORK - April 28, 2025 - PRLog -- The inflationary risks associated with a renewed rise of trade tensions under former President Donald Trump's proposed tariff policies, should he return to office, have been analyzed in a new economic outlook report published by Abinger Investments. The report delineates the potential for inflationary pressures and the disruption of global supply chains as a result of the escalating tariffs on Chinese imports and prospective duties on products from other trade partners.

According to Abinger's analysis, a Trump-led trade war revival could reintroduce cost shocks in key sectors, including electronics, automotive, agriculture, and consumer goods. The proposed tariffs—targeting up to 60% on Chinese imports—could result in price increases at the consumer level and strain businesses already navigating a fragile post-pandemic recovery.

"Trade policies have real, measurable consequences on inflation," said Laura Chen, Chief Economist at Abinger Investments. "If the U.S. re-engages in tariff-heavy trade strategies, we expect a ripple effect that could lift costs for American businesses and households, impacting interest rate decisions and consumer spending."

The paper emphasizes that protectionist policies may ultimately encourage local production; however, they are associated with short-term risks such as increased import costs, logistical constraints, and retaliatory trade actions by global partners. Abinger advises investors to monitor industries that are particularly susceptible to supply chains that cross international borders and to anticipate potential market volatility that is associated with emerging geopolitical events.

The firm encourages diversified positioning in portfolios, with a focus on inflation-hedged assets and supply chain-resilient companies. Abinger Investments Limited offers a wide range of financial services, including investing, banking, securities, and investment management, to enterprises, financial institutions, governments, and people, among many. You can also find us at Abinger Investments Limited by visiting our website at https://abinger-investments.com. We would be happy to provide you with further information.

Mr. Liu Cheng
Investment Strategy Head
Phone: +85258030545
Address: Gloucester Tower 15 Queen's Road Central, Central, Hong Kong