President Donald Trump announced Wednesday as “Liberation Day,” marking the rollout of new tariffs he claims will free the U.S. from reliance on foreign goods. The plan, criticized by economists as a risk to household budgets and global economic stability, includes import taxes on autos, pharmaceuticals, copper, lumber, and goods from countries like China, Canada, and Mexico.

Trump framed the tariffs as a corrective to decades of unfair trade practices, alleging foreign nations have “taken so much out of our country.” He invited CEOs to the White House to highlight investments in U.S. projects aimed at circumventing import taxes. “This is the beginning of Liberation Day in America,” Trump told reporters, adding he is “open” to deals if other nations “get something for it.”

The 25% auto tariffs, announced last week, could raise vehicle costs by an estimated $4,711 per car, according to economist Art Laffer. Trump dismissed concerns about higher prices, telling NBC News, “I hope they raise their prices, because if they do, people are gonna buy American-made cars.” Other tariffs target Venezuelan oil imports, Chinese goods linked to fentanyl production, and Canadian and Mexican products over drug smuggling and immigration concerns.

White House trade adviser Peter Navarro projected the tariffs could generate $700 billion annually, calling them a tool to force “respect” from trading partners. Critics, however, warn of broader economic fallout. Goldman Sachs forecasts U.S. economic growth could slow to 0.6% this quarter, while Columbus, Ohio, Mayor Andrew Ginther warned median home prices might rise by $21,000 due to pricier materials.

Global leaders condemned the measures. Canadian Prime Minister Mark Carney said the tariffs shattered the U.S.-Canada partnership, while French President Emmanuel Macron called them “not coherent” and inflationary. China’s Foreign Ministry spokesperson Guo Jiakun stated, “There are no winners in trade wars,” emphasizing harm to the global trading system.

Trump has repeatedly invoked “Liberation Day,” previously applying the term to his 2025 inauguration and the 2024 election. Experts like Northwestern University’s Phillip Braun dismissed the latest move, saying, “It’s going to hurt the U.S. economy. Other countries are going to retaliate.”

As markets react to the uncertainty, Treasury Secretary Scott Bessent suggested tariffs might be a “one-time adjustment,” but analysts fear prolonged measures could ripple into services and insurance costs. With consumer confidence slipping and retaliation looming, the administration’s tariff strategy faces mounting scrutiny at home and abroad.