Government by Chaos Returns Under Trump’s Leadership

President Donald Trump’s approach to governance has once again thrown global and domestic affairs into turmoil. One day, he imposed steep tariffs on Canada and Mexico; the next, he temporarily halted auto tariffs after realizing their potential damage to the American automotive industry—something experts had warned about.

Last week, Ukrainian President Volodymyr Zelensky visited the White House to sign a deal on rare-earth minerals, which Trump hailed as a significant achievement for the U.S. However, after being provoked by Vice President JD Vance, Zelensky left abruptly, creating a diplomatic debacle that European leaders have been scrambling to address.

Meanwhile, Elon Musk is aggressively dismantling government bureaucracy, firing workers indiscriminately, and causing instability for citizens and industries reliant on federal assistance. This is happening at a time when the economy is already fragile and susceptible to shocks.

Trump’s initial surge of executive orders and policy shifts provided a burst of energy, especially compared to the perceived stagnation of President Joe Biden’s final months in office. However, six weeks into his term, as Trump disrupts post-Cold War security structures, global trade, and federal agencies that helped establish U.S. supremacy, a stark realization is emerging—there appears to be no coherent plan.

His unpredictable policies on Ukraine, trade tariffs meant to revive Rust Belt industries, and sweeping cuts to government are driven by instinct rather than strategy. This approach, reminiscent of his campaign-style “weave” speeches, leaves global leaders uncertain and on edge.

“There’s too much unpredictability and chaos coming out of the White House right now,” remarked Canadian Foreign Minister Mélanie Joly on Wednesday, describing U.S. trade policy as a “psychodrama” that Canada cannot endure every month.

Unpredictable Leadership Yields Mixed Results

Trump’s erratic leadership often leaves allies questioning his motives. On Wednesday, he criticized Canada for not doing enough to prevent fentanyl trafficking, even though the quantities involved are negligible. At other times, he blames Canada for unauthorized migration southward, despite low numbers. He also aims to shift manufacturing away from Canada to the U.S., leading some in Ottawa to suspect he is trying to weaken Canada for potential annexation.

Despite the turmoil, Trump’s aggressive foreign policy has yielded some results. His alarm over a Hong Kong-based firm owning two ports on the Panama Canal prompted U.S. investment giant BlackRock to negotiate their acquisition. While Trump’s claim that China controlled the canal was inaccurate, the deal could still bolster U.S. strategic interests.

Additionally, while he is diminishing the strength of NATO, Trump’s pressure has spurred an unprecedented military buildup among European allies—something past U.S. presidents had urged for years.

However, Trump often appears more interested in asserting personal power than executing a long-term plan.

Michael Froman, former U.S. trade representative and chair of the Council on Foreign Relations, told CNN’s Jim Sciutto that while tariffs generally have more costs than benefits, they can serve as leverage in negotiations. This has worked with Mexico, which has broader trade issues with the U.S. than Canada. However, Froman added, “You have to know what it is you want them to do for that leverage to be useful.”

Trump’s Chaos as a Political Strategy

To some extent, disorder is intentional. Trump thrives on political theatrics, using headline-grabbing maneuvers to rally his base. However, his administration often overlooks the domestic political constraints of allied nations.

Mexican President Claudia Sheinbaum, who, like Trump, is newly in office, hinted Wednesday that Mexico could seek alternative trade partners if necessary.

In the U.K., Prime Minister Keir Starmer recently honored British soldiers who fought alongside the U.S. in Iraq and Afghanistan. His speech appeared to counter Vice President Vance’s comment on Fox News that Ukraine needed stronger security guarantees than those from “some random country that has not fought a war in 30 or 40 years.” The remark, widely interpreted as a slight against Britain and France, caused significant outrage. Vance later claimed on X that such an interpretation was “absurdly dishonest.” However, Britain and France are currently the only two nations to have openly committed troops to a post-war security force in Ukraine.

