Yesterday, Donald Trump shared a rather remarkable post on “Truth Social” about his meeting with the International Longshoremen’s Association, where he strongly criticised automation at American ports.
The message reveals Trump’s economic thinking as fundamentally aligned with that of a 1970s New York union leader: opposing immigration, free trade, and now technological advancement.
This is not a growth agenda – it is basically militant socialist thinking.
Trump’s open stance against automation is entirely consistent with his broader economic philosophy. AI and robots serve the same economic function as free trade and immigration – they enhance productivity and competition.
This is precisely why economists generally champion immigration, free trade, and technological progress. Trump, however, appears to oppose all three.
The logic follows that Trump must oppose AI in general terms. After all, if automation is to be restricted in American ports, where exactly should it be permitted?
This in my view presents a significant risk to US stock markets and should Trump continue down this fundamental anti-growth path, it must eventually have rather negative implications for growth and earnings expectations.
It would be prudent to monitor Trump’s future statements regarding AI carefully. While he may be hanging out with Elon Musk, Trump secured power by appealing to American working-class voters who fear competition from immigrants and imported goods. Given this context, it seems entirely natural that he might eventually launch a fundamental attack on AI.
Indeed, Trump’s economic thinking appears in many ways closer to Bernie Sanders than Ronald Reagan and his latest statement demonstrates a clear preference for protectionist policies over market-driven innovation, further confirming a significant departure from traditional Republican free-market principles.
The profound irony is that while Trump claims to put “AMERICA FIRST”, his opposition to automation and technological advancement could ultimately leave American ports – and by extension, the broader American economy – at a competitive disadvantage in the global marketplace.
So, if stock markets tank, you know who to blame.
Note: Cartoon created with FLUX/fal.ai