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US Trade Shrinks With Nearly 40% of Global Partners as Trump’s Tariff Strategy Bites

New customs data point to widespread declines in American trade ties during the first year of President Donald Trump’s renewed protectionist push, with losses spanning Asia, Europe, Africa and the Middle East.

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President Trump

As President Donald Trump completes one year in office today, January 20, new customs data show his tariff-driven approach has coincided with a sharp drop in U.S. trade with nearly 40% of the world.

The data reveal that from January to October 2025, the United States cut trade turnover with 86 out of 232 trading partners—representing a decline in trade with 37% of global jurisdictions. The broad scope of the downturn suggests that Trump’s protectionist policies are not just reshaping trade with a few rivals, but shrinking American commerce across multiple regions.

Across Asia and the Middle East, the declines were steep. East Asia saw large drops with Laos (-54%), Brunei (-24.2%), and China (-23.2%). In Central Asia, trade fell sharply with Mongolia (-43.6%), Tajikistan (-29.3%), and Kazakhstan (-15.7%). In the Middle East, Yemen’s trade with the U.S. fell 55.9% and Iran’s dropped 38.5%.

Some of the most extreme contractions occurred in politically sensitive or conflict-affected regions. Trade with the Gaza Strip collapsed 177-fold, down to just $2,600. In Africa, several countries saw dramatic declines: Eritrea (-88.8%), South Africa (-68.1%), and Tanzania (-63.4%).

Europe also felt the impact, with 12 European economies reporting sharp drops in trade, including Monaco (-67.5%) and Bosnia and Herzegovina (-60%). Greenland led the declines, falling 86.6%—a notable figure as Trump has renewed tariff threats against the territory, prompting EU lawmakers to consider delaying approval of a trade deal with the United States.

Trump has positioned tariffs as a way to protect American industry and secure better trade terms, but the latest figures suggest the policy may be isolating the United States from major markets and weakening long-standing global commercial ties.

Sri Lanka Guardian

The Sri Lanka Guardian is an online web portal founded in August 2007 by a group of concerned Sri Lankan citizens including journalists, activists, academics and retired civil servants. We are independent and non-profit. Email: editor@slguardian.org

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