French President Emmanuel Macron, acknowledging the shift in global dynamics since Trump’s return to power, stated Wednesday that he is considering extending France’s nuclear protection to European allies.

For Trump’s staunchest supporters, his ability to enrage Democrats, the media, and foreign governments is a success in itself. His populist nationalist base views the destruction of government institutions as a necessary step toward dismantling the “administrative state.”

Trump’s leadership style was honed in his Manhattan real estate empire, where he used aggressive tactics—making extreme demands, engaging in public disputes, and abruptly shifting positions—to throw opponents off balance. Now, he employs the same approach in politics, using unpredictability as a tool to consolidate power amid disorder.

However, while unpredictability may be a strength in business negotiations, it is a liability when managing a country, an economy, and international alliances—where stability and consistency are essential.

“It’s just constant, and it’s exhausting,” said Julian Vikan Karaguesian, a former Canadian Ministry of Finance official, about Trump’s aggressive trade policies. “It’s almost surreal. Is it real? Is it going to be real this time?” Now a lecturer at McGill University, Karaguesian added, “Maybe the modus operandi here is uncertainty. It’s not tariffs, it’s not anything else, but intentionally creating a sense of chaos and a sense of uncertainty.”

Trump’s Auto Tariff Reversal

Trump’s sudden decision Wednesday to pause auto tariffs for a month, just a day after imposing a blanket 25% tariff on Canada and Mexico, highlights his tendency to second-guess his own moves.

Market forces may have influenced his reversal. The announcement led to a near-500-point rebound in the Dow Jones Industrial Average, following two days of significant losses.

CNN reported that Trump relented after discussions with the CEOs of the Big Three automakers. White House Press Secretary Karoline Leavitt later stated that Trump was open to “hearing about additional exemptions.”

The notion that corporate executives can lobby for exemptions unavailable to ordinary Americans contradicts principles of economic fairness. Trump has repeatedly dismissed the value of rules-based systems that prevent patronage and corruption—characteristics more common in autocratic regimes.

This suggests that Trump prefers using tariff threats as leverage rather than enforcing them. However, by repeatedly issuing and retracting threats, he is creating uncertainty for businesses, disrupting supply chains, and discouraging consumer spending—factors that could harm the already slowing economy.

“There’s so much uncertainty about what the administration is doing that the mere prospect of tariffs is creating a big anchor on the economy,” said Bharat Ramamurti, former deputy director of Biden’s National Economic Council. “The prospect of significant tariffs on our allies has resulted in withholding investments and preemptive price increases that are going to be borne by small businesses and, ultimately, by consumers.”

Long-Term Risks of Trump’s Approach

Trump’s pattern of antagonizing allies while seemingly advancing Russia’s interests in Ukraine could weaken U.S. power in the long run.

“What we have seen this week is that the dollar has suffered a very sharp decline,” said Ruchir Sharma, founder of Breakout Capital, on CNN International. “It’s revealing that the rest of the world is getting its act together … and I think investors are beginning to notice there are other countries worth investing in, given all this policy volatility that is emerging in the U.S.”

The broader risk is that another four years of Trump’s policies could reshape the global economic landscape in a way that diminishes U.S. influence rather than reinforcing it. While geography ensures that Canada and Mexico will continue trading with the U.S., both nations may also find it beneficial to deepen ties with China. Similarly, the European Union—expecting its own round of Trump-imposed tariffs—could seek economic partnerships elsewhere.

America’s closest allies have long-standing ties with Washington and do not want to see it falter. However, they also have national interests to protect. While Canada lacks the economic strength to win a trade war against the U.S., its patience is wearing thin over Trump’s combative tactics.

Doug Ford, the Premier of Ontario, Canada’s largest economic hub, insists that Trump must eliminate tariffs altogether instead of selectively lifting them by industry.

“All this gives us is uncertainty again,” Ford told CNN’s Phil Mattingly on Wednesday. “There is one person that’s causing that problem today: that’s President Trump.”