Economist Dr Kaiser Bengali on Sunday delivered a sharp critique of U.S. President Donald Trump’s trade policies, characterizing them as indicative of deeper issues within global capitalism.
During a seminar titled ‘Tariff Turmoil Unleashed: Cracks in Capitalism Deepen Under Trump’s Trade War’ at the Karachi Press Club, Bengali argued that Trump’s 90-day tariff reprieve reflects a retreat prompted by collapsing markets and backlash from investors.
The seminar, moderated by National Trade Union Federation (NTUF) General Secretary Nasir Mansoor, was organized in collaboration with the Home-Based Women Workers Federation and Alternate. It focused on the impact of global trade tensions on Pakistan’s economy and emphasized vulnerabilities in worldwide economic systems due to recent trade disputes.
Dr. Bengali described Trump’s tariff reversal as a major setback, noting that the U.S. stock market had collapsed and even Trump”s supporter, Bill Ackman, shifted to advocating for the withdrawal of tariffs.
Bengali also expressed doubts about the Green Pakistan Initiative, suggesting it might fail like the China-Pakistan Economic Corridor (CPEC), and recommended focusing on long-term infrastructure development.
He identified neoliberalism as the root of global economic problems and drew parallels with Brexit, a reaction to such policies. Bengali highlighted Pakistan’s declining industry, criticizing policies that favor imports over domestic production.
The economist pointed out Pakistan”s narrow export base, comparing it to Canada”s reliance on a single market, emphasizing the risks of such a strategy.
Reflecting on the past, Bengali defended the nationalization policies of the 1970s, arguing they strengthened the economy by curbing capital flight and boosting revenue, despite deterioration due to corruption in subsequent years.
Nasir Mansoor addressed the challenges of organizing resistance in Pakistan, citing the military and bureaucracy”s involvement in economic and political matters.
Bengali called for significant reductions in defense spending and criticized privatization efforts, noting the failure of most industries privatized in 1992.
The seminar concluded with Bengali stressing the importance of resistance in global economic dynamics, stating that countries showing strength have influence, while others suffer.