If the 46% U.S. tariff on Vietnamese goods remains in place, it will quickly destabilize the country's export-reliant economy, creating substantial risks that could compel Hanoi to deepen its reliance on China.

Rising tensions between the U.S., Israel and Iran are increasing the risk of direct strikes on Iranian territory and potential retaliation in the Strait of Hormuz, threatening to disrupt global oil flows and destabilize energy markets.

Rather than sparking a manufacturing renaissance, Trump's tariff policy threatens to undermine U.S. economic competitiveness for years to come.

The timing and scope of Beijing's retaliatory measures signal a significant escalation of its trade war with Washington, which may nonetheless increase the long-term chance of a trade deal.